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DeepSpace: Chinese rocket startups make tangible progress on the path to orbital launch
In the last six or so months, a range of small Chinese rocket startups have begun to make serious progress in the nascent commercial industry, including several inaugural orbital launch attempts, extensive propulsion testing, and more. Rising above the fray are a handful of uniquely notable companies: Landspace, Linkspace, OneSpace, and iSpace (creative, I know).
While the names leave something lacking, several companies have truly impressive ambitions and can already point to major tech development programs as evidence for their follow-through. Linkspace is arguably the most interesting company with respect to what they are doing today, while Landspace has the ambition and expertise to build and launch some truly capable rockets in the near-term.
OneSpace & iSpace
- OneSpace recently made its first attempt at orbital launch after completing an OS-M1 rocket, nominally capable of placing 200 kg (450 lb) in a 300 km (190 mi) low Earth orbit (LEO). The March 2019 attempt failed 45 seconds into launch, likely caused by an improperly-installed gyroscope that guided the rocket in the wrong direction.
- This failure is by no means a bad thing. Reaching orbit on one’s first try is extraordinarily rare, particularly for private companies with no prior experience developing launch vehicles. SpaceX’s first three Falcon 1 launches failed before success was found on Flight 4. Rocket Lab’s Electron launch debut was forced to abort before reaching orbit due to faulty third-party communications equipment.
- OneSpace has several additional suborbital OS-X launches and may be able to attempt one additional OS-M1 orbital launch before the end of 2019.
- Down the road, the company wants to enhance its payload capabilities by adding additional solid rocket strap-on boosters to OS-M1 (designated M2 and M4). OS-M4 would be able to launch as much as 750 kg (1650 lb) into LEO.
- iSpace is in a similar boat. Its Hyperbola-1 rocket relies on three solid stages and a liquid fourth stage and is designed to place 300 kg (660 lb) into LEO. iSpace has plans to attempt the company’s first orbital launch as early as June 2019.
- Having already raised more than $100M in investment, iSpace also has strong backing for the development of its next-gen Hyperbola-2 rocket. The methalox-based vehicle will have a reusable booster capable of vertical landings and should be able to launch almost 2 tons to LEO. The rocket’s first launch is expected to occur no earlier than late 2020.
Linkspace
- In April 2019, Linkspace began flight-testing a sort of miniature version of SpaceX’s Falcon 9 Grasshopper testbed. Known as NewLine Baby, the small suborbital prototype is designed to improve the company’s technical familiarity with vertically landing orbital-class rocket boosters after missions. Thus far, hop testing has been a great success.
- Baby weighs 1.5 t (1100 lb), is 8.1m (27 ft) tall, and is powered by five liquid methane and oxygen (methalox) rocket engines.
- The company hopes to transfer the knowledge gained into NewLine-1, a partially reusable orbital-class rocket designed to place 200 kg in LEO. Linkspace could attempt their first orbital launch as early as 2021.
- The two-stage rocket’s booster would separate a few minutes into launch and attempt a vertical landing on a pad or boat, the same approach SpaceX has used with unprecedented success.
- The similarities with SpaceX’s Falcon 9 are honestly not the worst thing. SpaceX has no patent on vertically landing rockets and has never attempted to corner the industry. Copying a successful new paradigm is certainly better than doing nothing.
- (For the record, Blue Origin did the exact opposite and attempted to patent vertically landing rockets at sea in 2014, before the company had conducted a single serious launch and at the same time as SpaceX was already planning barge recoveries of Falcon 9 boosters.)
- One could even say that Linkspace and several other Chinese companies are actually doing better than industry heavyweights like ULA and Arianespace by simply embracing the new paradigm, as opposed to denial, pearl-clutching, and half-measure responses.
Landspace
- Finally, there is Landspace. Perhaps the most exciting company of the bunch, Landspace is developing a fairly large methalox launch vehicle named ZhuQue-2 (ZQ-2). Powered by several fairly large TQ-12 liquid rocket engines, ZQ-2 is designed to launch up to 4t (8800 lb) to an orbit of 200 km (120 mi) and would produce up to 2650 kN (600,000 lbf) of thrust at liftoff, about a third of SpaceX’s Falcon 9.
- The two-stage ZQ-2 is not currently being designed for reusability, but an upgraded three-stage variant (ZQ-2A) would feature a much larger payload fairing and improve payload performance to 200 km by 50%, from 4t to 6t.
- Landspace will attempt ZQ-2’s inaugural launch as early as 2020. Critically, the company is just completed the first full-scale prototype of the TQ-12 engine meant to power the rocket and could begin static fire tests just a month or two from now.
