space diplomacy for business · 2019-09-19 · space economic diplomacy, a pillar of a wider eu...

W H Y ( A N D H O W ) E U R O P E A N E C O N O M I C D I P L O M A C Y M AT T E R S F O R T H E S PA C E S E C T O R

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SPACE DIPLOMACY FOR BUSINESS

Lucas Buthion19/09/2019

A E U R O P E A N U N I Q U E N E S S I N S PA C E

A R AT I O N A L E F O R S PA C E E C O N O M I C D I P L O M A C YA C T I O N S

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HIGHLIGHTS ON PROMINENT SPACE MARKETS DYNAMICS

The European space industry & the world: main features

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USA30%

ex-USSR36%

Europe4%

China21%

Japan2%

India7%

Employment in the space manufacturing sector worldwide (est.)

Space industry output (past 5 years / 2014-2018)

China15%

Europe16%

Russia29%

Ind…

Japan6%

USA32%

China15%

Europe16%

Ex-USSR22%

India3%

Japan7%

USA37%

Total Spacecraft Mass by SC supplier

Total mass launched to orbit by launcher supplier

>> Space industry workforce worldwide: about 700.000 people

(c) copyright - reproduction forbidden

Suppliers exposure to captive/open SC markets (2014-2018)Mass launched (tons) – SC Supplier perspective

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0

100

200

300

400

ChinaSupply

EuropeSupply

Ex-USSRSupply

IndiaSupply

JapanSupply

USASupply

captive

open

Special agreement NASA/Roskosmos for ISS

servicing, not Open market


Global Launch services marketby launch country (M$)


5

0

500

1000

1500

2000

2500

3000

3500

2014 2015 2016 2017 2018

China Europe Ex-USSR India Japan USA Others

Commercial Launch services marketBy launch country (M$)


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-

200

400

600

800

1.000

1.200

2014 2015 2016 2017 2018

China Europe Ex-USSR India Japan USA Others

A R E L AT I V E LY N E W ( A N D S T I L L L I M I T E D ) P H E N O M E N O N

T H E E U R O P E A N S I T U AT I O N : B E T W E E NC O M P E T I T I V E N E S S O N E X P O R T M A R K E T S E G M E N T S A N D S AT E L L I T E T R A D E D E F I C I T W I T H T H E U S A …

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A FEW HINTS ON SATELLITE EXPORTS WORLDWIDE

A brief history of worlwide satellite exports

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0

100

200

300

400

500

600

700

19

57

19

59

19

61

19

63

19

65

19

67

19

69

19

71

19

73

19

75

19

77

19

79

19

81

19

83

19

85

19

87

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89

19

91

19

93

19

95

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97

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99

20

01

20

03

20

05

20

07

20

09

20

11

20

13

20

15

20

17

Ton

s

Satellite Exports vs Domestic procurement 1957-2018 (mass)

Domestic Markets Export/Import


Where are satellites exported to?

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0

1

2

3

4

5

6

7

Alg

eria

An

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Au

stra

lia

Aze

rbai

jan

Ban

glad

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Ber

mu

da

Isla

nd

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Bo

livia

Bra

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Can

ada

Ch

ile

Ch

ina

Co

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bia

Egyp

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Ho

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Ind

on

esia

Iraq

Isra

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Jap

an

Jord

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Kaz

akh

stan

Lao

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Mal

aysi

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Mex

ico

Mo

rocc

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Nig

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Pak

ista

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Per

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ar

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Sau

di A

rab

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gap

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Sou

th A

fric

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th K

ore

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Thai

lan

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Turk

ey

Turk

men

ista

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Un

ited

Ara

b E

mir

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USA

Ven

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Den

mar

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Fran

ce

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the

rlan

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No

rway

Po

lan

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n

UK

Euro

pe

B$

Market value by destination country

Sum of Satellites Values (B$) 2009 - 2018


Satellite trade balance: between strenghths & weaknesses

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-6 -3 0 3 6 9 12 15 18

USA

Europe

China

Russia (CIS)

