Wenchang bets on rockets to build lasting aerospace economy beyond launch-day tourism
China's coastal rocket hub Wenchang is pushing to turn crowds drawn by launches into longer-stay visitors and a broader aerospace industry. The city now hosts 673 aerospace companies and aims to become an internationally first-class aerospace city, but faces challenges from launch delays and fleetin
WENCHANG, Hainan — China's coastal rocket hub Wenchang is trying to turn launch-day spectacle into a lasting aerospace economy, shifting its focus from rockets alone to tourism, manufacturing, satellite data and jobs, as it seeks to keep crowds in town longer than a single liftoff.
Located at about 19 degrees north in Hainan, the city's coastal geography gives it an edge over inland launch sites such as Jiuquan, Taiyuan and Xichang, making it cheaper and easier to transport rockets by ship. Wenchang's state-run launch site conducted its first mission in 2016, and the city added China's first dedicated commercial space launch site in November 2024, making it the only place in the country with both state-run and commercial facilities.
As of April, Wenchang International Aerospace City was home to 673 aerospace companies, up from 30 in 2021, and recorded 23.53 billion yuan (US$3.5 billion) in revenue last year, more than double the 2022 figure of 10.7 billion yuan, according to official data. Wenchang's mayor Cao Shuyu said at an Aug 17 press conference that the city aims to become an “internationally first-class aerospace city” and build an aerospace cluster with global influence.
But building lasting businesses has proven difficult. The city's earlier waves of aerospace-related development have seen “two or three waves of big rises and falls”, said Liang Qihang, 38, founder of Xingjian Seaview Hotel and a lifelong resident of Longlou, the coastal area known locally as 'Rocket Town'. He recalled that when Wenchang was selected as a launch site in the late 2000s, investors rushed to build hotels, but many were left unfinished after the maiden launch was delayed by about a year. Some buildings remain in concrete shells, while at Nanyang Meilihui, a commercial complex completed in 2020, most shops were shuttered even on launch days.
For tourists, the main challenge is that launch schedules can change. Four families from Chongqing planned their Hainan holiday around the Aug 9 launch, but when the mission was pushed back a day they could not rearrange their itinerary. “We had already made all our plans around seeing the launch,” said Maggie Zheng, who was travelling with her six-year-old son. “But (our) plans can’t keep up with the changes.”
Local operators see a familiar pattern: most visitors do not stay overnight after the launch. “They watch and leave,” Liang said. To change that, businesses are adding reasons to stay. At Hilton Wenchang, about 120 of its 435 rooms can offer launch views, and the hotel has added activities such as climbing and children's programmes. General manager Peter Dai said stays have extended from one day to “two or even three days”.
Beyond tourism, Wenchang is building an aerospace industrial chain spanning manufacturing, satellite operations and data applications. The aerospace supercomputing centre provides infrastructure for processing satellite data. Gregg Li, professor and ambassador for NewSpace at the University of Hong Kong's Laboratory for Space Research, said data could become one of the most important parts of the commercial space economy, but Wenchang still needs entrepreneurs, talent, financing and insurance. He said Hong Kong and Singapore could play complementary roles in capital, data applications, insurance and arbitration.