- Tianque-12 (TQ-12) is a fairly unique engine. Powered by liquid methane and oxygen (methalox), TQ-12 uses a gas-generator propulsion cycle and is designed to produce up to 80t (175,000 lbf) of thrust. In a sense, TQ-12 is basically a slightly less powerful methalox variant of SpaceX’s Merlin 1D engine.
- The fact that Landspace is already in a position to begin static fire tests of the engine powering its next-gen rocket bodes very well for the company’s future plans. At a minimum, it likely means that Landspace is much closer to offering multi-ton commercial launch services compared to its competitors.
- Aside from its next-gen ambitions, Landspace has also developed a much smaller three-stage rocket known as ZQ-1. Capable of launching up to 300 kg into LEO, ZQ-1 nearly reached orbit on its October 2018 launch debut, failing midway through its third-stage burn.
- For now, the Chinese launch startup scene is downright frenetic. The title of “first private Chinese company to reach orbit” has yet to be awarded, and more than half a dozen groups are practically racing to secure it.
Mission Updates:
- SpaceX’s CRS-17 Cargo Dragon spacecraft successfully rendezvoused and berthed with the ISS on May 6th.
- Potentially less than two weeks after the Falcon 9’s May 4th CRS-17 launch, SpaceX’s first dedicated Starlink mission is scheduled to occur as early as May 13th, although delays of a few days are likely.
- SpaceX’s second West Coast launch of 2019 – carrying Canada’s Radarsat Constellation – finally has an official launch date – June 11th. The mission will reuse Falcon 9 B1051.
- Falcon Heavy’s third launch remains tentatively scheduled no earlier than June 22nd.
Photo of the Week
Falcon 9 B1056 returned to dry ground less than 24 hours after launching CRS-17 and landing aboard drone ship Of Course I Still Love You (OCISLY). (Tom Cross)
A Texas man has been arrested and charged with manslaughter after his Tesla crashed into a home last month, striking a woman inside and killing her. The driver, Michael Butler, claimed the vehicle was in self-driving mode, but information from Tesla shows that Butler overrode the system.
Butler was arrested on Wednesday and booked at the Harris County, Texas, jail. He remained in custody through Thursday and Friday; he did not enter a plea, and his next court hearing is scheduled for Monday.
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
There are a handful of new clues in the case that could clear Tesla of any wrongdoing, especially as the woman who was killed’s family, the Avilas, filed a wrongful death lawsuit against Tesla and Butler, seeking at least $1 million in damages.
Charging documents from the Harris County prosecutor now show that Butler, who was working DoorDash the evening of the accident, had been using Full Self-Driving mode without incident through the duration of multiple deliveries that evening.
In the moments leading up to the crash, while in FSD and approaching a left turn, Butler pressed the accelerator pedal, overriding FSD’s speed control, and continued to push it until it reached 100 percent. This caused rapid acceleration; the brake pedal was never pressed, and there is no data to show that Butler aimed to turn away from the curb or house.
The charging documents state:
“I noted that the brake pedal was never pressed in the final minute before the crash. I also did not see any data to indicate that the driver attempted to turn away from the curb that he eventually struck. Further, I observed that no mechanical error was detected or recorded by the vehicle before BUTLER and the Tesla struck the curb.”
Additionally, a forensic analysis of Butler’s phone showed that he searched Google around the time of the crash with queries questioning why FSD was “too timid,” “not aggressive enough,” and even searched, “FSD is not aggressive enough for city driving.”
The documents outlined this:
“Investigator Veal also informed me that he had received BUTLER’s cell phone from Deputy Amad and that HDAO digital forensics team had completed a data extraction and download of the phone. Multiple Google searches related to Tesla had been made from BUTLER’s phone in the months leading up the crash. I noted multiple searches in May of 2026 indicating an apparent frustration with Tesla’s FSD mode, including the following searches: “Tesla fsd not aggressive enough 2026 model,” “Tesla fsd not [sic) aggressive enough 2026,” “FSD is not aggressive enough for city driving,” and “tesla fsd too timid.”‘
Tesla had claimed just after the crash that its internal data showed Butler had overridden the system’s speed control and pressed the accelerator completely, causing the vehicle to travel at an excessive rate of speed. Eventually, the car slammed into Avila’s house, killing her.
Butler has now been formally charged with Manslaughter, a felony.
Tesla shocked with its quarterly delivery report yesterday by reporting it delivered 480,126 vehicles in the second quarter of 2026, a 25 percent year-over-year jump that crushed Wall Street estimates of roughly 400,000–408,000 units. Production reached 451,758, with Model 3 and Model Y accounting for the vast majority.
The result ended two years of annual delivery declines and drew down inventory, signaling demand that outpaced earlier production.
