The Japanese government has established a Space Strategy Fund (SSF) to subsidize research and development in space technology, aiming to secure a foothold in the emerging new space industry. On March 11, Japan's Ministry of Education, Culture, Sports, Science and Technology (MEXT) proposed a draft for the SSF's second phase, with pending proposals expected from the Ministry of Internal Affairs and Communications (MIC) and Ministry of Economy, Trade and Industry (METI).
According to data from MEXT, the second phase of the SSF is derived from the supplementary budget for the fiscal year 2024 (April 2024–March 2025) and will provide a total of JPY115 billion (US$1.04 billion) in subsidies for 13 new projects across four fields. Subsidies will be provided for three to six years, with an evaluation in the third year to determine future developments.
MEXT's funding proposal includes:
-JPY18.5 billion for technologies related to advanced launch sites and system safety.
-JPY60.5 billion for two satellite-related and two space transportation technologies.
-JPY50.5 billion for five sensing and detection-related technologies for use in lunar bases and orbital space stations.
-JPY21 billion for investments in cross-industry startups and other core technologies.
-JPY4.5 billion for administrative and management fees.
Of particular note is the development of transportation and life support technologies for human-operable space stations and lunar bases.
In addition to MEXT, the MIC, and METI are set to propose JPY45 billion and JPY100 billion respectively in the second phase of SSF funding, with draft proposals to be submitted in March 2025. The combined proposals, totaling JPY300 billion, will then enter Cabinet-level discussions, with bidding processes slated to begin in the same year.
Long-term investment strategy
The SSF is a decade-long, JPY1 trillion industrial investment project launched by the Japanese government. The first phase, totaling JPY300 billion, was derived from the supplementary budget for fiscal year 2023, and covered 130 items across 22 projects, with a focus on space vehicle management, and sensing and detection technologies for the Earth and the Moon. A total of 21 projects were awarded in 2024; the only project that lacked a winning bid was for water sensing technology on the lunar surface, which has since entered a re-tendering process.
Article edited by Jerry Chen
