Reusable Launch Vehicle Market Size Insights And Future Trends 2032

The reusable launch vehicle market size was valued at USD 6.37 billion in 2024 and is expected to be worth USD 8.44 billion in 2025. The market is projected to reach USD 25.92 billion by 2032, recording a CAGR of 17.4% during the forecast period.

A Reusable Launch Vehicle (RLV) is a space launch vehicle that allows either the complete or partial recovery of rocket stages after launching a satellite into orbit. The main reason for launching RLVs is to decrease the overall expenses involved in single-stage and multi-stage satellite launches by retaining the critical components and systems that were previously used in the vehicles to launch satellites. This cost-effectiveness will also help smaller players in the space industry gain an easier access to space, which will ultimately fuel the market’s growth.

Fortune Business Insights™ displays this information in a report titled, "Reusable Launch Vehicle Market Size, Share and Forecast 2024-2032."

LIST OF KEY COMPANIES PROFILED IN THE REPORT

Space Exploration Technologies Corp. (SpacX) (U.S.)
Blue Origin Enterprises, L.P. (U.S.)
ISRO (India)
European Space Agency (France)
Rocket Lab (U.S.)
ArianeGroup (France)
The National Aeronautics and Space Administration NASA (U.S.)
Lockheed Martin Corporation (U.S.)
United Launch Alliance, LLC (U.S.)
The Boeing Company (U.S.)

Information Source:

https://www.fortunebusinessinsights.com/reusable-launch-vehicle-market-106803

Segmentation:

Fully Reusable Vehicles to Gain Major Traction Owing to Rising Demand for Affordable Access to Space

Based on type, the market is segmented into partially reusable and fully reusable. The fully reusable segment is predicted to record the fastest CAGR during the forecast period as there is a high demand among market players to gain cost-effective access to space. These launch vehicles can help decrease the costs related to space launches by enabling the use of same components multiple times.

Demand for Up to 1,000 Kg Launch Vehicles Increased With Rising Use in Several Fields

Based on vehicle capacity, the market is divided into up to 1,000 kg, 1,000 kg to 3,000 kg, and above 3,000 kg. The up to 1,000 kg segment is predicted to register the highest CAGR in the coming years as satellite launch vehicles in this weight category are being extensively used in several areas, such as telecommunications, Earth observation, and IoT.

Growth of Satellite Constellations to Catalyze Adoption of RLVs in Commercial Applications

Based on application, the market is categorized into commercial and defense. The commercial segment is anticipated to record the fastest CAGR as there has been a rapid expansion in satellite constellations in recent years.

Reusable Launch Vehicles to be Launched into Low-Earth Orbit (LEO) Owing to Its Benefits

Based on orbit type, the market is segmented into Low-Earth Orbit (LEO), and Geosynchronous Transfer Orbit (GTO). The Low-Earth Orbit (LEO) segment is projected to record the highest CAGR during the forecast period as this orbit offers several benefits, such as low latency, high flexibility & affordability, and better performance of satellites in space.

With respect to region, the market covers North America, Europe, Asia Pacific, and the rest of the world.

Report Coverage:

The report has conducted a detailed study of the market and highlighted several critical areas, such as popular vehicle capacity, types, orbit types, applications, and prominent market players. It has also focused on the latest market trends and the key industry developments. Apart from the aforementioned factors, the report has given information on many other factors that have helped the market grow.

Drivers and Restraints:

Rising Demand for Satellite Launches to Fuel Product Adoption

The increasing need for satellite networks for various applications, such as Earth observation, communication, and scientific research has boosted the demand for satellite launches. This demand is driven by the rising need for accurate navigation, military surveillance, and high-quality broadband services, which boost the need for reliable and frequent satellite launch services. This factor is expected to bolster the use of reusable launch vehicles.

However, high costs associated with the development and operation of reusable launch vehicles can hinder the market’s growth.

Regional Insights:

Europe to Become Fastest-Growing Region Due to Investments in RLV Technologies

Europe is anticipated to record the fastest CAGR in the global market during the forecast period as the European Space Agency (ESA) is boosting its investments in Reusable Launch Vehicle (RLV) technologies to enhance satellite launch operations. The governments are also engaging in partnerships to improve the region’s capabilities in space.

North America will also register a significant CAGR due to factors, such as low cost per launch as compared to the conventional expendable rockets and government support for the development of reusable launch vehicles.

Competitive Landscape:

Leading Companies to Focus On Developing Novel Technologies to Enhance Quality of Space Missions

Some of the top companies propelling the global reusable launch vehicle market growth are focusing on developing and launching cutting-edge satellite launch technologies to improve the overall quality of space missions. Moreover, many of these players are investing substantial resources for various R&D activities to improve the reusability of launch vehicles.

Notable Industry Development:

May 2024: Innovative Rocket Technologies Inc. (iRocket), a company that provides cost-effective and speedy access to space by utilizing fully reusable rockets, announced that it had signed a deal with the U.S. Space Force Space Systems Command (SSC). This deal will focus on transforming the operations of launch vehicles.