A major Chinese investor is hoping to pip Richard Branson to the post in the space tourism race, unveiling US$1.5bn (€1.3bn, £1.1bn) plans to build a theme park in Hangzhou centred around a 21km (13m) balloon ride into the upper reaches of earth’s atmosphere.

The ambitious plans by Shenzen-based company KuangChi Science will offer a leisurely skyride, using a high-altitude weather balloon to transport passengers to more than double the height of a commercial flight, offering scenic views of the earth's curvature.

KuangChi – headed by Liu Ruopeng – has detailed the plans on its website, which will use a pressurised capsule, called the “Traveller,” that will be carried upwards by a helium-filled balloon. Once at target altitude, the capsule will remain in the atmosphere for up to three hours, before descending to the landing area using GPS tracking.

With the descent to earth usually a bumpy one, the capsule, in development for a number of years, will mitigate the force of gravity by using a ballistic parachute that will open in stages, also featuring a buffering gasbag to slow the capsule when it lands.

"Our mission is to develop science and technology that create a future life ecology. We have chosen Hangzhou because it is a city that embraces innovation and tolerates failure, for the Valley. Moreover, the Qingshan Lake, where the Valley is going to be built, has a large water surface and cubical space for us to run the machine," said Liu, speaking to China Daily.

"Science needs globalisation to deliver a connected system that fundamentally changes every aspect of people's life. An important theme of the event is to connect the world into a common community, which is exactly what future science needs to create new productivity."

The theme park, which will be developed at a cost of US$1.5m (€1.3m, £1.1m), will include a simulator version of the balloon ride for those who cannot afford the cost of the real thing, with the ride itself expected to cost in the region of US$75,000 (€66,000, £56,000) per person. The park expected to open in 2017.

The balloon flights will be in direct competition with Richard Branson’s Virgin Galactic, which started a new round of testing earlier in the year following a fatal crash. Once completed, Virgin Galactic will fly at a much higher 46km (28.5m), though the cost will also soar to US$250,000 (€221,500, £188,000) per person.