As per MRFR Analysis, the Global Satellite Propulsion System Market was valued at USD 10.4 Billion in 2023 and is projected to grow to USD 25.6 Billion by 2032, with a CAGR of 10.40% from 2024 to 2032. The market is driven by the increasing number of space exploration missions and the demand for LEO-based solutions. Notable investments in space technology, such as the U.K. government's funding of USD 4.91 million for the National Space Propulsion Test Facility, are expected to further boost market growth.
The Satellite Propulsion System market is experiencing significant growth due to various factors.
Key players include Aerojet Rocketdyne (U.S.), Bellatrix Aerospace (India), Mitsubishi Electric Corporation (Japan), Airbus Defense and Space (France), Boeing (U.S.), Safran S.A. (France), OHB System AG (Germany), Ball Aerospace & Technologies Corp. (U.S.), Thales Group (France), and Orbital ATK Inc. (U.S.).
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Growing space exploration activities is driving the market growth
Market CAGR for satellite propulsion system is being driven by the rising number of space exploration missions. The space exploration industry has undergone significant transformation during the past fifteen years as governments, private firms, and startups have joined together to develop and launch satellites and other spacecraft using launch vehicles. Because of this, there is now a greater need for propulsion systems in space. investment in space exploration has grown in recent years, driven by initiatives in leading nations and new governments participating in the field.
Additionally, during the projected period, increased government spending on space technology is anticipated to provide up profitable market expansion prospects. By way of illustration, the Westcott Space Cluster in the Aylesbury Vale Enterprise Zone invested in a new National Space Propulsion Test Facility (NSPTF) in 2021, which received about USD4.91 million in funding from the U.K. government Space Agency. This brand-new facility will enable advancements in propulsion technologies, such as testing stronger engines for interplanetary travel and low-cost development. Therefore, increasing investments in space technology will spur the market for space propulsion to rise in the future.
In industrialized countries, there is growing need for low-cost, high-speed broadband with increased capacity for enterprise data (retail, retaining the money), the energy industry (oil, gas, mining), and the government. As a result, there is a growth in demand for affordable broadband among individual consumers in developing nations and remote areas without access to the Internet. Additionally, industrialized nations have a significant need for low-cost, high-speed internet, and on the off chance that all planned LEO groups of stars and GEO HTS satellites are successful, there may be a lot larger supply than there is expected demand, which would lower the per-megabit cost.
In a still constrained fiscal climate, it is anticipated that space exploration spending would increase to more than $20 billion by 2027. Along with an increasing number of governments, the private sector is becoming increasingly interested in space exploration; small and major firms are all trying to determine how lucrative these operations might be. The expansion of space expeditions and the commercial use of satellites is expediting the growth of the market. Space agencies are always striving to take advantage of private-sector collaborations to achieve their objectives more cost-effectively while supporting sustainable space exploration. Thus, driving the Satellite Propulsion System market revenue.
The Satellite Propulsion System market segmentation, based on propulsion type includes Cold Gas Propulsion, Pulsed Plasma Thrusters, Green Liquid Propulsion, Water Electrolyzed, Hydrazine Micro Electrospray Propulsion, Iodine Hall Propulsion, Solar Sail Propulsion, and Ambipolar Thruster. The pulsed plasma thrusters segment dominated the market. Electric thrusters with a high specific impulse and low power are known as pulsed plasma thrusters (PPTs). For uses in small spacecraft for attitude control, precise spacecraft control, and low-thrust manoeuvres, pulsed plasma thrusters are excellent. Because of their simple systems and high specific impulse, abortive PPTs that use solid propellants are advantageous for missions. These systems use plasma's inherent qualities to generate propulsion and high speeds while using very little fuel.
Figure 1: Satellite Propulsion System Market, by propulsion type, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Satellite Propulsion System market area will dominate this market. This region will yield the highest CAGR. NASA (National Air Transportation and Space Organization) and other well-known space organizations are to blame for this. Leading satellite drive system vendors like AerojetRocketdyne and Boeing are also present in this region, which is promoting the growth of the local market.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: SATELLITE PROPULSION SYSTEM MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Satellite Propulsion System market accounts for the second-largest market share. The European Union's member states intend to provide funds to the European Space Agency (ESA) for the development of next-generation satellites with electric propulsion systems that will lower launch costs and mass. Further, the German Satellite Propulsion System market held the largest market share, and the UK Satellite Propulsion System market was the fastest growing market in the European region
The Asia-Pacific Satellite Propulsion System Market is expected to extend at the quickest CAGR from 2023 to 2032. Increased R&D spending in domestic electric propulsion capabilities by regional space agencies and market companies is credited with this expansion. Additionally, these technologies are frequently employed in homeland security and defense activities. Moreover, China’s Satellite Propulsion System market held the largest market share, and the Indian Satellite Propulsion System market was the fastest growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Satellite Propulsion System market, grow even more. Market players are also undergoing a variety of strategies to expand their worldwide presence, with important market developments including new product innovations, contractual agreements, mergers & acquisitions, increased investments, and collaboration with other similar organizations. To expand and survive in a more competitive and rising market climate, Satellite Propulsion System industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Satellite Propulsion System industry to benefit clients and increase the market sector. In recent years, the Satellite Propulsion System industry has offered some of the most significant advantages to medicine. Major players in the Satellite Propulsion System market, including Aerojet Rocketdyne (U.S.), Bellatrix Aerospace (India), Mitsubishi Electric Corporation (Japan), Airbus Defense and Space (France), Boeing (U.S.), Safran S.A. (France), OHB System AG (Germany), Ball Aerospace & Technologies Corp. (U.S.), Thales Group (France), and Orbital ATK Inc.(U.S.), and others, are attempting to increase market demand by investing in research and development operations.
