Technology & Innovation
EHang and Hefei Partner to Launch China’s First VT35 eVTOL Hub
EHang and Hefei government invest RMB 1.5 billion to establish China’s first VT35 long-range eVTOL manufacturing hub, advancing urban air mobility.
EHang’s Strategic Partnership with Hefei Government: Establishing China’s First VT35 Long-Range eVTOL Manufacturing Hub
EHang Holdings Limited, a global leader in urban air mobility (UAM) technology, has embarked on a landmark partnership with the Hefei government to create a dedicated product hub for its VT35 long-range eVTOL (electric vertical takeoff and landing) aircraft. This collaboration, involving a combined investment of approximately RMB 1.5 billion, marks a significant step for China’s ambitions in advanced aerial transportation and positions the country as a frontrunner in the rapidly evolving eVTOL sector. The partnership’s scope, spanning research, manufacturing, certification, and operational integration, offers a holistic blueprint for the commercialization of next-generation air mobility solutions.
As the global urban air mobility market accelerates, driven by urbanization, congestion, and the push for greener transport, strategic alliances like this one between EHang and Hefei are pivotal. They not only catalyze technological innovation but also demonstrate how public-private partnerships can address the multifaceted challenges of regulatory approval, industrial scaling, and ecosystem development. This article explores the background, technology, financial structure, regulatory environment, and broader implications of the EHang-Hefei VT35 initiative, providing a comprehensive analysis grounded in verified data and expert perspectives.
Background: EHang’s Rise and Urban Air Mobility in China
EHang’s journey from a drone manufacturer to a pioneer in autonomous passenger-carrying eVTOL aircraft exemplifies China’s rapid technological advancement. Founded by Huazhi Hu, EHang initially leveraged expertise in emergency control systems, including work on the Beijing 2008 Olympics command infrastructure. The company’s breakthrough came in 2023 when its EH216-S model became the world’s first fully autonomous passenger eVTOL to receive a type certificate from the Civil Aviation Administration of China (CAAC), following extensive laboratory, ground, and flight testing.
This certification process, involving over 500 specific tests and more than 40,000 flight adjustments, set a rigorous industry benchmark. EHang has since conducted commercial trial operations in multiple Chinese cities and expanded to 18 countries, validating its autonomous flight technology and operational model. The company’s financials reflect this momentum: in Q2 2025, EHang reported revenues of RMB147.2 million, a 44.2% year-on-year increase, and delivered 68 EH216 series units with a gross margin of 62.6%.
These achievements underpin EHang’s transition to more ambitious projects like the VT35, designed for longer-range applications and more diverse operational scenarios. The company’s strategic focus on both manufacturing and operational services, supported by robust financial reserves and government partnerships, positions it uniquely within the global UAM landscape.
The VT35 Aircraft: Technical Evolution and Certification
The VT35 represents a leap forward in eVTOL technology, targeting medium- to long-distance transport needs such as intercity, cross-sea, and cross-mountain routes. Building on the VT30 prototype, which demonstrated a 300 km range, 100-minute flight time, and an empty weight of 700 kg, the VT35 introduces proprietary autonomous flight control systems, enhanced propulsion, and a lift-plus-cruise configuration for operational efficiency.
The aircraft features multiple vertical lift propellers and a pusher propeller for cruise, with carbon fiber composite materials ensuring optimal strength-to-weight ratio. Its design aims to overcome the range and payload limitations of earlier eVTOLs, expanding commercial viability for logistics, emergency response, and passenger services. The VT35’s certification process began in February 2025, when the CAAC accepted its type certificate application, and EHang is pursuing further certifications, including production and airworthiness approvals.
These technological advancements are supported by ongoing breakthroughs in battery technology, notably the development of solid-state lithium batteries, which promise improved safety and performance over conventional lithium-ion systems. EHang’s approach, integrating proprietary command-and-control systems and leveraging lessons from the EH216-S, positions the VT35 as a benchmark for next-generation eVTOLs.
“The VT35’s advanced autonomous flight operation and command-and-control system technologies represent proprietary innovations that distinguish EHang’s approach from competitors in the global eVTOL market.”
The Hefei Partnership: Investment, Ecosystem, and Implementation
The EHang-Hefei partnership is structured as a comprehensive public-private initiative, with EHang investing RMB 1 billion and the Hefei government contributing RMB 500 million in support. This support includes direct aircraft orders, supply chain investment, and operational collaboration, creating an integrated ecosystem for VT35 development and commercialization. The partnership’s reach extends across the entire value chain: R&D, testing, manufacturing, certification, supply chain management, sales, operations, and talent development.
