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Volkswagen is looking at an industrialized approach to flying vehicles in China by investigating potential concepts and partners in a feasibility study.
Europe's largest automaker noted that "vertical mobility" could be the next step after self-driving technology.
China, Volkswagen's single biggest customer, is the world's largest auto market.
Volkswagen is currently making a big push into electric cars and more than tripled its delivery of battery electric vehicles last year than it did in 2019. Its plug-in hybrid deliveries increased 175 percent to 190,500 units.
Industrializing flying vehicles presents more challenges than electric mobility, including safety and reliability, as it needs to operate in crowded airspace, near small drones and traditional airplanes.
There's also the need for a regulatory framework, which could take years.
Volkswagen China head Stephan Wöllenstein told Volkswagen chairman Herbert Diess that the company also plans to develop a drone that could be licensed, which would help it to participate in the future market for individual mobility "that's taking place up in the air.
Uber and Hyundai also unveiled plans for an electric flying taxi while Porsche, Daimler, and Toyota have backed startups in the electric vertical takeoff and landing (eVTOL) industry.
Japanese company Sky Drive Inc. conducted its country's first flying vehicle public demonstration in September.
Germany's Lilium, which is also developing an eVTOL aircraft, in November, announced its first US hub near Orlando, Florida.
