SIA SAYS BERMAN SATELLITE BILL COULD APPEASE CONGRESSIONAL HAWKS
Satellite Industry Assn. (SIA) understands national security argument for maintaining State Dept. oversight of satellite launch and missile technology exports, but it says State export licensing of commercial satellites lacks logic and puts U.S. companies at competitive disadvantage with terrestrial capacity providers and foreign manufacturers. SIA Exec. Dir. Clayton Mowry sees this year possibility that some congressional defense hawks may support satellite export bill (CD March 6 p2) being drafted by Rep. Berman (D-Cal.) if it strikes balance between national security and competition concerns. Although still in early development stage, Berman bill would return most commercial satellite licensing authority to Commerce from State while incorporating State and Defense Dept. special review process on satellite exports to China.
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Rep. Cox (R-Cal.) opposes Berman bill, Hill staffer said. Mowry said Berman’s office was likely to take satellite export issue to Cox, who he said endorses strong govt. control over satellite exports but distinguishes satellite launch technology from commercial satellite exports in their impact on national security.
Mowry saw as positive Cox’s previously stated stance on speeding up State’s export licensing review process, but opposed Cox’s position on keeping satellites on State’s munition export control list, move he said would continue to hamper U.S. satellite industry’s global market share. Mowry expected continued opposition from Senate Foreign Relations Committee Chmn. Helms (R- N.C.). Helms’ committee spokesman didn’t return calls by our deadline.
Mowry said he was hopeful past supporters of satellite export control reform, including Sens. Bingaman (D-N.M.), Hagel (R-Neb.) and Cochran (R-Miss.), would renew support for Berman bill, which is similar to one introduced last year by then-Rep. Gejdenson (D- Conn.) but wasn’t considered before close of 106th Congress. Congressional staffer acknowledged Bingaman “had taken an interest” in export issue, but emphasized that he no longer was on Armed Services Committee where Gejdenson bill had been referred. Staffer said Bingaman wouldn’t comment on proposed Berman bill before reviewing text. Hagel and Cochran staffers didn’t comment.
Placing fiber and terrestrial microwave technologies on less stringent Commerce dual-use list while putting commercial satellites on State’s strict munitions list “is not a good way to regulate technology,” Mowry said: “Just because [commercial] satellites are placed in outer space does not mean a national security risk exists.” Dual-use products controlled by Commerce such as fiber just as easily “can be installed by military forces for command and control purposes,” he said: “We have been given 2nd-tier status in respect to our terrestrial competitors.” State licensing authority also impedes ability of U.S. companies to get products to market by requiring congressional notification for every satellite sold for more than $50 million, arrangement that worsens when U.S. levies weapons sanctions against nations, he said.