SpaceX stock SPCX fell 4% on Tuesday as federal regulators announced a review of the company’s proposal to significantly expand launch and landing operations at its Starbase facility in South Texas.
The Federal Aviation Administration (FAA) said it would prepare an environmental impact statement and hold public hearings on the proposed expansion.
SpaceX aims to eventually conduct up to 456 launches and 912 landings annually at the facility, a significant increase from its current authorization.
The proposal comes as SpaceX continues to expand its launch operations and develops its Starship rocket, which the company expects to support its broadband and artificial intelligence businesses.
SpaceX proposes hundreds of annual Starship launches
The proposed expansion would take place in two phases. Initially, SpaceX would be allowed to conduct up to 100 Starship launches and 200 landings annually, at any time or on any day.
A second phase, expected within several years as the vehicle’s reliability improves, would increase the annual limit to 456 launches and 912 landings. The second phase would restrict launches to weekdays.
The landing limit covers returns to Starbase regardless of where the vehicles originally launched.
SpaceX plans to recover both the Starship spacecraft and its Super Heavy booster upright and intact, allowing them to be reused more quickly.
The company would also retain the option to splash down rocket components in the Gulf of Mexico or the open ocean.
SpaceX is currently authorized to conduct up to 25 launches and 50 landings annually at Starbase.
The rocket has launched no more than five times in a single year, with three flights completed so far in 2026.
FAA Review to examine environmental and aviation risks
The FAA’s environmental review will assess the potential effects of the expansion on coastal resources, local wildlife, and regional air quality.
Regulators will also examine the impact on commercial aviation.
Airlines sometimes need to adjust flight routes to avoid launch danger zones and potential debris from rocket explosions.
The FAA said a draft environmental study would be published later, giving the public an opportunity to review and comment on the proposal.
The review means the proposed increase in Starship activity remains subject to regulatory assessment.
SpaceX’s plans for hundreds of annual launches and landings would represent a substantial expansion of operations at the Texas facility.
Chief Executive Officer Elon Musk has long pursued a vision of high-frequency Starship flights, with future ambitions of multiple launches per hour.
SpaceX is also planning a separate $100 billion launch complex in southern Louisiana to support its intended launch cadence.
Falcon 9 operations continue as SpaceX develops Starship
Despite the attention on Starship, SpaceX continues to operate its established Falcon 9 launch system.
A Falcon 9 rocket carrying a Dragon capsule departed Cape Canaveral, Florida, early Tuesday on a mission to deliver about three tons of equipment to the International Space Station.
The launch proceeded smoothly, with the capsule scheduled to rendezvous and dock with the station on Thursday.
SpaceX has launched Falcon 9 more than 110 times this year and is on pace for about 150 launches by the end of December, compared with 165 last year.
The rocket accounted for approximately 47% of all launches this year, down from 50% in 2025, reflecting increased competition in the launch market.
SpaceX is developing Starship as a larger, fully reusable launch system.
It is almost twice as tall as Falcon 9 and has roughly six times its payload capacity.
The company expects Starship to support the expansion of its broadband and AI businesses while providing additional services to NASA and other commercial partners.
SpaceX has yet to achieve full reusability for Starship. Company executives hope to land both the spacecraft and its Super Heavy booster back at Starbase before the end of the year.
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