Michael Guetlein is the vice chief of space operations for the U.S. Space Force, and he’s worried about China.
“This new norm of behavior is very unsafe and unprofessional,” Guetlin said earlier this month.
He was referring to China’s apparent willingness to violate longstanding norms. Whether it’s with cyberattacks, spy balloons, flybys, backdoor deals with Russia, or harassment of the U.S. Navy, China has made clear that nothing is sacred.
And as a certified space captain, Guetlein knows that better than anyone.
That’s because China’s space program has gone from non-existent to a serious threat almost overnight.
The number of spacecraft China has in the sky has shot up from 36 in 2010 to more than 1,000. The blanket includes 292 electro-optical and 43 radar satellites and 74 signals intelligence gathering satellites that can be used to locate and track high-value targets, spy on American bases, communicate intelligence, and coordinate potential strikes through navigation and positioning. Join Wealth Daily today for FREE. We’ll keep you on top of all the hottest investment ideas before they hit Wall Street. Become a member today, and get our latest free report: “Guardians of Growth: 3 Defense Contractors for Savvy Investors.” After getting your report, you’ll begin receiving the Wealth Daily e-Letter, delivered to your inbox daily.The Best Free Investment You’ll Ever Make
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They’ve also demonstrated the ability to use “worker” or “gremlin” satellites. These craft have robotic arms that are theoretically used to repair damaged satellites but could also be used to damage, cripple, or remove those that belong to adversaries.
Even more ambitious, China aims to take over the moon with a robust and thorough plan for lunar exploration and development. It’s essentially encapsulated in six phases.
Phase I is in the books. It included the Chang’e 1 and 2 lunar probes scanning and mapping the moon in unprecedented detail. Phase II involved Chang’e 3 and 4, which deployed rovers. And Phase III was China’s first effort to collect lunar samples through Chang’e 5.
Chang’e 6, currently underway, is part of Phase IV — establishing a lunar robotic research station. That means further investigating the moon’s topography, composition, and subsurface structure.
Chang’e 7 and 8 are primed to follow in 2026 and 2028, respectively. They’ll continue to explore the moon’s south pole for resources, potentially carrying other instruments like an orbiter, a lander, and a mini-flying probe.
It’s all part of China’s plan to take firm control of the proverbial high ground.
After all, as Sun Tzu says in The Art of War: “If the enemy holds the high ground, do not ascend and do battle with him.”
Beijing has taken that lesson to heart.
U.S. Space Force Chief Master Sgt. Ronald Lerch says Chinese strategists discuss these tactics openly, in print even. He also says the PLA has gotten “increasingly assertive.”
“Norm-shattering behaviors have been enabled because of their ability to have space and what that’s able to offer,” Lerch said, echoing Guetlein’s concerns.
And another official, Brig. Gen. Anthony Mastalir, says China is actively targeting American aircraft carriers, fuel transports, and early-warning systems.
“Their specific goals are to be able to track and target high-value assets at the time and place of their choosing,” Mastalir warned.
That’s why the United States has to fight back. And one way to do that is to improve its relationship with commercial partners.
We’ve seen this with Starlink, which has been invaluable to the defense of Ukraine, and SpaceX, which is the go-to partner for Pentagon space launches.
But we’ve also seen it with small upstart companies — and even profited from the trend.
Earlier this year, I locked in 150% gain on Intuitive Machines (NASDAQ: LUNR) — a company working on our own moon missions.
And Secret Stock Files subscribers did even better on Rocket Lab (NASDAQ: RKLB), netting a 400% gain.
So if you want to get in on the action, check out my latest report here. It’s not a space play, but we’re tracking all of the hottest and most profitable tech trends in defense.
Don’t miss out.
Fight on,
Jason Simpkins
Simpkins is the founder and editor of Secret Stock Files, an investment service that focuses on companies with assets — tangible resources and products that can hold and appreciate in value. He covers mining companies, energy companies, defense contractors, dividend payers, commodities, staples, legacies and more…
In 2023 he joined The Wealth Advisory team as a defense market analyst where he reviews and recommends new military and government opportunities that come across his radar, especially those that spin-off healthy, growing income streams. For more on Jason, check out his editor's page.
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