
The Rise of China’s Commercial Space Sector
China’s space industry, once the exclusive domain of large state-owned enterprises like the China Aerospace Science and Technology Corporation (CASC), has undergone a significant transformation. A pivotal policy shift in 2014 opened the sector to private capital, setting the stage for a new era of commercial space activity. This decision was not merely about privatization; it was a strategic move to inject dynamism, accelerate innovation, and build a robust industrial base capable of meeting ambitious national goals, such as the deployment of large-scale satellite constellations.
The result has been the emergence of a vibrant ecosystem of startups. Since the mid-2010s, dozens of private companies have been founded, attracting substantial investment and establishing advanced manufacturing and research facilities across the country. This growth is actively encouraged at the highest levels; the commercial space sector was identified as a “new engine of economic growth” in the government’s 2024 work report, spurring regional governments in cities like Beijing and Shanghai to roll out supportive policies and funding. The market is projected to expand dramatically, from an estimated 2.8 trillion yuan in 2025 to over 6.6 trillion yuan by 2029.
This new generation of launch providers operates within a unique, state-guided commercial framework. Some companies, like CAS Space, are direct spin-offs of government research institutions, blending state-backed expertise with commercial agility. Others are purely private ventures, yet their objectives often align with national strategic priorities. The central ambition for many of these firms is to achieve what is often called a “SpaceX moment”—a breakthrough in rocket reusability that would dramatically lower launch costs and position them as major players on the global stage. This shared goal has fostered the development of industrial hubs, such as the “Rocket Street” cluster in Beijing, where many of these companies are concentrated.
Launch Provider Profiles
The following profiles detail the most prominent commercial launch providers in China, outlining their corporate background, key achievements, and current and future launch vehicle fleets.
LandSpace
LandSpace Technology Corporation, founded in 2015 and headquartered in Beijing, is one of the leading private aerospace companies in China. The company has focused on developing and operating its own launch vehicles, with a particular emphasis on pioneering the use of liquid methane and liquid oxygen (methalox) propellants. It has built a vertically integrated operation with research, manufacturing, and testing facilities in Beijing, Xi’an, and the Yangtze River Delta.
LandSpace’s development path illustrates a common strategy among its peers: starting with simpler technology before advancing to more complex systems. The company’s first vehicle was the Zhuque-1, a solid-propellant rocket. Its inaugural launch in October 2018 was the first orbital attempt by any private Chinese company, but it failed to reach orbit due to an issue with its third stage.
Following this, LandSpace pivoted entirely to liquid propulsion. Its Zhuque-2 rocket achieved a major global milestone in July 2023, becoming the world’s first methalox-fueled rocket to successfully reach orbit. This achievement validated the company’s strategic bet on methane as a next-generation propellant, which is valued for its high performance, lower cost, and cleaner combustion—a key advantage for engine reuse.
The company’s next step is the Zhuque-3, a much larger, stainless-steel rocket designed to be partially reusable. The first stage, powered by a cluster of nine methalox engines, is intended for vertical landing and recovery, with a target of being reused up to 20 times. LandSpace has already conducted successful high-altitude vertical-takeoff-vertical-landing (VTVL) tests with a demonstrator vehicle, flying to over 10 kilometers and proving its guidance and control systems for powered descent and landing. The first orbital flight of the Zhuque-3 is anticipated in 2025.
Zhuque-2 Specifications
| Specification | Details |
|---|---|
| Height | 49.5 m |
| Diameter | 3.35 m |
| Stages | 2 |
| Propellant | Liquid Oxygen / Liquid Methane (Methalox) |
| Payload to LEO (200 km) | 6,000 kg |
| Payload to SSO (500 km) | 4,000 kg |
| Reusability | Expendable |
| Status | Active |
Zhuque-3 Specifications
| Specification | Details |
|---|---|
| Height | 76.6 m |
| Diameter | 4.5 m |
| Stages | 2 |
| Propellant | Liquid Oxygen / Liquid Methane (Methalox) |
| Payload to LEO (Expendable) | 21,300 kg |
| Payload to LEO (Reusable) | 12,500 kg (Ground Landing) |
| Reusability | Partially Reusable (First Stage) |
| Status | In Development |
- Website:
www.landspace.com
Galactic Energy
Established in Beijing in February 2018, Galactic Energy has quickly become one of China’s most prolific and reliable commercial launch providers. The company distinguished itself by becoming the first private Chinese firm to achieve consecutive successful orbital launches and has demonstrated its versatility by conducting missions from both land-based spaceports and mobile sea platforms.
