Germany is a major player in the European space sector and, with France, the top contributor to the European Space Agency (ESA). DLR, the German Aerospace Centre, under the responsibility of the Federal Ministry of Economics and Energy, is in charge of national and international space activities
The most recent national space strategy was formulated in 2010, focussing on the use of space for the benefit of society, research and supporting commercial activities (BMWI, 2010[1]). An evaluation of the national strategy is currently underway, including a major socio-economic impact assessment of German space activities. A 2015 preliminary estimate of the German space sector’s impact on the economy found a direct influence on economic sectors covering 22% of German GDP, which is for 2016 equivalent to EUR 584 billion, or USD 645 billion, (DLR, 2015[2]). Several policy initiatives, such as the Space Components Initiative, are addressing the major changes taking place in the global space sector (e.g. constellations) and are supporting German industry capabilities and adaptation to evolving markets. DLR has also carried out a foresight study to identify the possible future role of the space sector in Germany and inform policies and planning.
Germany allocated an estimated EUR 1 522 million (USD 1 716 million) in 2017 to civil space activities, a 44% increase in real terms compared with 2008. Almost 60% of funding was dedicated to the European Space Agency, while some 30% was allocated to the national space programme and research and technology (R&T). The biggest programme priorities of DLR include earth observation and launchers (each accounting for about 30% of total funding in 2016), followed by technology development, space science and human space flight.
DLR is the biggest space-related research centre in the country, comprising laboratories and facilities in several locations across the country. Other important R&D actors include universities, other Helmholtz centres and the Max Planck and Fraunhofer research centres. Several international organisations and centres are also based in Germany, including the ESA centres for space operations and astronaut training, as well as the headquarters of the European Organisation for the Exploitation of Meteorological Satellites (EUMETSAT) and the European Southern Observatory.
The German space industry is active in almost all space business segments, from upstream to downstream activities. The space manufacturing segment has experienced significant economic growth between 2009 and 2017, with a 36% increase in inflation-adjusted revenues and 45% in employment (BDLI, 2018[3]; BMWI, 2010[1]).
Space manufacturing relies on several big space system integrators in satellite production and orbital systems (e.g. Airbus Space & Defence, OHB). There have traditionally been close links to the defence and aerospace industries. The industry is otherwise characterised by a high number of small- and medium-sized enterprises, which supply high-technology materials, components, equipment and multiple launcher and satellite subsystems, with an emphasis on precision engineering and optics. For example, NASA’s Orion Crew Capsule is assembled in Germany (at Airbus’ facilities in Bremen), as well as the Vinci upper-stage engine for Ariane 6. In 2017, the German space manufacturing sector generated some EUR 3.0 billion (USD 3.4 billion) in revenues and employed 9 000 people (BDLI, 2018[3]). Important industrial clusters can be found in the north-western part of Germany (e.g. Bremen), as well as in the southern-most federal states Bavaria and Baden-Württemberg.
In the downstream sector, the commercialisation of high-resolution earth observation imagery products and services plays an important role. Another important activity is the production of satnav and telecom equipment, e.g. GNSS receivers and clocks for positioning, navigation and timing (PNT).
Germany is one of the top-ranking countries with respect to its share in scientific publications in the OECD space literature data set and space-related patent activity (see guide to the profiles), a position that has remained stable since 2000. Satellite TV penetration has slowly grown in Germany between 2007 and 2016, while satellite broadband penetration has decreased. Space-related development assistance projects in the period 2000-16 focussed mainly on environmental management, agriculture and rural development and biodiversity, with the Sub-Saharan region and China being the top recipients of German space-related assistance.