Tesla bears had long warned that the expiration of the U.S. federal EV tax credit would hammer demand. Without the $7,500 incentive, they argued, American buyers would balk at higher effective prices, leading to a sharp slowdown.
Will Tesla thrive without the EV tax credit? Five reasons why they might
That narrative has not played out as predicted. While U.S. EV sales faced broader headwinds, Tesla’s global numbers held firm, underscoring the company’s ability to offset domestic pressure through other levers.
There are several plausible factors that explain Tesla’s strength during this quarter. Let’s take a look at them:
Rising Gas Prices
Rising gas prices provided a powerful tailwind, especially in the U.S.
Geopolitical tensions tied to the Iran conflict pushed fuel costs higher earlier in the year, amplifying the lifetime savings of electric vehicles. Even as oil prices later moderated, the psychological and financial impact lingered, encouraging fleet operators and private buyers to accelerate EV purchases. European sales rebounded sharply, helping drive the quarter’s outperformance.
Full Self-Driving Adoption
Advances in Full Self-Driving (FSD) supervised software also appear to have boosted appeal. Tesla expanded FSD availability in select European markets and continued refining the system.
No complaints from me because I finally got to enjoy this drive on FSD; I usually like to manually drive down this mountain https://t.co/RBFniRPSR0 pic.twitter.com/XQ5sOpN1Yg
— TESLARATI (@Teslarati) June 26, 2026
For tech-oriented buyers, the promise of future autonomy and enhanced driver-assistance features adds perceived value beyond the car itself. This differentiation helps Tesla stand out in a crowded market where competitors focus primarily on hardware and basic range.
Pricing Strategy, Affordable Configurations
Tesla’s offerings and its pricing strategy during Q2 further stimulated demand. Tesla introduced lower-cost versions of the Model 3 and Model Y, widening accessibility without sacrificing core margins.
These moves countered affordability concerns and attracted buyers who had been waiting on the sidelines. Combined with attractive financing and leasing options, the pricing strategy converted interest into actual orders more effectively than many analysts expected.
Broad European Recovery
Supported by government incentives, corporate fleet electrification, and easing political headwinds around CEO Elon Musk, Tesla was supplied additional momentum through stronger registration numbers throughout Europe.
Strong exports from the Shanghai Gigafactory and a production ramp at Giga Berlin ensured supply met this resurgent demand. Corporate buyers, in particular, accelerated transitions to EVs to meet sustainability targets, providing a steady volume base.
These elements created a virtuous cycle that delivered the strong deliveries report. While bears correctly flagged the loss of the U.S. tax credit as a risk, Tesla’s diversified playbook demonstrated that it could remain resilient against those headwinds. The Q2 beat suggests the company remains adept at navigating shifting market conditions, even as competition intensifies.
A Tesla Semi was involved in a fatal collision on U.S. Highway 50 in Dayton, Nevada, on Sunday, June 28, 2026, marking the first known fatal crash involving the electric Class 8 truck. The incident occurred around 7:20 a.m. at the intersection with Traditions Parkway, approximately 40 miles east of Reno and close to Tesla’s Gigafactory Nevada.
According to the Lyon County Sheriff’s Office and the Nevada State Police Highway Patrol, a semi-truck struck two passenger vehicles stopped at a traffic signal. The truck hit the vehicles from behind. Two people were pronounced dead at the scene, and a third person suffered life-threatening injuries and was flown to a hospital, Forbes reported.
Preliminary statements gathered at the scene by the Lyon County Sheriff’s Office suggested the truck driver may have fallen asleep at the wheel. However, the Nevada Highway Patrol, which is leading the investigation, stated that the official cause has not yet been determined.
Additional information is expected to be released early the following week. The truck was seized for evidence as part of the ongoing probe.
Responders at the scene included deputies from the Lyon County Sheriff’s Office, personnel from the Nevada Highway Patrol, Central Lyon County Fire Department, and the Nevada Department of Transportation. The crash led to the temporary closure of U.S. 50 in both directions.
The Tesla Semi is Tesla’s battery-electric heavy-duty truck, produced at the nearby Gigafactory in Nevada. Authorities initially described the vehicle as a semi-truck; its make was subsequently confirmed through reporting and scene identification; an interesting bit of information here, as the Semi is not yet available publicly and many do not know that Tesla builds electric trucks.
The investigation remains active, with no further official details on contributing factors or vehicle systems released as of early July 2026.
This incident highlights ongoing scrutiny of commercial vehicle safety on Nevada highways, particularly involving fatigue. Law enforcement continues to gather evidence and witness statements.
Texas man charged in fatal Tesla crash where he blamed Autopilot
Tesla’s strong Q2 deliveries: Four key drivers behind the surprise
