TRUST in Space: India-U.S. Collaboration Set to Grow the Global Space Economy Together

A burgeoning partnership between India and the United States, built on a foundation of trust and shared democratic values, holds tremendous potential for mutual benefit. It is a path which highlights the global shift in the space sector from a purely strategic, government-led domain to a democratized, commercial-driven economy.  

India’s space ecosystem is rapidly maturing, marked by the government efforts including the New Space Policy 2023, which liberalized foreign direct investment (FDI) and spurred the growth of startups—from just one in 2014 to over 200 now—in areas like launch vehicles, satellite manufacturing and space situational awareness.—in areas like launch vehicles, satellite manufacturing and space situational awareness. 

The APCO-USIBC-SIAIndia report titled “A pathway based in TRUST—An Indo-US Space Tech Report,” unveiled at a roundtable held at the India Space Congress 2025 in New Delhi, captures the challenges, opportunities and recommendations for ensuring speedy growth in the sector. The U.S.-India TRUST (Transforming the Relationship Utilizing Strategic Technology) initiative launched in February this year includes space as one of the areas to catalyze government-to-government, academia and private sector collaboration.  

The significant opportunities for collaboration in the sector lie in key segments: satellite communications (Satcom), satellite and rocket manufacturing, and geospatial services. It notes that while joint initiatives like the NISAR mission and the Artemis Accords signal a strong partnership, progress is hampered by regulatory hurdles, export controls, procedural delays in FDI approvals and the lack of a cohesive legal framework. 

Space is a bustling commercial hub today. The collaboration between India and the United States is poised to redefine the global space economy, moving from strategic competition to commercial cooperation built on a pathway of trust.  

The Golden Triangle of Opportunity

• Satcom: With a market projected to hit $6.81 billion by 2030, the demand for satellite internet in India is exploding. This is crucial for connecting remote and underserved regions, supporting the “Digital India” mission and creating massive opportunities for ground infrastructure and new services. 

• Manufacturing Powerhouse: India aims to become a global hub for low-cost satellite and rocket manufacturing. With its cost advantages and skilled workforce, the “Make in India for the World” initiative presents a compelling opportunity for U.S. companies to diversify their supply chains and co-develop new technologies. 

• Geospatial Goldmine: The Indian geospatial market is on a trajectory to become a $12 billion industry by 2030. Joint efforts in this segment can help tackle global challenges like climate change, disaster management and sustainable urban planning, turning satellite data into actionable intelligence. 

Navigating the Bureaucracy and the Way Forward

Despite the immense potential, the partnership faces significant headwinds.  

• Regulatory Red Tape: Protracted licensing processes, mandatory domestic testing for imported equipment and high spectrum charges create uncertainty and discourage investment. 

• Investment Delays: Foreign investment often gets stuck in lengthy, multi-agency security clearance cycles, impeding the timely flow of capital. 

• Legal Void: The absence of a comprehensive Space Activities Bill leaves a vacuum regarding critical issues, such as liability, intellectual property rights and dispute resolution, creating risks for private players. 

To realize the promise of this collaboration, action is needed. Both governments should work on streamlining regulations, recognizing international certifications to reduce costs and creating clear, time-bound approval processes. By clearing these hurdles, India and the United States can unlock a new era of space exploration, one defined not by flags and footprints but by shared innovation, economic growth and the democratization of space for the benefit of all.