Analysis of the Most Investment-Potential Segments in China's Commercial Aerospace After Its Inclusion in Strategic Emerging Industries

China’s commercial aerospace industry was officially included in the national strategic emerging industries in 2023, marking a key turning point for the industry from “following” to “running alongside” or even “leading” globally. According to the latest data, the commercial aerospace industry scale grew rapidly from 800 billion yuan in 2019 to 1.9 trillion yuan in 2023, with a compound annual growth rate (CAGR) of 24.1%. It is expected to reach 6 trillion yuan by 2028, with a CAGR of 25.9% from 2023 to 2028 [3].

• China’s three 10,000-satellite constellation plans are accelerating: China Satellite Network (GW Constellation), Shanghai Yuanxin (G60 Qianfan Constellation), and LandSpace Hongqing Technology (Honghu-3 Constellation) [4]
• As of July 2025, China Satellite Network has launched 47 satellites cumulatively, and Qianfan Constellation has launched 72 satellites cumulatively [1]
• The satellite internet market size is expected to grow from 64.8 billion yuan in 2024 to 151.2 billion yuan in 2030 [2]

• Constellation operators: With first-mover advantages and scale effects
• Ground equipment manufacturing: Terminal devices, base station construction
• Application service providers: Transportation, smart agriculture, emergency disaster relief and other fields

• Launch costs are expected to drop significantly to below 10,000 yuan per kilogram, removing cost barriers for the deployment of 10,000-satellite constellations [2]
• LandSpace’s “Zhuque-3” and Deep Blue Aerospace’s “Xingyun-1” have completed key technology verifications [5]
• Starting from the end of 2025, new commercial rocket models such as Zhuque-3, Tianlong-3, and Yinli-2 will have their maiden launches [4]

• Liquid oxygen methane engine manufacturers
• Rocket recovery and reuse technology service providers
• Launch site supporting facilities suppliers

• Traditional satellite manufacturing takes 1-2 years, but now Geely Satellite’s super factory can produce one satellite in 28 days, increasing mass production speed by 10 times [7]
• Adopting technologies such as digital twin and flexible intelligent manufacturing has significantly improved satellite production efficiency [2]
• 3D-printed satellite structural components account for over 50%, greatly shortening the manufacturing cycle [5]

• Satellite intelligent manufacturing base operators
• Satellite core component suppliers
• Automated testing and assembly service providers

• The number of launch site workstations is growing rapidly, and demand for related infrastructure is surging [1]
• Service providers of test launch command and monitoring systems as well as refueling and gas supply systems are particularly favored [1]
• The construction progress of commercial launch sites directly affects constellation deployment efficiency

• Launch site construction and operation
• Measurement and control system equipment suppliers
• Refueling and gas supply system service providers

• Beidou Satellite Navigation System provides global services, with positioning accuracy continuously improving [5]
• AI satellites provide intelligent data analysis and computing services [3]
• Diversified applications such as environmental monitoring, disaster management, and space exploration

• Satellite remote sensing data analysis service providers
• Beidou-based location service providers
• Space-ground integrated AI infrastructure operators

1. High R&D investment
   : For example, Guoxing Aerospace’s R&D expenditure in the first three quarters of 2024 increased by 2.4 times year-on-year to 105 million yuan, accounting for 44.2% of total revenue [3]
2. High customer concentration
   : Some enterprises have an excessively high proportion of revenue from a single customer, posing a risk of customer churn [3]
3. Technological iteration risk
   : Aerospace technology updates rapidly, requiring continuous R&D investment to maintain competitiveness
4. Policy regulation
   : As a national strategic industry, policy changes may affect the market structure

• The overall manufacturing cost of satellites is too high, and mass production capacity needs to be improved [6]
• Fierce competition for orbital resources and intensified international competition
• Environmental issues such as space debris management are becoming increasingly prominent

• Launch services
  : As constellation deployment accelerates, launch demand will grow rapidly
• Satellite manufacturing
  : Mass production capacity becomes a core competitiveness

• Application services
  : As infrastructure improves, the value of the application side will gradually be released
• Data processing
  : Integration of AI and aerospace technology spawns new business models

• International expansion
  : Chinese commercial aerospace enterprises are expected to participate in global competition
• Technological innovation
  : Disruptive technologies such as reusable rockets and laser communication will reshape the industry structure

China’s commercial aerospace industry is in a golden development period, with policy support, technological innovation, and capital demand forming a virtuous cycle. The five segments of satellite internet constellation operation, reusable rockets, mass satellite manufacturing, launch site infrastructure, and satellite application and data services have the most investment potential. Investors should focus on leading enterprises with core technological advantages, large-scale production capabilities, and clear business models, while paying attention to policy trends and the far-reaching impact of technological breakthroughs on the industry structure.

[1] Satellite Internet Industry Series: Commercial Aerospace Launch Site Workstations Grow Rapidly, Favoring Test Launch Command & Monitoring Systems and Refueling & Gas Supply System Service Providers. Dongxing Securities Research Report. August 18, 2025

[2] Commercial Aerospace (Research Report). Finance Channel.

[3] Guoxing Aerospace’s Loss Continues to Expand, Seizing Space Fever to Go Public. Yahoo Hong Kong Finance.

[4] Targeting SpaceX Starlink! China’s Three 10,000-Satellite Constellation Plans Push Commercial Aerospace into High-Speed Development Period. Yahoo Hong Kong Finance.

[5] Prospects, Trends and Promotion Measures of China’s Commercial Aerospace. People’s Daily. July 1, 2025

[6] From “Launching One Satellite” to “Operating a Network” — The Scaling and Internationalization Process of the Commercial Satellite Industry. Sina Finance. December 7, 2025

[7] This Factory Produces One Satellite in 28 Days. Xinhuanet. April 8, 2025