Xianweixinxi: Commercial Space-Related Business Scale Expected to Continue Growth This Year

Recently, Xinwei Communication (300136) has gained market attention for launching a private placement plan of no more than 6 billion yuan to expand into the commercial aerospace sector.

On the interactive platform, an investor asked Xinwei Communication about the future prospects of its business in the commercial aerospace field. The latest response from Xinwei Communication stated that since 2021, the company has been providing ground terminal high-speed connectors for major North American clients. It is expected that this related business will continue to grow this year. As another North American satellite customer and leading domestic satellite clients gradually complete low Earth orbit satellite networking, their ground terminal business is also expected to start scaling up.

Previously, Xinwei Communication also indicated on the platform that commercial satellites are one of the company’s important second growth drivers.

Currently, as satellite internet enters the large-scale deployment phase, the construction of low Earth orbit constellations is accelerating. Xinwei Communication possesses technical expertise and mass production capacity in LCP millimeter-wave antennas, focusing on key products such as satellite-mounted millimeter-wave antennas and satellite terminal connectors. These can provide critical support for the stable operation and large-scale implementation of low Earth orbit satellite internet.

The recent private placement plan announced by Xinwei Communication further emphasizes its commitment to the commercial aerospace sector. The announcement shows that the raised funds of up to 6 billion yuan will be allocated to three core areas: commercial satellite communication devices, chip thermal management components, and RF devices, with a focus on the commercial aerospace field.

According to Xinwei Communication, the company has established a comprehensive technological capability covering material research and development, precision manufacturing, and testing verification. It has built a complete product matrix for commercial aerospace, covering satellite-mounted millimeter-wave antennas, high-frequency high-speed connectors, and precision structural parts. This full-range layout from components to system-level solutions fully meets the diversified, high-standard supporting needs of the industry chain.

Specifically, in the field of commercial satellite communication, the construction of low Earth orbit satellite internet constellations has entered the implementation stage, driving demand for ground terminal equipment. Key components such as high-frequency high-speed connectors and array antennas have high technical barriers, leading to relatively tight market supply.

Xinwei Communication believes that this issuance will help the company effectively overcome capacity constraints, ensure continuous investment in high-end products and cutting-edge technologies, and further reduce costs and improve product competitiveness through scaled production. While consolidating and strengthening its leading position in the “first growth curve” of intelligent terminal RF antennas, the company aims to accelerate the development of a “second growth curve” by transforming technological breakthroughs in commercial satellite communication, new RF devices, and chip thermal management into large-scale production capacity.

In addition to serving major North American clients since 2021, by 2025, Xinwei Communication has successfully added another North American commercial satellite customer, with shipments of antennas, connectors, and other products already underway. In the domestic market, Xinwei Communication has deeply participated in multiple satellite network projects and is a core supplier for leading domestic satellite customers, providing LCP antenna arrays, RF devices, and satellite structural components, achieving dual entry into both domestic and international satellite supply chains.

On the policy front, by the end of 2025, the China National Space Administration will officially establish the Commercial Space Office as a dedicated regulatory agency, and has issued the “Action Plan for Promoting High-Quality and Safe Development of Commercial Space (2025–2027),” introducing multiple supportive measures. The 2026 Government Work Report further lists aerospace as a new pillar industry, explicitly calling for accelerated development of satellite internet and supporting commercial space efforts around low Earth orbit satellite constellations, reusable launch vehicles, and other areas to achieve scale and cost reduction.

According to data from CCID Think Tank, the market size of China’s commercial space sector is projected to reach 2.83 trillion yuan in 2025 and 3.5 trillion yuan in 2026, with an annual growth rate of over 20%. The demand for ground equipment and terminal devices and other core supporting links will continue to rise.