Japan

India

B$Imports Exports

-6 -3 0 3 6 9 12 15 18

USA

Europe

China

Russia (CIS)

Japan

India

B$Imports Exports

Sum of S/C Values 1999 – 2008 B$ Sum of S/C Values 2009 – 2018 B$


Satellite exports: supply & demand synthesis

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0 5 10 15 20

China Supplier

Europe Supplier

India Supplier

Others Supplier

Russia Supplier

USA Supplier

B$

Satellite export countries and destinations 1999 – 2008 (B$)

China Import

Europe Import

Japan Import

Russia Import

USA Import

Others Import

0 5 10 15 20

China Supplier

Europe Supplier

India Supplier

Japan Supplier

Russia Supplier

USA Supplier

B$

Satellite export countries and destinations 2009 – 2018 (B$)

China Import

Europe Import

Japan Import

Russia Import

USA Import

Others Import


B E T W E E N A « D E F E N S I V E » A N D A N « O F F E N S I V E » D I M E N S I O N , A T W O - S I D E D A P P R O A C H

S PA C E E C O N O M I C D I P L O M A C Y, A P I L L A R O F A W I D E R E U S PA C E I N D U S T R I A L S T R AT E G Y I N S U P P O R T T O I N D U S T R Y C O M P E T I T I V E N E S S

N E W E U R O P E A N C O M M I S S I O N : A N O P P O R T U N I T Y T O B E E F U P S PA C E E C O N O M I C D I P L O M A C Y - R E L AT E DA C T I O N S

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TOWARDS AN EU SPACE ECONOMIC DIPLOMACY – RECOMMENDATIONS OF

THE EUROPEAN SPACE INDUSTRY

Eurospace proposals in a nutshell*

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“Defensive approach”

Tailor-made institutional support

Encourage coordination between institutional stakeholders (DG

GROW, TRADE, DEVCO, CONNECT, EEAS) to help identify export

opportunities and potential existing synergies between the EU and

industry’s targeted customers.

Use of EU R&D programmes

Further support, through EU R&D programmes, to the development of

critical components associated with non-dependence

Set up a flexible instrument under Horizon Europe-space allowing

industry to initiate early contacts with potential governmental

customers

Trade policy instruments

Revise EC guidelines for the elaboration/ negotiation of trade

agreements to make sure that (when relevant) specificities of the

European space industry are taken into account, with the objective to

establish a level playing field

*Towards a « space economic diplomacy », Eurospace position paper, 2017

Eurospace proposals in a nutshell*

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“Offensive approach”

Tailor-made

institutional

support

Deploy diplomatic efforts, in transparent coordination with national diplomatic efforts, to

provide advocacy for European solutions, open doors and provide support with the local

decision-making bodies / encourage the expression of political support at higher political level

Lead regular “awareness-raising campaigns” within EU delegations involving representatives

from the European space industry

EU development

policy as a

leverage

Promote further synergies between DG GROW and DG DEVCO so that space-based

technologies & services support the objectives of DG DEVCO’s multiannual indicative

programme

Support training of third countries professionals in space-related activities (ground segments,

services centers…)

Promote requests from potential third beneficiary countries of procurement of European

space-related infrastructures

Trade policy

instruments

Reflect on the opportunity to set-up a European export financing credit-like agency to provide

insurance and loans to domestic companies for their export operations

When relevant, include “space” in trade negotiations to ensure a fair treatment of the

European space industry’ on third markets

*Towards a « space economic diplomacy », Eurospace position paper, 2017

Developing space economic diplomacy: in line with the ambitions of the next European Commission…

Economic diplomacy, to be part and parcel of a wider EU spaceindustrial policy?

space diplomacy for business · 2019-09-19 · space economic diplomacy, a pillar of a wider eu...

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