The company’s initial success is built on its Ceres-1 rocket, a small-lift vehicle that has become a workhorse for deploying constellations of small satellites. The Ceres-1 is a four-stage rocket. The first three stages use solid propellant, which allows for rapid manufacturing and launch preparation, while the fourth stage uses a liquid-propellant engine for high-precision final orbit insertion. Since its first flight in November 2020, the Ceres-1 has completed a significant number of missions, deploying dozens of commercial satellites and establishing a track record of reliability that outpaces many of its domestic competitors. A sea-launched version, the Ceres-1S, has also been successfully flown from a converted barge, giving customers more flexible launch options.
Like its competitors, Galactic Energy is advancing toward reusability with its next-generation rocket, the Pallas-1. This medium-lift vehicle represents a significant leap in capability and technology. It is a two-stage rocket fueled by liquid oxygen and kerosene (kerolox), a mature and well-understood propellant combination. The first stage is being designed for reuse, incorporating grid fins for atmospheric steering and deployable landing legs to perform vertical landings, a method proven by SpaceX‘s Falcon 9. A heavy-lift variant, which would use three Pallas-1 first-stage cores strapped together, is also part of the company’s long-term plans.
Ceres-1 Specifications
| Specification | Details |
|---|---|
| Height | ~20 m |
| Diameter | 1.4 m |
| Stages | 4 (3 Solid + 1 Liquid) |
| Propellant | Solid (Stages 1-3), Hydrazine (Stage 4) |
| Payload to LEO | ~400 kg |
| Payload to SSO (500 km) | ~300 kg |
| Reusability | Expendable |
| Status | Active |
Pallas-1 Specifications
| Specification | Details |
|---|---|
| Height | ~42 m |
| Diameter | 3.35 m |
| Stages | 2 |
| Propellant | Liquid Oxygen / Kerosene (Kerolox) |
| Payload to LEO | 5,000 kg (Reusable) |
| Payload to SSO (700 km) | 3,000 kg (Reusable) |
| Reusability | Partially Reusable (First Stage) |
| Status | In Development |
- Website:
www.galactic-energy.cn
i-Space (Interstellar Glory)
Beijing Interstellar Glory Space Technology Ltd., more commonly known as i-Space, was founded in October 2016. The company secured a historic milestone for China’s private space industry in July 2019 when its Hyperbola-1 rocket successfully delivered satellites to orbit, making i-Space the first private Chinese firm to do so.
The Hyperbola-1 is a small-lift, four-stage solid-propellant rocket capable of carrying payloads of around 300 kg to a 500 km sun-synchronous orbit (SSO). While its maiden flight was a landmark success, the vehicle subsequently suffered three consecutive launch failures between 2021 and 2022. The company successfully returned the rocket to flight in April 2023, demonstrating its persistence in overcoming technical challenges.
To pursue reusability, i-Space is developing its next-generation vehicles using a staged approach. The Hyperbola-2 is a single-stage, reusable technology demonstrator, not an orbital rocket. This test vehicle, powered by a single variable-thrust methalox engine, is used to perform low-altitude VTVL “hop” tests. These tests, which have successfully demonstrated controlled vertical landing, are essential for validating the propulsion and guidance systems needed for the company’s much larger orbital rocket, the Hyperbola-3.
The Hyperbola-3 is i-Space’s planned medium-lift, partially reusable rocket. It is a two-stage vehicle that will use methalox propellants. It is designed to lift over 8,500 kg to LEO when its first stage is recovered and reused. This vehicle places i-Space in direct competition with LandSpace in the pursuit of a methalox-based reusable launcher. The company is targeting 2025 for the first expendable flight of the Hyperbola-3, with a first-stage recovery attempt to follow in 2026.
Hyperbola-1 Specifications
| Specification | Details |
|---|---|
| Height | ~24 m |
| Diameter | 1.4 m |
| Stages | 4 |
| Propellant | Solid |
| Payload to LEO | ~520 kg |
| Payload to SSO (500 km) | ~300 kg |
| Reusability | Expendable |
| Status | Active |
Hyperbola-3 Specifications
| Specification | Details |
|---|---|
| Height | ~69 m |
| Diameter | Not specified |
| Stages | 2 |
| Propellant | Liquid Oxygen / Liquid Methane (Methalox) |
| Payload to LEO (Expendable) | 13,400 kg |
| Payload to LEO (Reusable) | 8,500 kg |
| Reusability | Partially Reusable (First Stage) |
| Status | In Development |
- Website:
www.i-space.com.cn
CAS Space
CAS Space, officially known as Guangzhou Zhongke Aerospace Exploration Technology Co., Ltd., was established in 2018. It is a prominent example of China’s “quasi-private” space model, having been founded as a commercial spin-off of the state-run Chinese Academy of Sciences (CAS). This lineage provides the Guangzhou-based company with deep technical expertise and institutional support. The company has already begun serving the international market, having launched a satellite for Oman in November 2024.
