Rocket Fluid Dynamics Market Report 2025

The rocket fluid dynamics market size has grown rapidly in recent years. It will grow from $2.46 billion in 2024 to $2.72 billion in 2025 at a compound annual growth rate (CAGR) of 10.6%. Growth during the historic period can be attributed to the increasing demand for reusability, heightened needs for propulsion efficiency, growing emphasis on sustainability, rising global research and development investments, and improvements in fluid simulation accuracy.

The rocket fluid dynamics market size is expected to see rapid growth in the next few years. It will grow to $4.04 billion in 2029 at a compound annual growth rate (CAGR) of 10.4%. Growth in the forecast period can be attributed to the rising frequency of space launches, increasing demand for satellite deployments, growing investments in space tourism, expansion of private space enterprises, and rising military space budgets. Key trends expected during the forecast period include the integration of AI in simulations, adoption of new technologies in nozzle design, advancements in thermal fluid modeling, improvements in turbulence prediction techniques, and the incorporation of digital twin technology.

The increase in satellite launch activities is expected to drive growth in the rocket fluid dynamics market. Satellite launch activities encompass the processes of preparing, transporting, and launching satellites into space using rockets or other launch vehicles. This rise is fueled by the growing demand for global connectivity, particularly the need for high-speed internet access, which requires robust and scalable satellite infrastructure to support modern communication networks, remote sensing, and strategic defense applications. These activities push advancements in rocket fluid dynamics by increasing the demand for efficient and reliable propulsion systems. For example, in September 2022, the Government Accountability Office, a US government agency, reported that as of spring 2022, nearly 5,500 active satellites were in orbit, with projections estimating an additional 58,000 launches by 2030. Thus, the growth in satellite launch activities is propelling the rocket fluid dynamics market forward.

Leading companies in the rocket fluid dynamics market are concentrating on developing innovative technologies such as computational fluid dynamics (CFD) software to improve propulsion system performance, optimize fuel consumption, and shorten design cycles for advanced rocket engines. CFD software simulates and analyzes fluid flow, heat transfer, and combustion within rocket propulsion systems to enhance performance and design efficiency. For example, in May 2024, the Indian Space Research Organization (ISRO), India’s space agency, developed PraVaHa, an in-house CFD software optimized for high-fidelity simulation of aerodynamic and aerothermal flows over aerospace vehicles. Designed to leverage CPU and GPU-based high-performance computing, PraVaHa plays a crucial role in the Gaganyaan mission by supporting the design and analysis of human-rated launch systems, including HLVM3, the Crew Escape System, and the Crew Module.

In February 2025, nTop, a US-based software company specializing in next-generation engineering design tools for advanced manufacturing, acquired Cloudfluid for an undisclosed sum. This acquisition aims to strengthen nTop’s engineering software by integrating Cloudfluid’s high-performance CFD capabilities, accelerating innovation in aerospace and additive manufacturing design. Cloudfluid is a Germany-based company that specializes in GPU-native, high-speed computational fluid dynamics simulation solutions.

Major players in the rocket fluid dynamics market are Lockheed Martin Corporation, Northrop Grumman Corporation, Mitsubishi Heavy Industries Ltd., Safran S.A., Dassault Systèmes SE, Space Exploration Technologies Corp., Blue Origin LLC, ARIANESPACE SAS, Aerojet Rocketdyne Holdings Inc., ANSYS Inc., Virgin Galactic Holdings Inc., Sierra Nevada Corporation, United Launch Alliance LLC, IHI Corporation, Relativity Space Inc., Rocket Lab USA Inc., Firefly Aerospace Inc., Altair Engineering Inc., Ursa Major Technologies Inc., Avio S.p.A.

North America was the largest region in the rocket fluid dynamics market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in rocket fluid dynamics report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the rocket fluid dynamics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

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.

The sharp hike in U.S. tariffs and the associated trade disputes in spring 2025 are notably impacting the aerospace and defense sector by raising costs for titanium, carbon fiber composites, and avionics materials largely sourced from global suppliers. Defense contractors, locked into fixed-price government contracts, absorb these added costs, while commercial aerospace firms face airline pushback on higher aircraft prices. Delays in component shipments due to customs bottlenecks further disrupt tight production schedules for jets and satellites. The industry is responding by stockpiling critical materials, seeking waivers for defense-related imports, and collaborating with allied nations to diversify supply chain.

Rocket fluid dynamics involves the study of the behavior of liquids and gases within rocket propulsion systems. It examines the movement, pressure, temperature, and interactions of fluids like fuel and oxidizer within engines, nozzles, and combustion chambers. This field is crucial for enhancing rocket performance, efficiency, and stability during flight.

The primary components of rocket fluid dynamics include software, hardware, and services. Rocket fluid dynamics software consists of specialized computational tools designed to simulate and analyze fluid flow, combustion, and heat transfer in rocket engines and propulsion systems. These tools are applied across various sectors such as aerospace, defense, research and development, commercial space, and others. Key end-users include government agencies, private space companies, research institutions, and various organizations.

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

The rocket fluid dynamics market consists of revenues earned by entities by providing services such as computational fluid dynamics, thermal and propulsion analysis, design and optimization consulting, wind tunnel and test facility services and cryogenic fluid handling and modelling. The market value includes the value of related goods sold by the service provider or included within the service offering. The rocket fluid dynamics market also includes sales of rocket nozzles, turbopumps, injectors, combustion chambers and cryogenic fuel systems. 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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