Strategic Competition for Space Partnerships and Markets

Abstract

China and Russia’s global space footprint in the economic and financial (E&F) domain is not well understood today. This chapter, through analyses of space-related transactions of China and Russia globally, describes the pro-active approach to international space partnerships by these two state actors. It concludes that these partnerships are often skewed, exposing recipient countries to vulnerabilities and dependencies on the benefactor(s). The more subtle strategy deployed in the developed, democratic countries to gain influence is conducted on an incremental basis (e.g., through commercial contracts, academic exchanges, scientific research). The other approach, described as “space sector capture,” mostly involves developing countries and consists of offering package deals of capabilities, services, and financing, creating sore-source supplier relationship and long-term dependencies. The chapter argues that the pace and nature of these international space partnerships concluded by China and Russia present a strategic and competitive challenge for Europe, the USA, and other allies, including the development of global space governance, as well as market based on transparency, good governance, and disclosure.