The company’s first operational rocket is the Kinetica 1 (also known as Lijian-1), a four-stage solid-fuel vehicle. Standing 30 meters tall, it is capable of delivering up to 2,000 kg to LEO, making it one of the most powerful solid-fueled rockets in China’s commercial fleet. It had a successful maiden flight in July 2022 and has maintained a perfect launch record through its initial missions.
CAS Space is also developing a family of larger, reusable liquid-propellant rockets. The Kinetica 2 is a medium-lift vehicle using kerolox propellant, designed to be reused more than 20 times and capable of lifting 12 tons to LEO. The Kinetica 2H is a heavy-lift variant that adds four boosters to the core stage, increasing its LEO payload capacity to over 20 tons.
In addition to satellite launches, CAS Space is a serious contender in the emerging space tourism market. The company is developing a reusable suborbital vehicle designed to carry seven passengers on a 10-minute flight above the 100-kilometer Kármán line. The capsule is designed with panoramic windows to offer expansive views of Earth. The company has ambitious plans for this service, including the construction of a dedicated space theme park and aiming to fly 1,000 passengers annually.
Kinetica 1 Specifications
| Specification | Details |
|---|---|
| Height | 30 m |
| Diameter | 2.65 m |
| Stages | 4 |
| Propellant | Solid |
| Payload to LEO | 2,000 kg |
| Payload to SSO (500 km) | 1,500 kg |
| Reusability | Expendable |
| Status | Active |
Kinetica 2 Specifications
| Specification | Details |
|---|---|
| Height | 52 m |
| Diameter | 3.35 m |
| Stages | 2 |
| Propellant | Liquid Oxygen / Kerosene (Kerolox) |
| Payload to LEO | 12,000 kg |
| Payload to SSO (500 km) | 8,000 kg |
| Reusability | Partially Reusable (>20 times) |
| Status | In Development |
- Website:
www.cas-space.com
Orienspace
Founded in 2020 and based in Yantai, Orienspace is a newer entrant that has made a significant impact in a short time. The company’s maiden launch of its Gravity-1 rocket in January 2024 was a major event, setting new records as the most powerful solid-fuel rocket in the world and the most powerful commercial rocket in China to date.
The Gravity-1 is an innovative and powerful all-solid-propellant vehicle. Its unique design features four large solid-propellant boosters strapped to a central core of three solid motors that ignite in sequence. This configuration gives it the power to lift an impressive 6,500 kg to LEO, a capability that far exceeds other solid-fueled launchers and is well-suited for deploying large batches of satellites. The successful first flight was conducted from a specially converted barge in the Yellow Sea, demonstrating the company’s commitment to flexible, sea-based launch operations.
Orienspace is also developing the Gravity-2, a partially reusable medium-lift rocket scheduled for a 2025 debut. This vehicle will use a hybrid propulsion system, combining a liquid-fueled core stage powered by kerolox engines with solid rocket boosters derived from the Gravity-1’s technology. It is being designed with a substantial payload capacity of over 25 tons to LEO, positioning it to compete in the heavy-lift market for large constellation deployment and missions to higher orbits.
Gravity-1 Specifications
| Specification | Details |
|---|---|
| Height | ~30 m |
| Diameter | 4.2 m (Fairing) |
| Stages | Multi-stage (clustered solid motors) |
| Propellant | Solid |
| Payload to LEO | 6,500 kg |
| Payload to SSO (500 km) | 4,200 kg |
| Reusability | Expendable |
| Status | Active |
Gravity-2 Specifications
| Specification | Details |
|---|---|
| Height | Not specified |
| Diameter | Not specified |
| Configuration | Liquid Core Stage + Solid Boosters |
| Propellant | Liquid Oxygen / Kerosene (Core) + Solid (Boosters) |
| Payload to LEO | 25,600 kg |
| Payload to SSO (500 km) | 19,100 kg |
| Reusability | Partially Reusable (Core Stage) |
| Status | In Development |
- Website:
www.orienspace.com
Space Pioneer
Space Pioneer, also known as Beijing Tianbing Technology, was founded in 2019 and is focused on developing reusable liquid-propellant launch vehicles. The company achieved a major success in April 2023 when its Tianlong-2 rocket reached orbit, becoming the first privately developed liquid-fueled rocket in China to do so.
