Creating a new economic space

The low-altitude economy is emerging as a new growth driver around the world. China has identified it as a strategic economic sector, while the US, Japan, the Republic of Korea, and many European countries are also stepping up the development of business models based on low-altitude flight technology.

Notably, these countries are not only focusing on developing aerial vehicles but are seeking to build comprehensive economic ecosystems that combine technology, infrastructure, data, and application-based services. Under this approach, aerial vehicles are merely means of transport, while the core economic value lies in the service ecosystem built on digital technology. This is also the direction being studied by the Ministry of Science and Technology in developing the low-altitude economy in Viet Nam.

According to the Ministry of Science and Technology, a new “economic space” is currently emerging between the ground and the airspace used by conventional aviation. Thanks to advances in artificial intelligence, data, sensors, telecommunications and smart operating platforms, this space is no longer merely an area for aerial vehicles to operate but is becoming a new development infrastructure.

The low-altitude economy is therefore not simply about drones or aerial vehicles, but an economic ecosystem based on data, digital technology, and application-based services. From logistics, agriculture, resource management and infrastructure monitoring to emergency healthcare, search and rescue, and smart cities, a wide range of sectors can generate added value and new growth momentum.

The biggest challenge in bringing the low-altitude economy into practice is currently not technology but institutions. According to Nguyen Van Thuat, Deputy Director of the Department of Digital Economy and Society under the Ministry of Science and Technology, waiting until the legal framework is fully developed before implementation could mean missing development opportunities. Conversely, large-scale deployment without a full assessment of potential risks would make it difficult to ensure national defence and security, flight safety, and the interests of society.

To address this challenge, the Ministry of Science and Technology has identified a controlled testing mechanism as an appropriate solution. This approach allows new models to be implemented within a controlled framework rather than waiting for the entire policy system to be completed. Through practical testing, risks can be identified and effectiveness verified, providing a basis for gradually refining mechanisms and policies and scaling up successful models.

Scaling up from a pioneering model

Dien Bien Province is the first locality to put this approach into practice, issuing Decision No. 1291/QD-UBND approving a controlled testing mechanism for developing the low-altitude economy in accordance with the Law on Digital Technology Industry, the Law on Science, Technology and Innovation, and the Government’s Decree No. 353/2025/ND-CP.

The Ministry of Science and Technology worked with the Ministry of National Defence, the Dien Bien Provincial People’s Committee and businesses to survey and assess socio-economic development needs, while analysing requirements relating to national defence, security and flight safety, as well as potential risks. On that basis, testing areas, flight corridors and application fields were identified, ensuring that the sandbox mechanism both creates room for innovation and keeps risks under tight control from the outset.

Many localities across the country have favourable conditions for developing models suited to their respective regional characteristics. According to Nguyen Phu Tien, Deputy Director of the Department of Digital Economy and Society under the Ministry of Science and Technology, while Dien Bien is well suited to models serving agriculture, mountainous logistics and public services in disadvantaged areas, Dong Nai has outstanding advantages in industry, logistics and transport infrastructure.

Dong Nai is a major industrial and logistics hub of the country, a gateway connecting the southeastern region, and home to Long Thanh International Airport. With these advantages, Dong Nai could consider implementing sandbox models for industrial logistics, high-speed deliveries within industrial parks, infrastructure management, environmental monitoring, smart cities and an airport services ecosystem. Looking further ahead, the locality could become one of the pioneers in connecting ground logistics, air logistics and low-altitude logistics on a single digital platform – a trend being pursued by many leading industrial and logistics hubs around the world to create new competitive capabilities.

Deputy Minister of Science and Technology Bui Hoang Phuong said that instead of merely providing guidance on implementing regulations, the ministry had shifted towards a model of working alongside local authorities. The Department of Digital Economy and Society was tasked with closely coordinating with the Dien Bien Department of Science and Technology under a “hands-on guidance” approach, jointly developing and completing the pilot scheme from the earliest stages.

This approach not only helps Dien Bien bring the model into practice sooner but also lays the groundwork for scaling it up nationwide. To date, nearly 10 localities have expressed interest in implementing similar models.

In the coming period, the Ministry of Science and Technology will continue to work alongside ministries, sectors, localities and businesses to refine the model through practical implementation; gradually improve mechanisms and policies; and lay the foundation for making science and technology, innovation, and digital transformation the primary drivers of socio-economic development.