The company Aerojet Rocketdyne Holdings Inc. (AR Holdings) designs and produces systems and products for the aerospace and defense industries. Real estate services are also provided. Power and propulsion systems, electric propulsion systems, and armament systems are all part of the company's product line. Launch propulsion, in-space propulsion, liquid and solid rocket propulsion, missile defense propulsion, tactical missile propulsion, and hypersonic propulsion systems are all other services provided by AR Holdings. Re-zoning, entitlement, sale, and leasing of its surplus real estate assets are among its real estate services. NASA, the Missile Defense Agency (MDA), the US Army, the US Air Force, the US Navy, other branches of the US government, Lockheed Martin, The Boeing Co, United Launch Alliance (ULA), and Raytheon Technologies Corp. are among AR Holdings' clients. In April 2023, The Pentagon stated April 14 that the Defense Department has decided to give Aerojet Rocketdyne $215.6 million to enhance its rocket propulsion manufacturing facilities in order to hasten the production of missiles for Ukraine.
An integrated corporation, Mitsubishi Corp (Mitsubishi) develops and runs enterprises in a variety of sectors, including industrial finance, energy, metals, machinery, chemicals, household goods, and environmental business. Through its local and international network, the corporation manufactures and provide a varied range of goods, including energy, metals, equipment, chemicals, and daily necessities. It engages in a variety of commercial ventures by making investments in sectors like infrastructure development, natural resource development, and financial services. Mitsubishi also develops innovative business models for enterprises involved in new technologies, the environment, and energy. In May 2023, The Himawari-10 will be Mitsubishi Electric Corporation's fourth consecutive geostationary meteorological satellite, dating back to the Himawari-7 some 20 years ago, and will be built for the Japan Meteorological Agency (JMA), which awarded the contract to Mitsubishi Electric.
Aerojet Rocketdyne (U.S.),
Bellatrix Aerospace (India),
Mitsubishi Electric Corporation (Japan),
Airbus Defense and Space (France),
Boeing (U.S.),
Safran S.A. (France),
OHB System AG (Germany),
Ball Aerospace & Technologies Corp. (U.S.),
Thales Group (France),
Orbital ATK Inc. (U.S.)
April 2023: Exotrail and Astra Space have received orders for electric propulsion systems for satellites as they aim to increase production of those items. Astra stated on April 27 that Apex, a company creating a series of standardized smallsats, has placed an order for five of its Astra Spacecraft Engines. The terms of the agreement were not made public by the parties, but Astra stated that the engines would begin to be delivered later this year.
November 2022: A research and development (R&D) facility and manufacturing facility for space taxis (orbital transfer vehicles, or OTVs) and propulsion systems for rockets and satellites are expected to open by the end of 2023 on a five-acre site at the aerospace park close to Kempegowda International Airport (KIA).
Satellite Propulsion System Propulsion Type Outlook (USD Billion, 2018-2032)
Cold Gas Propulsion
Pulsed Plasma Thrusters
Green Liquid Propulsion
Water Electrolyzed
Hydrazine Micro Electrospray Propulsion
Iodine Hall Propulsion
Solar Sail Propulsion
Ambipolar Thruster
Satellite Propulsion System Regional Outlook
North America
US
Canada
Europe
Germany
France
UK
Italy
Spain
Rest of Europe
Asia-Pacific
China
Japan
India
Australia
South Korea
Australia
Rest of Asia-Pacific
Rest of the World
Middle East
Africa
Latin America
| Attribute/Metric | Details |
| Market Size 2023 | USD 10.4 Billion |
| Market Size 2024 | USD 11.5 Billion |
| Market Size 2032 | USD 25.6 Billion |
| Compound Annual Growth Rate (CAGR) | 10.40% (2024-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Propulsion Type, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Aerojet Rocketdyne (U.S.), Bellatrix Aerospace (India), Mitsubishi Electric Corporation (Japan), Airbus Defense and Space (France), Boeing (U.S.), Safran S.A. (France), OHB System AG (Germany) |
| Key Market Opportunities | Rising number of space explorations projects |
| Key Market Dynamics | Increase in market development activities by leading manufacturers |
Satellite Propulsion System Market Highlights:
Frequently Asked Questions (FAQ) :
The Satellite Propulsion System market size was valued at USD 10.4 Billion in 2023.
The market is projected to grow at a CAGR of 10.4% during the forecast period, 2024-2032.
North America had the largest share in the market
The key players in the market are Aerojet Rocketdyne (U.S.), Bellatrix Aerospace (India), Mitsubishi Electric Corporation (Japan), Airbus Defense and Space (France), Boeing (U.S.), Safran S.A. (France), OHB System AG (Germany).
The pulsed plasma thruster category dominated the market in 2023.
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Team Lead - Research With a technical background as bachelor's in mechanical engineering, with mba in operations management , swapnil has 6+ years of experience in market research, consulting and analytics with the tasks of data mining, analysis, and project execution. he is the poc for our clients, for their consulting projects running under the automotive/a&d domain. swapnil has worked on major projects in verticals such as aerospace & defense, automotive and many other domain projects. he has worked on projects for fortune 500 companies' syndicate and consulting projects along with several government projects.
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