Hefei’s established low-altitude economy ecosystem, comprising over 300 companies, provides a fertile environment for the VT35 hub. The city’s demographic strengths, with a high concentration of research talent and an urbanization rate above 85%, support both innovation and operational infrastructure. Hefei’s selection as one of six pilot cities for low-altitude airspace development further enables real-world testing and rapid scaling of UAM solutions.
The collaboration also leverages synergies with the automotive sector, notably through EHang’s joint venture with JAC Motors. This integration of automotive manufacturing expertise is projected to reduce production costs by up to 40%, facilitating mass-market applications and cost-effective scaling. Hefei’s lower cost of living and rental rates, 75% less than Shenzhen, create additional advantages for sustainable industry development.
“EHang’s aggressive expansion in Hefei positions it as a clear leader in China’s eVTOL race, creating a moat against competitors while capturing first-mover demand in logistics and emergency services.”
Regulatory Landscape and Certification Pathway
China’s regulatory environment for UAM is among the world’s most advanced, with the CAAC providing a structured, multi-stage certification process for eVTOL aircraft. The regulatory framework includes type certificates, production certificates, standard airworthiness certificates, and air operator certificates, each addressing specific safety and operational criteria. The successful certification of the EH216-S in 2023 set a precedent for the VT35 and other future models.
The “Interim Regulations on the Management of Unmanned Aircraft Flights,” effective January 2024, establish clear guidelines for UAM operations, including streamlined approval for emergency and government missions. These policies reflect a broader national strategy to accelerate UAM development, supported by coordinated infrastructure investment and airspace management reforms. Hefei’s status as a pilot city for low-altitude operations provides practical advantages for real-world deployment and iterative development.
This regulatory clarity and government backing contrast with the more fragmented environments in North America and Europe, where multiple agencies and decentralized processes can slow innovation. China’s centralized approach enables coordinated progress in certification, infrastructure, and operational integration, providing a model for other markets seeking to accelerate UAM adoption.
Broader Industry Context and Strategic Implications
The global eVTOL market is projected to grow rapidly, with estimates ranging from USD 23 billion to USD 39 billion by the early 2030s. While North America currently leads, Asia-Pacific regions, particularly China, are expected to see significant expansion as regulatory and infrastructure barriers are addressed. EHang’s first-mover advantage in certification and operational experience, combined with its integrated partnership model, positions it to capture substantial market share as demand for urban and intercity air mobility solutions increases.
Competitive dynamics in the eVTOL sector are shaped by varying approaches to funding, manufacturing, and regulatory engagement. Western companies often rely on private investment and face pressure for rapid commercialization, whereas EHang’s partnership with Hefei demonstrates the benefits of government-backed, ecosystem-driven development. The integration of automotive manufacturing processes and supply chains further differentiates EHang’s model, potentially offering cost and scalability advantages over traditional aerospace approaches.
Advancements in battery technology, air traffic management, and integrated operational systems will be critical for the sector’s maturation. EHang’s focus on autonomous operations and proprietary command-and-control infrastructure addresses key challenges in scalability and safety, while its dual business model, combining manufacturing with operational services, creates recurring revenue streams and supports customer adoption.
“The success of the VT35 program will provide crucial data for the entire eVTOL industry regarding the commercial viability of long-range autonomous aircraft and the effectiveness of integrated ecosystem approaches to technology commercialization.”
Conclusion
The EHang-Hefei partnership for the VT35 product hub stands as a milestone in the evolution of advanced air mobility, offering a comprehensive model for technology development, regulatory alignment, and ecosystem integration. By combining substantial private and public investment, leveraging local industrial and talent resources, and adhering to rigorous certification pathways, this initiative sets a new standard for the global eVTOL industry.
Looking ahead, the progress of the VT35 program will be closely watched as an indicator of both the technical and commercial viability of long-range eVTOL solutions. The partnership’s success could catalyze similar collaborations worldwide, shaping the future of urban and intercity air mobility and reinforcing China’s leadership in this transformative sector.
FAQ
What is the VT35 and how does it differ from EHang’s previous models?
The VT35 is EHang’s next-generation long-range eVTOL, designed for medium- to long-distance routes. It builds on the VT30 prototype with enhanced range, autonomous systems, and a lift-plus-cruise configuration, targeting intercity and cross-terrain transport.
