US Export Plan - Sector Report - Space

Key subsectors of focus for the US market

Scotland’s space sector is defined by a number of high‑growth subsectors that are driving its international competitiveness and forming the backbone of Scotland’s space economy, enabling both upstream innovation and downstream applications. This also allows for intersection with a diverse range of other industries, including life sciences, AI, agritech, robotics and advanced manufacturing capabilities, creating a dynamic system of economic and social impact.

A key subsector of focus is small satellite manufacturing. Scotland builds more small satellites than anywhere in Europe, positioning Scotland as a hub for CubeSats (spacecraft technologies) and small satellite constellations, which are increasingly in demand globally. Scotland has strong capabilities in designing, manufacturing and integrating different components into satellites, as well as track them effectively, which is a capability that is a huge strength for the UK and is a result of entrepreneurialism, technical expertise in miniaturisation of satellites and support from universities.^[19] This links to US space sector demands around rapid launch frequency and reducing bottlenecks, with strong interest in commercial partnerships for small satellite deployment. In the US, the rise of affordable launch capacity is shifting the focus to enabling more companies to deploy satellites to space and beyond.^[20] There are some significant companies in the sector based in Scotland, such as AAC Clyde Space, Spire Global (a US company manufacturing in Scotland), and Albert Orbital. Similarly, the US has world‑leading capabilities in CubeSat and small satellite manufacturing, with a market valued at around USD $200 million in 2024, driven by miniaturisation, demand for affordable satellites, and applications in Earth observation and communications.^[21]

Launch capability, specifically vertical launch is another key subsector within Scotland, with five of the UK’s seven planned spaceports being based there. This also serves to support the rapid deployment of the small satellites manufactured in Scotland, which is a key priority for defence and commercial operators. In comparison, the US dominates the global launch market with multiple active launch sites through commercial and government providers, providing significant opportunities for Scottish businesses to integrate into this large-scale supply chain and embed themselves in the data ecosystem.

Scotland has strong capabilities in satellite data analytics, AI, and geospatial services, supported by institutions like the Bayes Centre in Edinburgh. These services are critical for climate monitoring, agriculture, and disaster response which are areas where US agencies and companies are seeking advanced solutions for activity such as surveillance and mission planning.^[22]

Scotland also possesses significant strengths in photonics, and optics, as well as quantum technologies, which have some emerging space applications. Demand in these areas is strong in the US, with a planned increase in federal investments in quantum technology research and infrastructure to accelerate R&D and the commercialisation.^[23] There are also two Scottish early-stage companies that went to Florida in 2025 and early 2026 as part of a mission focusing on food production in space, which is a rapidly growing subsector with a 5-10 year horizon, and is expected to grow significantly as the sector matures.

Scotland is positioning itself as a global leader in sustainable space with a roadmap aiming to make its space sector the greenest on Earth^[24], through areas like addressing the environmental impact of building, fuelling and launching satellites to developing technologies to reduce orbital congestion an ensure responsibly satellite disposal. As mentioned, this is not a central priority for the US, therefore although sustainability may be an added benefit, it is less likely to be an effective focus or USP for entry into the US market, with sustainability often balanced or compromised against rapid commercial expansion and national security priorities.