(Yicai) Sept. 22 -- Aridge, the flying car company backed by Chinese new energy vehicle giant Xpeng Group, formerly known as Xpeng AeroHT, has reached a deal with officials of the United Arab Emirates to establish a regulatory cooperation mechanism for air traffic.

Aridge and the Emirate of Ras Al Khaimah agreed to jointly set up an air traffic regulatory sandbox platform under the UAE General Civil Aviation Authority to promote the airworthiness certification and commercialization of low-altitude flying products in the Middle East, the Guangzhou-based company announced on Sept. 20.

Aridge will leverage the regulatory sandbox mechanism to conduct systematic flight testing in typical scenarios in the Middle East, focusing on collecting data about the aircraft performance, including power performance, endurance, airspace adaptability, and operational safety risks, under special environmental conditions, such as high temperatures and sandstorms. The company aims to complete localized adaptation verification.

Moreover, Aridge will carry out specialized feasibility verification for commercial deployment in diverse application scenarios, including high-end tourism and sightseeing, urban short-distance air transit, emergency rescue operations, and offshore oil platform inspections.

Aridge was founded in 2013 as Huitian. Xpeng and its founder He Xiaopeng invested in the company in 2020. Aridge has developed the Land Aircraft Carrier, the world's first modular flying car that combines electric vertical takeoff and landing aircraft with automobiles. It achieved mass production and roll-out in March and is expected to launch within the year.

There is no unified flying car sandbox system in the Chinese mainland, an analyst told Yicai. However, six cities -- Hefei, Hangzhou, Shenzhen, Suzhou, Chengdu, and Chongqing -- have approved eVTOL pilot programs, opening up market opportunities for commercial passenger flights, the person added.

By 2040, the Chinese and overseas eVTOL markets are expected to reach USD41 billion and USD184 billion, respectively, presenting significant market opportunities for manufacturers, according to a report released by Boston Consulting Group last year. As a global hub for luxury consumption, the Middle East is emerging as a potential market for passenger eVTOLs.

Editors: Dou Shicong, Futura Costaglione