What is the financial structure of the EHang-Hefei partnership?
The partnership involves a total investment of RMB 1.5 billion, with EHang contributing RMB 1 billion and the Hefei government providing RMB 500 million in support, including direct orders and supply chain investment.
How does China’s regulatory environment support eVTOL development?
China’s CAAC has established a structured certification pathway for eVTOLs, supported by national policies and pilot city programs. This centralized approach enables coordinated progress in certification, infrastructure, and operations.
Why is Hefei an important location for UAM development?
Hefei offers a robust ecosystem with over 300 low-altitude economy companies, strong research talent, affordable costs, and regulatory privileges as a pilot city for low-altitude airspace. These factors support rapid innovation and scaling.
What are the global implications of the EHang-Hefei VT35 initiative?
The partnership’s integrated approach may serve as a model for other markets, demonstrating the benefits of public-private collaboration, ecosystem development, and regulatory alignment in advancing urban air mobility.
Sources
Photo Credit: eVTOL Aircraft
Technology & Innovation
Horizon Aircraft Signs LOI With Great Lakes Helicopter for Cavorite X7
Horizon Aircraft and Great Lakes Helicopter sign an LOI for Cavorite X7 MRO, pilot training, and aircraft purchases ahead of commercial debut.
New Horizon Aircraft Ltd. and Great Lakes Helicopter Corp. signed a Letter of Intent on September 29, 2026, to establish maintenance, repair, and overhaul services, pilot training programs, and aircraft purchases for the Cavorite X7 hybrid-electric aircraft. The agreement secures a critical operational pipeline for the next-generation vertical take-off and landing aircraft ahead of its commercial debut.
Announced in a press release issued by Horizon Aircraft, the partnership pairs the aerospace engineering company with an established Ontario-based flight school and commercial operator. By securing Great Lakes Helicopter as a foundational partner, Horizon Aircraft aims to ensure future operators have immediate access to the maintenance and training infrastructure required to integrate the Cavorite X7 into active fleets.
Building the operational ecosystem
As the Advanced Air Mobility (AAM) sector matures, Original Equipment Manufacturers (OEMs) are increasingly prioritizing the ground infrastructure necessary to support their platforms. The agreement with Great Lakes Helicopter addresses this requirement by leveraging an existing Transport Canada-approved flight training school and charter operator based in Cambridge, Ontario.
Established in 2003, Great Lakes Helicopter operates a fleet of Robinson R22, Robinson R44, and Bell 206 Helicopters. The company’s in-house maintenance division, Rotor Services Limited, has maintained helicopters at the Region of Waterloo International Airport for over 30 years. Under the new agreement, this entity will expand its capabilities to support the Cavorite X7.
“We are building a new Rotor Services maintenance facility that will support next-generation platforms like the X7. Aircraft like this could open up faster, more reliable access to critical services for remote and underserved communities, and we want GLH’s maintenance, training, and operations expertise to be part of making that real,” said Chad McIntosh, Managing Director of Great Lakes Helicopter.
Horizon Aircraft Co-Founder and Chief Executive Officer Brandon Robinson emphasized that establishing this ecosystem is a prerequisite for commercial success. Partnering with an experienced organization gives future customers a defined path toward integrating the hybrid-electric aircraft into their operations.
“Partnering with an experienced MRO and pilot training organisation like Great Lakes Helicopter is an important step as we build the ecosystem needed to support the Cavorite X7 and its future customers. With so many operators and communities poised to benefit from the X7’s capabilities, having reliable maintenance and pilot training in place gives future customers a clearer path toward integrating our next-generation VTOL aircraft into their operations,” Robinson stated.
The Cavorite X7 hybrid-electric approach
The Cavorite X7 differentiates itself from fully electric vertical take-off and landing (eVTOL) competitors through its hybrid-electric architecture. Designed to carry six passengers, the aircraft utilizes a patented fan-in-wing configuration. Electric fans embedded in the wings provide vertical lift, and panels close over these fans during forward flight to reduce aerodynamic drag.
Forward thrust is generated by a Pratt & Whitney Canada PT6 turboprop engine. This engine simultaneously recharges the onboard battery array during flight, removing the requirement for extensive ground charging infrastructure. Horizon Aircraft estimates the Cavorite X7 will achieve a range of 800 km (500 miles) and a top speed of 450 km/h (280 mph).
