# Letara hybrid rocket engine technology development

> Live situation record from CLSTR: https://clstr.news/situations/letara-hybrid-rocket-engine-technology-development
> Updated: 2026-08-24T07:33:13.000Z. Sources: 10. Developments: 2.

Sapporo-based aerospace startup Letara has secured approximately 2.6 billion yen (roughly $16 million) in a Pre-Series A funding round to advance its hybrid rocket engine technology. Originally a spin-off from Hokkaido University, the company is expanding its focus from small satellite thrusters to larger propulsion systems intended for space launch vehicles, defense, and security applications.

Letara’s technology utilizes a hybrid design that separates solid fuel from a liquid oxidizer. By using inexpensive, commercially available materials such as plastics and rubber as fuel, the company aims to reduce costs, simplify engine design, and improve safety compared to traditional liquid or solid rocket engines. The company has addressed technical challenges regarding stable ignition and thrust through a proprietary fuel design and a patented ignition system.

The funding round included participation from several institutional and strategic investors, including Headline Asia, JIC Venture Growth Investments, Incubate Fund, Frontier Innovations, SMBC Venture Capital, and Mitsubishi UFJ Capital. The capital will be used to accelerate commercialization, strengthen development capabilities through international recruitment, and support upcoming milestones such as an in-orbit ignition test with an international partner.

## Timeline

### 2026-08-24: Letara raises 2.6 billion yen for plastic-fueled rocket engine development

Japanese startup Letara raised 2.6 billion yen in Pre-Series A funding to develop low-cost, plastic-fueled hybrid rocket engines for satellite and defense applications.

2 sources. https://clstr.news/cluster/letara-raises-26-billion-yen-for-plastic-fueled-rocket-engine-development

### 2026-08-20: Letara secures $16 million to scale hybrid rocket engine technology

Japanese startup Letara has raised $16 million to develop scalable hybrid rocket engines using low-cost materials like plastic for space, defense, and security applications.

8 sources. https://clstr.news/cluster/letara-receives-additional-investment-for-hybrid-spacecraft-engine-development

---
Cite as: Letara hybrid rocket engine technology development. CLSTR, https://clstr.news/situations/letara-hybrid-rocket-engine-technology-development