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China Tests Rocket Delivery of E-commerce Parcels 

On May 29, 2025, Chinese startup SEPOCH conducted a successful test of its reusable rocket XZY‑1, delivering over 20 kilograms of parcels from the Taobao marketplace. The rocket reached an altitude of 2.5 kilometers in 125 seconds and performed a vertical landing on the surface of the sea off the coast of Shandong Province. After an 18-hour operation, the rocket was retrieved from the water intact and undamaged.

The rocket is 26.8 meters tall, weighs 57 tons, and features a cargo compartment with a volume of 120 cubic meters, capable of carrying up to 10 tons of payload. In the future, this may include cars and small trucks. During the test, goods from two Taobao stores were delivered, including items from the official store of the National Library of China and commemorative postcards created especially for the experiment.

SEPOCH founder Wei Yi noted that the express delivery module meets expected standards for fire resistance, moisture protection, and shock absorption. While current costs remain too high for regular consumer deliveries, the technology could be applied to emergency supply drops, disaster relief, and servicing remote areas.

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SEPOCH plans to conduct its first orbital mission with rocket recovery by the end of 2025. The rocket will be capable of delivering up to 7 tons of cargo to an orbit of 1100 kilometers, using engines powered by liquid oxygen and methane. Future plans include optimizing the layout of the cargo compartment to accommodate a wider range of goods, including fresh produce and fragile items. A cargo emergency recovery system is also under development.

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