This hybrid model targets regional air mobility, emergency medical services, and military applications in areas where electrical grid infrastructure is limited. By partnering with established maintenance, repair, and overhaul (MRO) providers like Great Lakes Helicopter, Horizon Aircraft ensures the Cavorite X7 can operate within existing aviation networks without demanding proprietary charging or maintenance facilities.
Transitioning from design to manufacturing
Headquartered in Lindsay, Ontario, New Horizon Aircraft Ltd. was founded in 2013 by former Royal Canadian Air Force fighter pilot Brandon Robinson and his father, Brian Robinson. The company has steadily advanced the Cavorite X7 program, securing a U.S. Department of Defense Phase 1 High Speed Vertical Takeoff and Landing contract in January 2022.
In early 2026, the Cavorite X7 program transitioned from the design phase to manufacturing. Horizon Aircraft locked in the aircraft’s Outer Mold Line design in January 2026. The following month, the company announced manufacturing partnerships, selecting RAMPF Composites to produce the fuselage and North Aircraft to manufacture the wings.
While the September 29, 2026, Letter of Intent includes Great Lakes Helicopter’s intention to purchase Cavorite X7 aircraft, the exact number of airframes and the timeline for commercial production and delivery remain undisclosed.
AirPro News analysis
We view this Letter of Intent as a pragmatic step for Horizon Aircraft, highlighting a critical divergence in strategy within the Advanced Air Mobility sector. While pure eVTOL developers are forced to invest heavily in proprietary charging networks and bespoke maintenance facilities, Horizon’s hybrid-electric design allows it to plug directly into the existing aviation ecosystem. Securing an established MRO and training partner like Great Lakes Helicopter validates this approach, demonstrating that legacy aviation service providers see a viable business case in supporting hybrid platforms. If Horizon can execute on its manufacturing timeline, this plug-and-play operational model could offer a significant advantage in early market adoption, particularly for remote and utility operations.
Photo Credit: New Horizon Aircraft Ltd.
Technology & Innovation
Safran Invests in Akira Technologies, CFM RISE Test Partner
Safran Corporate Ventures acquires a minority stake in Akira Technologies to support CFM RISE hybrid-electric engine development.
Safran Corporate Ventures has acquired a minority stake in French test specialist Akira Technologies, securing a key prototyping partner involved in the hybrid-electric development of the CFM International RISE demonstrator engine. The investment, announced on September 22, 2026, aims to scale the production capabilities of Akira for next-generation aerospace and defense Propulsion systems.
In a press release issued by Safran Group, the company confirmed the funding round also included participation from European missile Manufacturers MBDA and the Definvest fund, which is managed by Bpifrance on behalf of the French Defense Procurement Agency (DGA). Founded in 2003 and based in Bayonne, Europe, Akira Technologies currently generates €13 million in annual revenue and employs 70 people. The capital injection will support the transition of the company from prototyping to small- and medium-batch production.
Advancing the CFM RISE program
Akira Technologies has served as a critical testing partner for Safran, specifically tasked with assessing the hybrid-electric layout of the CFM RISE (Revolutionary Innovation for Sustainable Engines) demonstrator. The RISE program, a joint venture initiative between GE Aerospace and Safran Aircraft Engines under CFM International, targets a 20 percent reduction in fuel consumption and carbon emissions compared to current Commercial-Aircraft engines.
The investment aligns with the broader push by Safran into Electric-Aviation propulsion. In July 2026, Safran launched the PHILEAS full-scale hybrid-electric demonstrator test campaign in Istres, France, to evaluate power extraction and injection technologies. Securing a stake in Akira ensures Safran maintains close integration with a specialized partner capable of agile development for these megawatt-class hybrid powertrains.
Defense applications and industrial sovereignty
Beyond commercial aviation, the funding round highlights the growing role of Akira in the defense sector. The involvement of MBDA and the DGA-backed Definvest fund points to strategic interests in the development of Drones propulsion systems and microturbines by Akira.
Florent Illat, CEO of Safran Corporate Ventures, stated that the investment strengthens a longstanding relationship and secures expertise in design and agile prototyping necessary for future aviation and defense needs.
“For a company working in mechanical engineering and engines, receiving such a vote of confidence from Safran is recognition of the expertise and efficiency of the Akira team,” said Sylvain Loumé, Managing Director of Akira Technologies. “It also represents a further tangible commitment on our part to building a French industrial sector that combines technological excellence, sovereignty and competitiveness.”
