Wuhan plans to become China’s ‘valley of satellites’ as cities race to develop space industry

Name: Chinese space contractor plans for ‘arduous’ year as China-US space race intensifies
Uploaded: 2022-03-18T07:03:10.000Z
Duration: 1 min 30 s
Description: Chinese space contractor plans for ‘arduous’ year as China-US space race intensifies

The central city is offering companies financial incentives to develop satellites, rockets and spacecraft using locally built materials

Wuhan wants to develop a US$15.7 billion industry in competition with other cities as China seeks to become a major space power by 2030

Reading Time:1 minute

Why you can trust SCMP

The city is seeking to develop its space industry. Photo: Xinhua

Reuters

Published: 3:03pm, 18 Mar 2022

The central Chinese city of Wuhan has vowed to create a 100 billion yuan (US$15.7 billion) space industry by 2025 and become China’s “valley of satellites”, joining other cities tasked with developing the sector.

Wuhan is offering firms up to 50 million yuan in financial incentives each in projects related to the manufacturing of satellites, rockets and spacecraft, according to a notice from the city government on Wednesday.

01:30

Chinese space contractor plans for ‘arduous’ year as China-US space race intensifies

The amounts for the inland city are modest compared with ambitious plans outlined by other prosperous coastal cities, but the effort suggests a deepening push by China to become a major space power by 2030.

China envisions massive constellations of commercial satellites that can offer services ranging from high-speed internet for aircraft to tracking coal shipments.

The Wuhan city government will encourage companies to use locally sourced equipment, software and services.

If a firm uses local products in more than 10 per cent of the production of high-orbiting and low-orbiting satellites as well as spacecraft, it will get financial incentives of up to 15 million yuan.