Chinese drone manufacturer Weizhi Aviation has raised approximately 100 million yuan (US$13.8 million) in a pre-series A funding round. The investment was led by Liangxi Science and Technology Innovation Industry Investment and China Merchants Venture Capital, with participation from existing backer GSR United Capital. Inwave Capital acted as the financial advisor.

Founded in 2020 and based in Shenzhen, Weizhi Aviation specializes in producing large unmanned cargo aircraft. Its first product, the Macro Cloud Bear, is designed for regional air cargo in China. The drone weighs 1.5 tons and is powered by fuel. It is capable of transporting up to 500 kilograms over a distance of 500 kilometers.

Weizhi Aviation has obtained intent-to-purchase agreements that are expected to cover 2 to 3 years of production capacity. The Macro Cloud Bear is aimed at logistics firms and organizations that may use it for applications such as emergency response, firefighting, and agriculture.

The company also plans to develop future models, including a heavier cargo aircraft and an electric-powered version. It is expanding operations at its facilities in Beijing, Wuxi, and Pinghu, Zhejiang Province.

🔗 Source: 36Kr

🧠 Food for thought

1️⃣ China’s strategic push for a “low-altitude economy” goes beyond single startups

Microavia’s funding is part of China’s broader initiative to develop a “low-altitude economy,” activities occurring below 3,000 meters that are expected to contribute up to 2 trillion yuan to China’s GDP by 2030 1.

The Chinese government has issued licenses to approximately 14,000 companies for drone operations, creating a robust ecosystem for aerial logistics development 1.

This strategic focus has evolved from China’s earlier dominance in consumer drones (where DJI captured 70% of the global market) to industrial and logistics applications that address infrastructure and delivery challenges 2.

The cargo drone sector represents a natural progression from small delivery drones, with China already conducting 2.7 million package deliveries by drone in 2024 alone 3.

Microavia’s positioning as the “Wuling Hongguang” of low-altitude logistics suggests they’re targeting the mass market with affordable solutions, mirroring the automotive industry’s approach to widespread adoption.

2️⃣ Drone logistics economics hinge on scale and operational costs

Microavia’s claim of 3.3 yuan per ton-kilometer operating cost (one-fifth of competitors) highlights the crucial cost factor in drone logistics adoption.

Current economics of drone delivery are still challenging, with labor representing up to 95% of delivery costs as operators typically manage single drones rather than fleets 4.

Industry analysis suggests drone deliveries need to reach $1.50-$2.00 per package to become truly competitive with traditional methods, requiring regulatory changes to allow multiple-drone operations 4.

Recent drone developments