The Shanghai Stock Exchange has created a STAR Market fast-track for developers of reusable commercial rockets, waiving standard profitability and minimum revenue thresholds in favor of technical milestones such as at least one orbital launch using reusable technology. The guidance builds on June reforms easing listings for pre-profit innovative firms and prioritizes companies involved in national or major state-led space projects. LandSpace's Zhuque-3 mission placed a satellite into orbit but did not recover the booster; the company aims to attempt recovery in mid-2026 and needs capital-market access to fund development.
China Opens STAR Market Fast-Track For Reusable Rocket Firms To Challenge SpaceX
FILE PHOTO: Zhuque-3 rocket by China’s private rocket firm LandSpace, takes off from the Jiuquan Satellite Launch Center, China, December 3, 2025, in this screengrab taken from handout drone footage provided by LandSpace. LandSpace/Handout via REUTERS
Chinese companies developing reusable commercial rockets will now qualify for a fast-track initial public offering route on the STAR Market, the Shanghai Stock Exchange said on Friday. The new guidance exempts qualifying firms from standard profitability and minimum revenue requirements and instead bases eligibility on technical milestones.
What The Fast Lane Requires
Under the rules, firms do not need to show profit or meet minimum revenue thresholds. Instead, eligibility depends on demonstrable technological progress, including at least one successful orbital launch that uses reusable-rocket technology. The guidance builds on regulatory changes issued in June that eased listing criteria for pre-profit innovative companies on the STAR Market.
Recent Tests And Timelines
Earlier this month private launcher LandSpace conducted a flight of its Zhuque-3 vehicle that used reusable-rocket technology to place a satellite into orbit; the mission did not complete the booster-recovery phase. LandSpace has said it aims to demonstrate a successful booster recovery in mid-2026 and has emphasized that the capital-intensive nature of rocket development makes access to capital markets essential.
Strategic And Market Implications
The guidance gives priority support to companies that undertake national missions or participate in major state-led space projects, highlighting the close alignment between commercial launch activity and China’s broader strategic objectives. Beijing has repeatedly framed foreign dominance in low-Earth orbit launches as a national security concern and is actively promoting domestic satellite constellations, which it hopes will number in the tens of thousands over coming decades.
For investors, the fast lane could accelerate earlier access to innovative launch firms that are still pre-profit but have validated critical technologies. For the sector, it may intensify competition in reusable launch systems as state-owned and private players accelerate testing and development.
(Reporting by Eduardo Baptista; Editing by Joe Bavier)
