South China's Hainan Province is preparing to build a satellite manufacturing facility as the country's southernmost rocket center prepares for a growing number of commercial launches.

Once built, the factory will assemble satellites in production lines similar to an automobile factory, substantially reducing the cost of space projects and boosting China's commercial space industry.

"The annual production is expected to reach 1,000 satellites," said Liu Botao, chief engineer of fixed assets construction at Beijing Institute of Spacecraft Environment Engineering.

Experts from national aerospace institutes and commercial space companies gathered together in Hainan to discuss the designs of the facility so it could cater to the large amount of commercial launches in the future.

Satellites are usually manufactured one at a time for a planned purpose, and such one-off projects often come with excessive cost. The factory will help private companies send their satellites into space at a more affordable price.

In addition, the factory will be built close to launch pads in northeastern Hainan's Wenchang City, reducing transportation costs.

"In the past, the satellites were manufactured all over the country and then shipped to Hainan," said Zhang Chenghao, a director at the administration bureau of Wenchang International Aerospace City. "With the help of the factory, we will be able to launch the satellites once they are built."