Spacecraft, satellites and launch vehicles market in Italy

Earlier Report Observations

The Italian space sector entered the period with established strengths in satellite manufacturing and participation in the European Vega low-cost launch program. The emergence of the New Space Economy, including small rockets for CubeSat ridesharing and commercial space tourism, began reshaping the market. By 2020, the successful first commercial docking of a life-extension vehicle (MEV-1) to a satellite opened a new orbital servicing segment, prompting further Italian investment in space logistics and sustainability infrastructure.

A major boost came in 2021 with Italy's allocation of €4.6 billion for the space sector, supplemented by €1.39 billion from the National Recovery and Resilience Plan (PNRR) for space infrastructure. This was accompanied by large-scale corporate announcements, such as Leonardo's plan to deploy a 40-satellite constellation. However, growth faced a headwind in 2022 when U.S. trade restrictions on aerospace components increased costs and lead times for commercial launches.

Production growth accelerated again from 2023, driven by a 14% rise in exports of space-related goods and a 15% expansion of the domestic Earth observation market to €230 million. Technological advances, including satellite miniaturization and the maturation of reusable launch vehicles achieving 70% reusability, supported capacity. The global surge in demand for satellite services and the deployment of commercial constellations, with over 460 new satellites launched in 2024, provided sustained momentum for the industry.

Production spacecraft, satellites and launch vehicles in Italy

In value, 2017-2020, M $ US

Italy's production of spacecraft, satellites, and launch vehicles declined for the third consecutive year. In 2020, output was valued at 920 million US dollars, marking a 5.0% decrease from the previous year. Between 2017 and 2020, production fell by 31.7%, which translates to an annualized decline rate of 11.9%.

Annual dynamics of production in Italy in value, 2017-2020, M $ US

In kind, 2017-2020, t

In 2020, Italy produced 7 778 tonnes of spacecraft, satellites, and launch vehicles, representing a 28.0% year-on-year drop. Over the period from 2017 to 2020, production decreased by 47%, with a compound annual growth rate (CAGR) of -19.1%. The only increase during this timeframe occurred in 2019, with a modest rise of 0.5%.

Annual dynamics of production in Italy in kind, 2017-2020, t

Exports spacecraft, satellites and launch vehicles from Italy

Exports in kind, kg

In 2020, Italy's exports of spacecraft, satellites, and launch vehicles totaled 5 415 kilograms, reflecting a controlled decline of 5.0% compared to the previous year. From 2017 to 2020, exports fell by 56.4%, with a CAGR of -24.2%. The lowest export volume was recorded in 2018 at 5 193 kilograms, which also saw the largest decline of 58.2%. In contrast, 2019 experienced the highest increase, with exports rising by 9.7%.

Annual dynamics of product's exports from Italy in kind, 2017-2020, kg

From 2017 to 2020, the United States and the United Kingdom were the primary destinations for Italy's exports in kind, together accounting for 80.9% of total flows. The remaining share was distributed among other partner countries.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Italy in kind, 2017-2020

Exports in value, M $ US

The export market displayed significant volatility during the observed period. Italy exported 33.7 million US dollars worth of spacecraft, satellites, and launch vehicles in 2020, a sharp 74.1% decrease from 2019. The peak value was recorded in 2019 at 130.0 million US dollars. Import levels fluctuated substantially, with a 6.5-fold difference between the high in 2019 and the low in 2017. The largest increase occurred in 2018, with exports surging by 510.7%.

Annual dynamics of product's exports from Italy in value, 2017-2020, M $ US

Throughout 2017–2020, the United Kingdom and the United States served as the core markets for Italy's exports in value terms, jointly representing 88.2% of total flows. Other destinations accounted for relatively modest shares.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Italy in value, 2017-2020

Imports spacecraft, satellites and launch vehicles to Italy

Imports in kind, kg

The import market showed notable volatility over the observed period. In 2020, Italy imported 10 kilograms of spacecraft, satellites, and launch vehicles, a dramatic 98.3% decrease from the previous year. The peak import volume was in 2019 at 576 kilograms, which also saw the largest increase of 423.6%. From the high in 2019 to the low in 2020, imports changed by 58 times.

Annual dynamics of product's imports to Italy in kind, 2017-2020, kg

From 2017 to 2020, Russia and the United States were the key sources for Italy's imports in kind, together making up 88.1% of total flows. Other suppliers held comparatively smaller shares.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Italy in kind, 2017-2020

Imports in value, M $ US

The import market exhibited an unstable trend throughout the timeframe. In 2020, Italy's imports of spacecraft, satellites, and launch vehicles totaled 0.0 million US dollars, indicating a steep loss of 97.3% compared to the previous year. The maximum value was recorded in 2019 at 1.3 million US dollars, which also experienced the largest increase of 4,396.5%. A 68-fold variation was observed between the peak in 2019 and the trough in 2017.

Annual dynamics of product's imports to Italy in value, 2017-2020, M $ US

During 2017–2020, Russia dominated as the main supplier of spacecraft, satellites, and launch vehicles to Italy, capturing 94.0% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Italy in value, 2017-2020