SpaceX's massive Starship rocket achieved its first ever splashdown during a test flight Thursday, in a major milestone for the prototype system that may one day send humans to Mars.

Sparks and debris flew off the spaceship as it came down over the Indian Ocean northwest of Australia, dramatic video captured by an onboard camera showed, even as it succeeded in its goal of surviving atmospheric re-entry.

A world-first launch from the far side of the moon this week showcased China's progress in space, and Beijing now wants its commercial sector to catch up to rivals such as Elon Musk's SpaceX.

Chinese companies lag far behind American frontrunners led by SpaceX, which plans to launch Starship, a massive prototype rocket that may one day send humans to Mars, on Thursday.

The gap is narrowing, however, as Beijing realizes the value a solid commercial sector can add to its existing capabilities, experts told AFP.

It could even become similar to the development of electric vehicles where EV pioneer Tesla, also founded by Musk, was an early mover in China but now faces fierce competition from a host of homegrown rivals, said analyst Chen Lan.

Boeing's space capsule developed more leaks during its first test flight with astronauts as it closed in on the International Space Station on Thursday.

The Starliner capsule already had one small helium leak when it rocketed into orbit Wednesday. Boeing and NASA managers were confident they could manage the propulsion system despite the problem and that more leaks were unlikely.