May 8, 2020 - Issue: Vol. 166, No. 87 — Daily Edition116th Congress (2019 - 2020) - 2nd Session

[Extensions of Remarks]
[Page E434]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




        LEGISLATION TO SECURE AMERICAN SPACE LAUNCH PREEMINENCE

                                  _____
                                 

                            HON. BILL POSEY

                               of florida

                    in the house of representatives

                          Friday, May 8, 2020

  Mr. POSEY. Madam Speaker, I, along with my colleague, Representative 
Charlie Crist, feel our nation's robust commercial space launch 
industry is threatened by increased subsidies from foreign government 
entities. This threat does not only adversely impact U.S. space launch 
providers, but it will adversely impact our ability to have affordable 
and assured ability to launch critical U.S. national security payloads.
  There are unfair practices coming from China, India, Russia and 
Europe.
  These countries have taken notice of U.S. market growth and are 
funding their own launch vehicle development and providing direct 
subsidies to compete with and take market share from the U.S. 
commercial launch companies.
  To level the playing field, the American Space Commerce Act extends 
existing space launch tax incentives for an additional ten years for 
companies that launch their payloads from the United States.
  The 2019 Report to Congress of the U.S.-China Economic and Security 
Review Commission states that ``China is taking steps to establish a 
commanding position in the commercial launch and satellite sectors 
relying in part on aggressive state-backed financing that foreign 
market-driven companies cannot match.''
  The report further adds, ``China has already succeeded in 
undercutting some U.S. and other foreign launch and satellite providers 
in the international market, threatening to hollow out these countries' 
space industrial bases.''
  A strong domestic space launch industry is in the national security 
interest of the United States. Foreign launch providers are heavily 
subsidized by their governments and use these subsidies to 
intentionally price below the cost to undercut American competition, 
materially harming the American industrial base.
  The American Space Commerce Act will help our domestic space launch 
industry and keep the United States a leader in space.