AirPro News analysis
We view the minority stake taken by Safran in Akira Technologies as a strategic move to insulate its supply chain and secure specialized engineering talent during a critical phase of the CFM RISE program. As engine manufacturers push the boundaries of open-fan architectures and hybrid-electric integration, the bottleneck often lies in rapid prototyping and bespoke test rigs. By bringing a trusted vendor closer into the corporate fold, Safran mitigates the risk of losing the bandwidth of Akira to competing aerospace or defense projects. The co-investment by MBDA and the French government further underscores a national strategy to keep critical propulsion technology development within domestic borders.
Sources: Safran Group
Photo Credit: Safran Group
Sustainable Aviation
EU Exceeds 2025 SAF Mandate at 2.79 Percent Blend Rate
EASA reports EU airports hit 2.79% SAF blend in 2025, surpassing the 2% ReFuelEU mandate with 1.1M tonnes supplied.
The European Union surpassed its initial Sustainable Aviation Fuel (SAF) mandate in 2025, with SAF accounting for 2.79 percent of all jet fuel supplied to EU airports during the first mandatory reporting year.
According to the 2026 ReFuelEU Aviation Annual Technical Report published by the European Union Aviation Safety Agency (EASA) on September 17, 2026, fuel suppliers delivered 1.1 million tonnes of SAF against a total aviation fuel supply of 39.3 million tonnes. The 2.79 percent blend rate comfortably exceeded the 2 percent minimum required by the ReFuelEU regulation for 2025. This uptake resulted in an estimated reduction of 3.77 million tonnes of CO2 equivalent greenhouse gas emissions.
“We are pleased to confirm that the SAF mandate under ReFuelEU Aviation was not only met but exceeded,” EASA Executive Director Florian Guillermet stated in the agency’s press release.
Compliance and distribution across European hubs
The EASA report indicates high compliance rates across the sector. Ninety-three percent of aircraft operators and 90 percent of fuel suppliers fulfilled their reporting obligations in 2025. EASA noted that noncompliance among aircraft operators was primarily limited to small business jet operators, nonscheduled carriers, and third-country operators that failed to respond to competent authorities.
SAF distribution reached 121 Airports across all 27 Member States, representing 79 percent of all Union airports. Uptake was heavily concentrated at major European hubs. Amsterdam Airport Schiphol (AMS) accounted for 29 percent of the tracked SAF supply, followed by Frankfurt Airport (FRA) at 8 percent and Paris Charles de Gaulle Airport (CDG) at 7 percent.
Supply chain dynamics and feedstock dependencies
While the headline blending figures demonstrate regulatory success, the technical report reveals a structural reliance on imported raw materials. Although 86 percent of the SAF supplied at EU airports was refined domestically within the European Union, 85 percent of the underlying feedstocks originated from outside the bloc.
The primary feedstock utilized was Used Cooking Oil (UCO) processed via the Hydroprocessed Esters and Fatty Acids (HEFA) pathway. Of the imported feedstocks, 61 percent originated from China, with additional volumes sourced from Malaysia and Indonesia. On the refining side, Neste’s Rotterdam facility alone produced 33 percent of all European SAF in 2025.
AirPro News analysis
The successful implementation of the 2 percent mandate in 2025 proves that the logistical framework for SAF distribution at major European hubs is functional. However, the heavy reliance on Asian Used Cooking Oil presents a long-term vulnerability for European aviation. As the ReFuelEU mandate scales to 6 percent in 2030, the Regulations will also introduce sub-mandates for synthetic aviation fuels (e-fuels). With approximately 50 synthetic fuel projects awaiting final investment decisions and no large-scale e-fuel facilities currently operational in Europe, we anticipate significant capital mobilization will be required over the next 36 months to prevent future supply bottlenecks and reduce dependency on imported biomass.
Photo Credit: European Union Aviation Safety Agency
-
Space & Satellites5 days agoSpaceX Starship Reaches Orbit on 14th Test Flight
-
Commercial Aviation5 days agoGlobal Aviation Conference Frankfurt 2026 Opens with 600 Senior Executives and 11 Panels on the Industry’s Hardest Questions
-
Training & Certification5 days agoBoeing Invests $17M CAD in Saskatchewan Aviation Learning Centre
-
Regulations & Safety7 days agoICAO DGCA 61st Conference Adopts Asia-Pacific Aviation Framework
-
Route Development7 days agoSchiphol Launches Tenders for €10 Billion Infrastructure Program