MOSCOW (AP) – Back-to-back rocket launch failures have dealt Russia one of the heaviest blows to its space industry since the Soviet collapse – with national pride and billions of dollars at stake.
The setbacks threaten to erode Russia’s leading position in the multibillion global launch market, in which it commands an estimated 40 percent share, and dent President Vladimir Putin’s efforts to boost the country’s global prestige.
The competition for lucrative commercial satellite contracts is intensifying, with American, European, Chinese and Indian companies all eager to expand their share. Deputy Prime Minister Dmitry Rogozin warned this week that Russia could soon lose its chunk if the problems aren’t fixed quickly.
Government officials and experts agree that the latest booster rocket failures are rooted in a steady decline of production standards and poor oversight at state-controlled rocket builders, but opinions vary on how the problems might be solved.
Highlighting space industry woes, the workers building the new Vostochny space launch pad in the far eastern Amur region went on hunger strike last month and appealed directly to Putin, complaining that they have gone unpaid for months. The head of a state-controlled construction company and three subcontractors have been arrested in the case.