Japan's space agency on Saturday succeeded in launching its next-generation H3 rocket, providing a much-needed boost to the nation’s satellite-launching and space exploration ambitions after the failure of its first model nearly a year ago.

The H3 liquid fuel rocket, developed by the Japan Aerospace Exploration Agency (JAXA) and Mitsubishi Heavy Industries, lifted off from the Tanegashima Space Center in Kagoshima Prefecture at 9:22 a.m.

The H3 was carrying a 2.6-ton dummy satellite called VEP-4, weighing about the same as Earth observation satellite Daichi-3, to help test the rocket’s flight performance. Daichi-3 was lost during the failed launch of the first unit last March.

The rocket, which was flown as a test, was also carrying two small satellites as piggyback payloads.

The development of the H3 as Japan's flagship rocket began 10 years ago to replace the H-IIA, which has been in operation since 2001. With the H3, JAXA aims to enhance the nation's independent access to space and its prowess in rocket development technologies while also delivering a jolt to related industries.

To increase launch frequencies and win orders not only from the government but also from commercial users at home and abroad, the agency hopes to reduce the H3's cost to around ¥5 billion ($33.3 million) per vehicle — half of the H-IIA — by employing civilian-use and 3D-printed parts.

JAXA President Hiroshi Yamakawa expressed relief at the mission's success during a news conference Saturday afternoon and pledged to enhance collaborations with private-sector and international partners.

"We need to improve the usability of the rocket and the satellite launch service," he said.

“The H3 is a new mainstay rocket that is extremely important to secure the self-reliance and international competitiveness of Japan’s space activities,” Sanae Takaichi, minister in charge of space policy, said in a statement.

“We hope that H3 rockets will also attract launching demand from abroad and lead to the economic development of the nation.”

Prime Minister Fumio Kishida lauded the efforts of those involved, referring to the success of the SLIM lunar lander mission last month.

"I am very pleased to see such a great achievement in the space sector, following the successful landing of SLIM on the moon," he posted on the X social media site.

U.S. Ambassador to Japan Rahm Emanuel also posted a congratulatory message on X shortly after the launch.

"Onward and upward — congratulations to @JAXA_en and @MHI_Group on the launch of #H3rocket from #Tanegashima Space Center!" he wrote.

In the first few minutes after launch, the 57-meter, 422-ton rocket flew over the Pacific, separating and jettisoning its boosters and fairing — a pointed nose cone at the top of the rocket that protects the payload system.

Then, about 17 minutes after liftoff, the vehicle inserted into orbit the first of its two microsatellites, the CE-SAT-IE. The device, developed by Canon Electronics, is equipped with optical sensors capable of taking still and video images to perform emergency observations in times of disasters.

Eight minutes later, the other microsatellite, the TIRSAT, developed by Japan Space Systems and others, was also put into orbit. The TIRSAT has a thermal infrared camera that can sense the temperatures of factories worldwide and help with supply-chain monitoring, according to JAXA.

Cheers erupted from the launch control center, with JAXA officials seen hugging each other in excitement after the first, 50-cm cube satellite was successfully separated and sent into orbit.

"The separation appears to have been confirmed," an announcer said during a live broadcast. "CE-SAT-IE became the first satellite inserted into orbit by H3."

JAXA has raced against the clock to resume H3 launches, as the current H-IIA rocket will be retired in the next fiscal year starting in April. The agency says it has dealt with the possible causes of last year’s failure by strengthening the insulation of parts and removing less important components.

While the agency says the H3 will offer flexible, reliable and cost-efficient transport options for satellites, international competition is already intense, with SpaceX’s reusable Falcon 9 rocket providing countries and businesses with cheaper options to get their satellites into space. The H3’s rivals also include Europe's Ariane 6, which is expected to make its debut later this year.

During last year's launch, the second-stage engine failed to ignite, forcing mission control to manually destroy the vehicle.

JAXA originally planned to mount the Daichi-4 satellite on the second model of the H3. But the plan was changed after the loss of Daichi-3, which cost ¥28.2 billion ($187.6 million) to develop.

Masashi Okada, project manager in charge of the H3’s development at JAXA, told reporters on Tuesday that the team had done everything it could to track down the possible causes of last year’s failure and taken measures to avoid a recurrence.

JAXA narrowed down the possible causes to three, including a short circuit in the ignition device.