Impact of the ZY-3 04 Satellite Launch on China's Aerospace Industry Chain and Commercial Aerospace Investment Opportunities

Based on the searched information, I will conduct an in-depth analysis of the impact of the successful launch of the ZY-3 04 Satellite on China’s aerospace industry chain and commercial aerospace investment opportunities for you:

The ZY-3 04 Satellite, an Earth observation satellite, was successfully launched at the Taiyuan Satellite Launch Center on December 16, 2025. This is the 617th flight of the Long March series carrier rocket [1]. The successful launch marks China’s continuous progress in the field of remote sensing satellite technology and injects new impetus into the development of the entire aerospace industry chain.

• Technical Accumulation
  : The successful launch of the ZY-3 series satellites reflects the improvement in the maturity of China’s core technologies such as satellite platforms and remote sensing payloads
• Scale Effect
  : Multiple successful launches provide valuable experience for subsequent satellite networking and mass production, which is conducive to reducing manufacturing costs

• Launch Reliability
  : The successful launch of the Long March 4B carrier rocket further verifies the reliability of China’s launch system
• Launch Frequency Growth
  : The Long March series rockets have reached 617 flights, reflecting the steady improvement of China’s launch service capability [1]

• Data Service Market
  : Remote sensing data generated by Earth observation satellites provides support for geographic information, agricultural monitoring, urban planning and other fields
• Commercial Potential
  : With technological maturity, the space for commercial applications of satellite data continues to expand

According to Zheshang Securities’ forecast, the global commercial aerospace market size will exceed 700 billion US dollars in 2025, and the domestic market size will reach 2.8 trillion yuan. The huge market potential attracts continuous capital entry [2].

• Satellite Operation
  : In 2024, there were 52 financing cases in China’s commercial aerospace field, with a total amount of 15 billion yuan, and satellite operation became a financing hotspot [2]
• Rocket Manufacturing
  : Reusable rocket technology has become an investment focus, and several leading enterprises have started IPO counseling [2]
• Satellite Manufacturing
  : Investment opportunities brought by large-scale production and cost control

From the market performance, commercial aerospace concept stocks have performed actively recently. Concept stocks such as China Satellite (600118.SH) and Aerospace Electromechanical (600151.SH) have hit their daily limit, reflecting the market’s optimistic expectations for the aerospace industry [3].

In traditional rocket launches, fuel accounts for only 0.3% of the cost, while the first-stage rocket accounts for as high as 77.8% [2]. The promotion of reusable technology will significantly reduce launch costs. SpaceX’s practice has proven that through recovery and reuse, the launch cost can be reduced from 6,000 US dollars per kilogram to below 2,800 US dollars, a decrease of more than 50% [2].

• Focus on satellite manufacturing enterprises with technical barriers
• Layout launch service providers, especially those with reusable technology advantages
• Invest in satellite data application and service providers

China’s “Qianfan Constellation” and “National Network Constellation” need to launch nearly 28,000 low-orbit satellites in the next 10 years, bringing continuous demand to the industry chain [2]

• Reusable rocket technology
• Satellite internet technology
• Commercial application of Earth observation data

The aerospace industry has high technical thresholds, large R&D investment, and uncertainty in technological iteration.

International aerospace giants such as SpaceX have obvious advantages in technical maturity and cost control, and Chinese enterprises face fierce competition in the catch-up process.

The aerospace industry is greatly affected by policies, and changes in the international political environment may have an impact on industrial development.

The successful launch of the ZY-3 04 Satellite is another milestone in the development of China’s aerospace industry, reflecting China’s continuous progress in satellite technology and launch capabilities. Driven by national policy support and market demand, China’s commercial aerospace industry is entering a golden development period, and it is expected to maintain a high-speed growth trend in the next few years. Investors should focus on leading enterprises with core technical advantages and commercial potential, while paying attention to risk control to achieve long-term value investment.

[1] Web search results - News reports related to ZY-3 04 Satellite launch
[2] EET China - “Analysis | Zhuque-3 Y1 Rocket’s First Flight into Orbit: Competition Behind Reusable Rockets”
[3] Yahoo Finance - “Shanghai-Shenzhen A-share three major indexes closed individually, ChiNext up 1%: Commercial aerospace, chip and robot concept stocks rose”