Tencent-backed German aviation startup Lilium launches China entity

Lilium, a German aviation firm backed by Chinese tech giant Tencent, said on Monday it has established its regional headquarters in China’s southern city of Shenzhen as part of a collaboration agreement with the government of the city’s Bao’an district. Lilium will set up its local entity (力翎航空) in the Bao’an Low Altitude Economy Industry Public Service Center, becoming the first European manufacturer of electric vertical takeoff and landing aircraft (eVTOL) to base a regional office in the district. The company hopes its flying vehicles will eventually meet local safety requirements and receive airworthiness certification from China, a prerequisite for the commercial operation of eVTOLs in the country, making it “an active and contributing industry player in the region’s low altitude economy.” The news comes as dozens of local governments in China have recently released their work plans to facilitate the development of eVTOLs, responding to Beijing’s call to bolster what it calls the “low-altitude economy,” as TechNode has previously reported. With Shenzhen-based Tencent being its largest shareholder with a roughly 22% stake, Lilium in April set up a wholly-owned subsidiary in the city with a registered capital of €1.9 million ($2 million), according to the Chinese corporate database Qichacha. [Lilium release, TechNode reporting]