Honda Rockets Into New Space Race

Honda has successfully launched and landed its experimental reusable rocket, demonstrating significant capabilities in vertical takeoff and landing technology. This marks the Japanese automaker’s bold entry into the rapidly evolving global space sector, positioning Honda as a serious competitor to established aerospace giants.

The groundbreaking test took place on June 17, 2025, at Honda’s R&D facility in Taiki Town, Hokkaido, widely known as Japan's aerospace research hub. The reusable rocket, standing 6.3 metres tall, 85 centimetres wide, and weighing 900 kilograms dry, soared to an altitude of 271.4 metres (890 feet). Impressively, it landed a mere 37 centimetres from its targeted landing site after a 56.6-second flight.

Honda’s entry into the reusable rocket market is notable as it is the first company outside the US and China to achieve such precise vertical takeoff and landing. This demonstrates significant progress since Honda first quietly began developing rocket engine technologies around 2019, publicly revealing their space ambitions in 2021.

Technology and Innovation

The experimental rocket integrates cutting-edge technology essential for reusable vehicles. Notable features include retractable landing gear fitted with hydraulic dampers, deployable grid fins for aerodynamic control, and redundant inertial measurement units. These systems are driven by Honda’s proprietary guidance algorithms, underscoring the company's proven expertise in automated driving systems and combustion technology.

Unlike traditional rockets that are used once and discarded, Honda’s reusable rocket concept mirrors the approach pioneered by SpaceX, albeit on a significantly smaller scale. This aligns with Honda's philosophy of sustainability, aiming to reduce environmental impact and launch costs by enabling rocket reuse. The success of this smaller scale test showcases Honda’s ability to scale automotive precision into aerospace applications, opening a new strategic market position.

Strategic Market Implications

Honda’s successful demonstration places it strategically within the rapidly expanding small satellite launch market, a niche currently dominated by major aerospace corporations like SpaceX. This successful test flight not only proves Honda’s engineering prowess but signals a shift in competitive dynamics within the space sector.

While no definitive commercialization plans have been announced, Honda’s leadership sees significant potential for the deployment of satellites intended for remote sensing and wide-area communication. Such satellite applications could complement and expand Honda’s existing technological and automotive business streams, potentially generating new revenue avenues and strategic synergies.

Honda’s entry into aerospace also reflects a broader trend within Japan, which seeks to expand its influence in global space exploration and commercialization. Alongside entities like Mitsubishi Heavy Industries and the Japan Aerospace Exploration Agency (JAXA), Honda contributes to Japan’s growing competitive edge in space technology.

Future Prospects

Honda's space ambitions are far from short-lived. The company has set an ambitious target of achieving suborbital launch capabilities by 2029, reflecting its long-term commitment to space research and commercialization potential. The ongoing program remains at a fundamental research phase, highlighting Honda's measured yet ambitious approach.

Since establishing a dedicated space development department in the US in 2024, Honda has expanded beyond reusable rockets, investing in complementary space-related technologies. Current projects include developing an electrolysis unit for use on the International Space Station, regenerative fuel cells vital for future life-support systems, and a significant partnership with Astroscale Japan to explore orbital refuelling capabilities for satellites.

These ventures underline Honda's overarching mission to innovate technologies that free people from constraints of time and space. The intersection of automotive innovation and aerospace engineering positions Honda uniquely to contribute meaningful advancements in the commercial space industry.

What's next?

Honda's successful rocket demonstration may accelerate interest from other global automotive manufacturers eyeing aerospace opportunities. It is anticipated that further tests and incremental innovations from Honda could inspire new collaborative ventures, partnerships, and competitive responses across both automotive and aerospace sectors. As space technology increasingly becomes commercialized, Honda’s next moves could set benchmarks, potentially reshaping market dynamics in the international space race.