Ho Chi Minh City Low-range economy, especially UAVs, has great potential but needs to improve legal regulations, increase domestic technology, and commercialize pilot projects, according to experts.

Comments were made by Ms. Nguyen Minh Phuong, Deputy Director of the Institute for Low-Altitude Space Development - Vietnam Aerospace Association, at the conference on Exploiting Low-Altitude Economic Potential on October 27, on the sidelines of the 2026 Fall Economic Forum (AEF 2026) chaired by the Ho Chi Minh City People's Committee.

Low-altitude economy is understood as economic activities taking place at an altitude of less than 1,000 m, which can be expanded to less than 5,000 m depending on the actual needs of each country. These activities use manned and unmanned flight technology such as UAVs, vertical flight devices, along with infrastructure and management systems. Possible fields of application include: agriculture, logistics, environmental monitoring, transportation, media and entertainment.

Citing data, Ms. Phuong said that the low-range economy currently has a scale of hundreds of billions of dollars. The global UAV service market alone is estimated to reach 128 billion USD by 2030, while in Vietnam it can reach 10 billion USD by 2035. "That shows the significant development potential of this field in the country," Ms. Phuong emphasized.

However, a representative of the Vietnam Aerospace Association also said that the opportunity lies not only in market size, but also in the ability to convert potential into economic value and domestic technological capacity. According to her, Vietnam already has an important policy foundation. Conclusion 99 of the Politburo identifies low-altitude space as a national resource, associated with the need to ensure airspace sovereignty, data, network security and protection of borders, islands and large cities. Vietnam aims to operate three national flight test zones and at least one national UAV research and testing center by 2030. By 2045, the low-end economy is expected to contribute 1.5% of GDP, with a localization rate of over 85%.

These goals show that low-level economics is not just tied to flying vehicles, but also includes infrastructure, data, software and operational services. To realize this, Vietnam needs to concretize policy orientation into an enforcement mechanism, inter-sectoral coordination, transparency of the licensing process and implementation of a controlled testing mechanism appropriate to the risk level of each application. Potential application areas include precision agriculture, infrastructure monitoring, logistics, healthcare and digital mapping. However, representatives of the Vietnam Aerospace Association assessed that segment selection should be based on actual needs, operational capabilities and economic efficiency.

During the discussion session, Ms. Nguyen Thi Hai Hang, former director of the Vietnam Aviation Academy, Vice President of the Low-Range Economic Alliance, said that the development of technology only creates the premise, while market demand determines the viability. "Every sustainable application must come from the practical needs of the market economy, not purely from the development of technology," Ms. Hang emphasized.

According to her, UAV applications in agriculture in the Mekong Delta show that real needs have appeared before low-level economics became a concept of widespread concern. For example, flying devices support seeding, irrigation and pesticide spraying, thereby solving specific tasks in production.

The Vice President of the Low-Altitude Economic Alliance also cited more than 3,000 drones serving agriculture in the Mekong Delta, on an area of ​​about 1.5 million hectares, as an example of a formed market. According to her, Vietnam does not necessarily create completely new markets, but can start from existing needs and then expand to areas with suitable conditions. In addition to agriculture, the ecosystem also has component manufacturers participating in the global supply chain, startups developing software, AI and building solutions on existing hardware platforms.

However, limited resources prevent Vietnam from developing all segments at the same time. According to Ms. Hang, the immediate priority needs to focus on the ability to safely exploit equipment, create economic efficiency and added value, then gradually improve the ability to master technology.

From a management perspective, Mr. Nguyen Van Thuat, Deputy Director of Digital Economy and Digital Society - Ministry of Science and Technology, noted the need to distinguish between success in testing and the ability to commercialize. According to him, a model that wants to expand to the market needs to meet three conditions: have customers who are really willing to pay and be more effective than traditional methods; Safe and stable operation in real environments; capable of being replicated in other localities without having to redesign the entire technology, infrastructure and management mechanism.

These three conditions also set requirements for businesses when building products. An aircraft that can operate successfully in a test area does not necessarily mean it can operate continuously, meet operational requirements and maintain economic efficiency in the market.

Also according to the representative of the Department of Digital Economy and Digital Society, the Ministry of National Defense is coordinating to develop an action program to submit to the Government, focusing on five groups of tasks: perfecting the low-altitude airspace management institution according to risk level; establish an inter-sectoral coordination mechanism on the principle that each branch continues to manage its area of ​​responsibility; building a national digital management infrastructure, focusing on the UTM platform to monitor flight operations in real time; complete the system of standards and technical regulations; Developing infrastructure and training human resources to research, design, produce and operate UAVs.

Meanwhile, Ms. Phuong assessed that Vietnam needs to simultaneously address challenges in institutions, security, technology, economic efficiency and social trust to develop low-level economic development. The legal corridor needs to clarify the coordination mechanism for airspace management, licensing, troubleshooting, technical standards and responsibilities of the parties. UAV operations near airports, residential areas and key structures also require appropriate monitoring mechanisms to ensure national defense, security and safety when flight density increases.

Vietnam also needs to reduce dependence on foreign technology and supply chains, improve design capacity, security, maintenance and mastery of core technology. Investment efficiency needs to be evaluated across the entire UAV life cycle, from equipment and human resources to batteries, maintenance, insurance and connectivity. Noise, privacy, accident risk and misuse of data also need to be controlled to create trust and promote community acceptance of UAV applications.

Proposing a development roadmap, Ms. Phuong said that low-level economic development prospects in the next 10 years can be divided into two phases. In the period 2027-2030, Vietnam will complete technical standards, inter-sectoral coordination mechanisms and establish controlled testing areas. In the period 2031-2036, the focus shifts to developing an ecosystem linking research, production and full services, promoting commercialization and market expansion.

"This approach can help form domestic supply chains, increase opportunities to commercialize research results and expand markets for service providers," Ms. Phuong added.

AEF 2026 will be held at Thiskyhall Sala Convention Center, Ho Chi Minh City, starting side sessions from October 26, before officially opening on October 28. One of the goals of the forum is to focus on discussing issues shaping new growth drivers such as breakthrough technology, digitalization, greening, finance, value chains and new cooperation models. According to the Organizing Committee, Ho Chi Minh City is not just a destination, but aims to become a place where global resources meet, are coordinated and transformed into investment decisions. At the same time, this will be the destination of international cooperation initiatives, a center connecting emerging economies and a focal point for promoting regional innovation.

Bao Lam