Electric Propulsion Systems for Rockets Market Report 2026

The electric propulsion systems for rockets market size has grown rapidly in recent years. It will grow from $0.79 billion in 2025 to $0.92 billion in 2026 at a compound annual growth rate (CAGR) of 16.5%. The growth in the historic period can be attributed to rising use of in-orbit maneuvering systems, increasing deployment of satellites, reliance on high-precision propulsion materials, growth in commercial space missions, expansion of early electric propulsion testing initiatives.

The electric propulsion systems for rockets market size is expected to see rapid growth in the next few years. It will grow to $1.69 billion in 2030 at a compound annual growth rate (CAGR) of 16.4%. The growth in the forecast period can be attributed to increasing adoption of advanced electric thrusters, rising investment in commercial space exploration, development of high-efficiency propulsion materials, expansion of defense space programs, growth in global satellite constellation projects. Major trends in the forecast period include integration of AI-enhanced propulsion control, advancement of electrified space propulsion technologies, expansion of automated thruster manufacturing, adoption of secure digital propulsion diagnostics, development of autonomous in-orbit maneuvering systems.

The growth of the electric propulsion systems for rockets market is expected to be driven by the increasing number of satellite launches in the coming years. Satellite launches involve sending satellites into space via launch vehicles to place them into specific orbits for operational use. The rise in satellite launches is fueled by the growing demand for global connectivity, as the reliance on internet access, communication services, and data transmission pushes the need for more satellite networks in orbit. This increase supports the demand for electric propulsion systems, which offer efficient, long-duration propulsion necessary for tasks such as station-keeping, orbit raising, and maneuvering. These systems provide superior fuel efficiency and precise control. For example, in May 2024, the National Space Operations Centre (NSpOC), a UK-based space surveillance organization, reported that there were over 9,000 active satellites in orbit by April 2024, with projections estimating this number could exceed 60,000 by 2030. Thus, the rising number of satellite launches is expected to drive market growth for electric propulsion systems for rockets.

Companies in the electric propulsion systems for rockets market are focusing on advancing technologies like electric propulsion thrusters that allow precise and continuous thrust control. Electric propulsion thrusters use electrical energy to accelerate a propellant, generating thrust that enables efficient spacecraft maneuvering in space. For instance, in March 2024, Benchmark Space Systems, a US in-space mobility provider, announced the launch of the Xantus electric propulsion system. This system uses solid metal to create a plasma plume that is electrically accelerated to produce thrust. Designed for small spacecraft such as CubeSats and microsatellites, the Xantus system supports in-space functions like orbital adjustments, station-keeping, and safe deorbiting. While it does not assist with launch operations, it plays a vital role in satellite maneuverability once deployed in orbit.

In January 2024, RocketStar Inc., a US company specializing in advanced propulsion and launch systems, acquired Miles Space Inc. for an undisclosed sum. This acquisition allows RocketStar to integrate Miles Space’s advanced electric propulsion technologies, including unique plasma-based systems, into its future launch vehicles and orbital servicing missions. The move aligns with RocketStar’s goal of delivering affordable, reusable, and efficient space access. Miles Space Inc. is a US-based provider of electric propulsion systems for rockets.

Major companies operating in the electric propulsion systems for rockets market are Airbus SE, Northrop Grumman Corp., Safran SA, Thales Group, L3Harris Technologies Inc., IHI Corporation, Moog Inc., ArianeGroup SAS, OHB System AG, Sierra Nevada Corporation, Phase Four Inc., Dawn Aerospace B.V., Bradford Space Group, Pulsar Fusion Ltd., Exotrail SA, Busek Co. Inc., ThrustMe SAS, Enpulsion GmbH, Orbion Space Technology Inc., Space Electric Thruster Systems (SETs).

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are influencing the electric propulsion systems for rockets market by increasing costs for imported high-grade metals, ceramic materials, vacuum chamber components, and radiation-hardened electronics required for propulsion development. Commercial, military, and scientific missions in regions dependent on imported aerospace materialssuch as North America, Europe, and Asia-Pacificare most affected. Nevertheless, tariffs are encouraging domestic advanced-materials processing, expansion of regional aerospace manufacturing, and innovation in cost-efficient propulsion technologies, strengthening long-term supply resilience.

The electric propulsion systems for rockets market research report is one of a series of new reports that provides electric propulsion systems for rockets market statistics, including electric propulsion systems for rockets industry global market size, regional shares, competitors with a electric propulsion systems for rockets market share, detailed electric propulsion systems for rockets market segments, market trends and opportunities, and any further data you may need to thrive in the electric propulsion systems for rockets industry. This electric propulsion systems for rockets market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Electric propulsion systems for rockets are advanced technologies that utilize electrical energy to accelerate propellant and generate thrust. These systems are designed to deliver high efficiency and precise control during spaceflight by converting electrical power into kinetic energy. They provide sustained low thrust over long durations, making them ideal for efficient maneuvering in space.

The primary types of electric propulsion systems for rockets include electrothermal, electrostatic, and electromagnetic. Electrothermal propulsion systems operate by heating propellant with electrical energy and then expelling it through a nozzle to produce thrust. These systems are used for commercial, military, and scientific applications by various end users such as satellite operators, space agencies, defense organizations, and others.North America was the largest region in the electric propulsion systems for rockets market in 2025. The regions covered in this report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the electric propulsion systems for rockets market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electric propulsion systems for rockets market consists of sales of structural mounting kits, testing equipment, propellant tanks, vacuum chamber equipment, and radiation-hardened electronics. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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