The Tianlong-2 is a three-stage, expendable rocket that uses a combination of liquid oxygen and kerosene (kerolox) as its propellant. It is capable of delivering payloads of 2,000 kg to LEO. Its successful flight was a critical proof-of-concept for the company’s liquid propulsion technology.
The company’s primary focus is now on the Tianlong-3, a much larger, partially reusable rocket designed to be a direct domestic competitor to the Falcon 9. The 71-meter-tall, two-stage kerolox rocket is designed to lift 17 tons to LEO with a recoverable first stage. The first stage is designed to be reused up to 10 times. The development program has encountered public setbacks, including an incident where a test article accidentally lifted off during a ground test, but the company continues to advance toward an orbital flight attempt.
Tianlong-2 Specifications
| Specification | Details |
|---|---|
| Height | 32.8 m |
| Diameter | 3.35 m |
| Stages | 3 |
| Propellant | Liquid Oxygen / Kerosene (Kerolox) |
| Payload to LEO | 2,000 kg |
| Payload to SSO (500 km) | 1,500 kg |
| Reusability | Expendable |
| Status | Active |
Tianlong-3 Specifications
| Specification | Details |
|---|---|
| Height | 71 m |
| Diameter | 3.8 m |
| Stages | 2 |
| Propellant | Liquid Oxygen / Kerosene (Kerolox) |
| Payload to LEO (Reusable) | 17,000 kg |
| Payload to SSO (Reusable) | 14,000 kg |
| Reusability | Partially Reusable (First Stage) |
| Status | In Development |
- Website:
www.spacepioneer.cc
Deep Blue Aerospace
Founded in 2016, Deep Blue Aerospace is a company singularly focused on developing reusable launch vehicles featuring vertical takeoff and landing (VTVL) capabilities. Headquartered in Nantong, the company has made steady progress on its core technology.
Its primary vehicle under development is the Nebula-1, a two-stage rocket designed for first-stage recovery and reuse. In May 2022, the company successfully conducted a kilometer-level VTVL flight test, or “hop test,” with the Nebula-1’s first stage, demonstrating the functionality of its propulsion and control systems for landing. The company is also developing a larger vehicle, the Nebula-2, for medium-lift missions.
Deep Blue Aerospace is also one of the most visible proponents of space tourism in China. The company plans to leverage its VTVL technology to offer 12-minute suborbital flights for tourists, with a target start date of 2027. The first tickets for these flights were reportedly sold immediately upon being offered in late 2024, indicating early market interest.
- Website:
www.dbaspace.com
Summary
China’s commercial launch sector, born from a strategic policy decision in 2014, has rapidly evolved into a competitive and technologically ambitious industry. A host of new providers has emerged, each pursuing distinct strategies to capture a share of the growing global space economy. A clear developmental pattern has taken hold across the industry: many firms first built and flew smaller, expendable solid-fuel rockets to gain operational experience and enter the market quickly. Galactic Energy’s Ceres-1 and i-Space’s Hyperbola-1 are prime examples of this initial step.
The industry’s collective focus has now pivoted decisively toward developing larger, partially reusable liquid-propellant rockets. This shift is driven by the need to lower launch costs to effectively compete for contracts to build out massive satellite constellations. Within this pursuit, a key technological divergence is apparent. Companies like Galactic Energy and Space Pioneer are leveraging the proven reliability of kerosene-based (kerolox) engines to develop launchers modeled on existing successful vehicles. In contrast, LandSpace and i-Space are investing in more advanced methane-based (methalox) engines, which promise greater efficiency and ease of reuse. LandSpace’s historic success in launching the world’s first methalox rocket to orbit has given it a significant head start in this next-generation technology race.
Beyond the core business of satellite delivery, Chinese providers are diversifying their strategies to find a competitive edge. The adoption of flexible sea-based launch platforms by Orienspace and Galactic Energy addresses the logistical constraints of land-based spaceports. At the same time, the ambitious pursuit of suborbital space tourism by CAS Space and Deep Blue Aerospace represents a move to capture a high-profile, high-value niche market that can also drive brand recognition and technology development. This combination of swift technological advancement, strategic differentiation, and sustained government support positions China’s commercial launch sector as an increasingly capable and significant force in the international space industry.

