U-Space secures 1 billion RMB for AS-1 rocket development

New funding for reusable rockets could significantly lower the cost of launching AI-heavy satellite constellations.
30-Second TL;DR
What Changed
Raised 1 billion RMB total to fund rocket assembly, testing, and recovery technology.
Why It Matters
The development of low-cost, reusable heavy-lift launch vehicles is critical for the future of large-scale AI data center deployments in space or global satellite-based AI infrastructure.
What To Do Next
Track the progress of reusable liquid methane rocket startups as they lower the cost of orbital payload delivery for AI-enabled satellite constellations.
Key Points
- •Raised 1 billion RMB total to fund rocket assembly, testing, and recovery technology.
- •AS-1 rocket features stainless steel structure and liquid oxygen/methane propulsion.
- •Plans to produce three rockets in 2026 to support a 2027 first flight target.
Deep Insight
Background and context from public sources — not the original article. 3 sources cited.
Enhanced Key Takeaways
- •U-Space, officially Beijing Yushi Space Aerospace Technology Co., Ltd., secured its cumulative 1 billion RMB funding through five rounds within 15 months of its establishment, with the latest Series A round on May 18, 2026, contributing 500 million yuan.
- •The AS-1 rocket is specified to be approximately 70 meters long, with a take-off weight of 570 tons, and a body diameter of 4.2 meters. It boasts a one-time Low Earth Orbit (LEO) payload capacity of 15.7 tons, which reduces to 10 tons under reusable conditions.
- •The company's 'stainless steel + chopstick recovery' design offers significant cost advantages, with the stainless steel rocket body costing only one-tenth of traditional aluminum alloy bodies, while also achieving several times higher production efficiency, allowing for rocket body delivery in as fast as one month.
- •Funds from the latest financing round are earmarked for critical development phases, including ground joint tests of the full-scale capture arm prototype, assembly and testing of the maiden flight rocket's first stage, static ignition tests, and full rocket assembly and testing.
- •U-Space's technical leadership includes CTO Tian Jichao, a doctor in aircraft design who previously worked on China Aerospace Science and Technology Corporation's CZ-8 and CZ-2C liquid rockets and was involved in early Chinese projects for recovery landing point control and grid fin-based sub-stage recovery flight tests.
Competitor Analysis
- U-Space (Yushi Space) AS-1
- Liquid Oxygen / Methane
- Landspace Zhuque-3
- Liquid Oxygen / Methane
- U-Space (Yushi Space) AS-1
- Stainless Steel
- Landspace Zhuque-3
- Stainless Steel
- U-Space (Yushi Space) AS-1
- 'Chopstick capture arm recovery'
- Landspace Zhuque-3
- Reusable first stage, powered descent and landing (demonstrated hops)
- U-Space (Yushi Space) AS-1
- 10 tons
- Landspace Zhuque-3
- 18.3 tons (40,350 pounds)
- U-Space (Yushi Space) AS-1
- First half of 2027
- Landspace Zhuque-3
- Q4 2025 (orbital launch achieved Dec 2025)
- U-Space (Yushi Space) AS-1
- Assembly, testing, and recovery technology verification underway; 3 rockets planned for production in 2026
- Landspace Zhuque-3
- Successfully launched into orbit (Dec 2025); conducted launch and landing tests, 45-second hot fire test of first stage
| Feature/Company | U-Space (Yushi Space) AS-1 | Landspace Zhuque-3 |
|---|---|---|
| Propellant | Liquid Oxygen / Methane | Liquid Oxygen / Methane |
| Structure Material | Stainless Steel | Stainless Steel |
| Reusability Method | 'Chopstick capture arm recovery' | Reusable first stage, powered descent and landing (demonstrated hops) |
| LEO Payload (Reusable) | 10 tons | 18.3 tons (40,350 pounds) |
| First Flight Target | First half of 2027 | Q4 2025 (orbital launch achieved Dec 2025) |
| Status | Assembly, testing, and recovery technology verification underway; 3 rockets planned for production in 2026 | Successfully launched into orbit (Dec 2025); conducted launch and landing tests, 45-second hot fire test of first stage |
Technical Deep Dive
- Rocket Dimensions: Approximately 70 meters long, 4.2 meters in diameter.
- Take-off Weight: 570 tons.
- Propulsion: Liquid oxygen and methane.
- Structural Material: Stainless steel, chosen for its cost-effectiveness (one-tenth the cost of traditional aluminum alloy) and rapid production (rocket body delivery in as fast as one month).
- Payload Capacity (LEO): 15.7 tons for expendable missions, 10 tons for reusable missions.
- Recovery System: Unique 'chopsticks capture arm recovery' technology, which is currently undergoing ground joint tests of a full-scale prototype.
- Engineering Expertise: The technical team includes individuals with experience from major Chinese aerospace programs, such as the CZ-8 and CZ-2C liquid rockets, and early work on recovery landing point control and grid fin flight tests.
Future ImplicationsAI analysis grounded in cited sources
Timeline
- 2025-02U-Space (Yushi Space) established (inferred from 5 funding rounds in 15 months leading to May 2026).
- 2026-05-18U-Space announced completion of a Series A financing round of 500 million RMB, bringing total cumulative funding to 1 billion RMB.
Sources (3)
Factual claims are grounded in the sources below. Forward-looking analysis is AI-generated interpretation.
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