Russian Satellite Deal Has U.S. Rocket Makers Worried : Aerospace: The industry fears the accord between Moscow and Washington may threaten the American commercial launch industry.
A deal that permits the first launch of an American-made satellite aboard a Russian rocket could pose a threat to the struggling American commercial launch industry, according to spokesmen for McDonnell Douglas Space Systems Co. and other American rocket makers.
The decision on the Russian launch was one of a series of accords on space exploration reached last week by Russia and the United States during Russian President Boris N. Yeltsin’s visit to Washington.
The agreements are of particular interest in Southern California, home to two of the nation’s three major rocket builders--McDonnell Douglas and General Dynamics Space Systems Division in San Diego, which makes the Atlas rocket.
“Frankly, the industry is somewhat disappointed in what happened,” said S. K. Mihara, who heads McDonnell Douglas’ commercial Delta rocket program, based in Huntington Beach.
U.S. companies believe that permission to launch a U.S. satellite should have been withheld until the Russians signed a specific trade agreement setting out criteria for launch pricing, Mihara said.
“I can compete with Ivan & Sons Launch Co.,” said Charlie Lloyd, vice president and director of General Dynamics Commercial Launch Services. “It’s difficult for General Dynamics or McDonnell Douglas to compete with the Russian Federation.”
Renewal of a 1987 U.S.-Soviet space cooperation agreement calls for an exchange of astronauts in 1993 and a mission in 1994 or 1995 in which a U.S. space shuttle would dock with Russia’s MIR space station.
In addition, Daniel S. Goldin, National Aeronautics and Space Administration administrator, signed a contract, initially valued at $1 million, with the Russian space agency that calls for a year-long study of the exchange of space hardware. The contract could be extended for another two years at an additional cost of $9 million.
The first item of interest to U.S. officials is a Russian Soyuz TM space capsule that could be used as an “escape vehicle” on the planned U.S. space station Freedom, which is to be launched in pieces beginning in late 1995.
In the long term, the contract could provide the greatest opportunity for NASA and American aerospace companies to profit from the use of Russian hardware and technology, officials said.
But it was the decision of the U.S. government to permit the launch of an American satellite on a Russian rocket that attracted the most attention. Previously, the government had forbidden such launches.
State Department officials have been concerned that advanced satellite technology might fall into the wrong hands, and private American launch companies have argued that the state-subsidized Russian launch company would unfairly undercut their prices.
Specifically, the Bush Administration said it will not oppose the request of the International Marine Satellite Organization, or INMARSAT, a 64-nation consortium, to use a Russian Proton rocket sometime in 1996 to boost into orbit a satellite built by GE Astro Space Division of New Jersey.
The decision gives a much-sought lift to the Russian commercial launch program, as about half the world’s satellites are built in the United States. However, Administration officials said future approvals will depend on the conclusion of a trade agreement that guarantees the Russians will not unfairly undercut prices charged by U.S. commercial launch companies.
