Space - Industry - Asia Pacific Market, Share and Trends 2023-2028

Summary of Space

The space industry in the Asia-Pacific region has seen tremendous growth in recent years and is poised to become a major global hub for space activity. Countries like China, India, Japan, Australia and an increasing number of Southeast Asian nations have ambitious national space programs and commercial space sectors. Private capital is also flowing into startups and SMEs focused on new space technologies across the region.

The traditional “Big Space” industry, centered on government, is still prominent in the region, with a focus on areas such as ballistic missile defense systems and commercial telecommunications. Based on our estimates, we can say that Europe’s regional space industry is forecasted to be a $304.4 billion industry in 2029 from $164.5 billion in 2023 with a CAGR of 10.53%.

Recent estimates value the APAC space economy at over $140 billion in 2023, growing at around 8-10% annually. Emerging capabilities in areas like launch services, Earth observation satellites, satellite communications and downstream space applications are driving new opportunities. Regional and international collaboration models are enabling Asia-Pacific to punch above its weight in global space endeavors.

APAC has many years experience working with space industry clients from around the world to identify and approach potential commercial partners in Asia or elsewhere. This includes advising on negotiations, assisting with understanding cultural and business attitudes, identifying factors necessary for negotiation success and recommending actions to ensure any encountered problems are satisfactorily addressed.

Recent Trends and Insights

Large scale projects – such as telecommunication or internet based services – sometimes require a space segment to the business to ensure best delivery and a competitive advantage. This may involve something as simple as identifying the best satellite operator to provide transponders, to something as complex as installing a ground station, or building a satellite and launching it successfully, with TT & C considerations and gateway ground-stations included in the project.

APAC can assist in the planning and integration of your space segment needs no matter the level of complexity. Startups in APAC are attracting significant VC funding for projects in launch services, satellites and applications.

APAC has assisted launch providers, satellite owners / operators, and start up space companies to develop appropriate risk management guidelines and policies. We have many years experience in satellite and launch insurance and the development and placement of insurance products specifically designed for the launch and satellite market.

The dynamics in these space economies have in part followed the pattern laid out by the U.S., although driven by local strategic considerations. China, India and Japan are also shifting the responsibility for space development from the government to the commercial sector and are restructuring their agencies according to new mandates.

Product Insights

Rockets developed by China, India and Japan are increasingly being used for domestic and international satellite launches. New entrants like Larson & Toubro (India) and i-Space (Japan) are developing low-cost smallsat launchers.

Countries like China, India, Japan and South Korea operate large constellations of EO satellites for applications in mapping, infrastructure monitoring etc. Private EO companies are also emerging across APAC.

Satellite fleet operators like China Satcom, SKY Perfect JSAT, Kacific provide satellite broadband connectivity. New NGSO constellations like OneWeb, Telesat are being deployed. APAC now accounts for a major share of global trade in satellite parts, with leaders in areas like satellite buses, solar panels, antennas and electronics.

Downstream sectors utilizing space data/tech are booming – especially in areas like precision agriculture, infrastructure monitoring, maritime surveillance etc.

China’s BeiDou Global Navigation Satellite System is an example of this strategy in effect. While initially developed by the CNSA– China has been proactively working to export BeiDou products and services (also in Africa) and allowing private companies like Alibaba to provide services based on the BeiDou system.

Key Companies

Some major players within this vast domain of industry are

• Asia Pacific Satellite Inc (APSI)
• Space Applications Services NV/SA
• LP Technologies
• Liberty Uplink
• Adamant Composites
• Hanwha Corp
• Mitsubishi Electric Corp
• Mitsubishi Heavy Industries Ltd
• Fujitsu Ltd
• NEC Corp

Regional Analysis

China continues to strengthen its position as a leading space power with the Tiangong space station, robotic lunar and Mars exploration programs. 2023 saw multiple crewed Shenzhou missions and spacewalks. Startups in APAC are attracting significant VC funding for projects in launch services, satellites and applications.

India’s space budget saw a major increase in 2023, fueling ambitious lunar and human spaceflight plans. New space initiatives were announced to promote private sector participation. Japan is working to commercialize its space industry and boost NewSpace. Projects include a new commercial launch vehicle and plans for a lunar exploration base.

Southeast Asian nations like Singapore, Indonesia, Malaysia, Thailand and Vietnam are developing national space agencies and satellite programs. Australia is growing its domestic space manufacturing sector and pursuing lunar science missions with NASA.

In June 2022 – South Korea launched its Nuri rocket, deploying six satellites into orbit, making it the seventh nation in the world to have successfully launched a greater-than-one-ton payload on a fully indigenous space launch vehicle.

Market Segmentation

By Type:

• Satellite Services
• Satellite Manufacturing
• Satellite Launch Services
• Space Exploration

By End user:

• Commercial Sector
• Government Sector
• Military & Defense Sector
• Scientific research Sector

By Enterprise Size:

• Large Industries
• Small & Medium Industries

By Country:

• China
• India
• Japan
• Indonesia
• South Korea
• Australia

Our Methodology

We have offered a well-founded review of Aisa Pacific’s regional Space Industry market along with ongoing trends and upcoming projections to highlight proximate investment opportunities in this report. Moreover, an extensive analysis of any future prospects, challenges, competitors, or navigating aspects is also provided. A methodical detailed regional examination is presented.

Primary Research  

Our multi-pronged research approach includes interviews with industry leaders and a global survey of advanced manufacturing professionals to gain qualitative insights. We utilize our proprietary databases encompassing key performance indicators worldwide in order to collate relevant data points. A multivariate forecasting framework considering historical performance, current dynamics and qualitative factors are utilized to develop market sizing and growth projections through 2029.

We supplement our primary research with a careful examination of secondary materials such as– case studies, news stories and references from other sources. Organizations can benefit from the strategic advice and conclusions offered because they will be better equipped to respond to the dynamic nature of this industry and seize emerging possibilities.

We employ a comprehensive and iterative research methodology focused on minimizing deviation to provide the most accurate market estimates. Our research utilizes a combination of bottom-up and top-down approaches across segments and utilizes databases, primary research insights and industry experts for analysis.

Raw data is obtained from multiple sources and thoroughly filtered to ensure only authenticated and validated sources are considered. We collect data from raw material suppliers, industry associations, technology providers, and buyers to gain a holistic perspective.

Quantitative Analysis

Our market estimates are derived through statistical models, beginning with collection of historical data and analysis of macro- and micro-economic factors influencing the market. Gathered information on market dynamics, technology and pricing trends are utilised to build the models.

Econometric and technological models are applied to project short- and long-term market potential respectively. A bottom-up approach is preferred to minimize errors. Key parameters considered include market drivers and restraints, material pricing trends, regulatory scenarios, and capacity additions.

Weights are assigned to these parameters based on impact analysis and market forecasting is performed via statistical tools and techniques. We believe this methodology results in an accurate and realistic market picture.