Guan Xiaofeng reports in China Daily that PRC participation in the EU's Galileo Project, Europe's satellite navigation system, has progressed with the signing of three more contracts in Beijing: Galileo Joint Undertaking, an umbrella for representatives from the European Commission and the European Space Agency; China Galileo Industries (CGI), and the National Remote Sensing Centre of China (NRSCC), which is responsible for the implementation of the Galileo Programme in China signed agreements.

China Galileo Industries (Chairman Meng Bo) consists of four companies, China Aerospace Science and Industry Corporation, China Electronics Technology Group Corporation, China Satcom and the Chinese Academy of Space Technology.

The three contracts relate to a Fishery Application, Ionospheric Studies, and notably, Location Based Services Standardization - which the EU thinks could in time become a global standard.

AP in Brussels is saying

. . . the announcement is likely to ruffle feathers at the U.S. Defense Department, which controls the rival Global Positioning System, a system it is racing to upgrade. Like the EU's discussions on lifting the Chinese arms embargo -- a move vehemently opposed by Washington -- the decision to give China a prominent role in the Galileo satellite program highlights divergent approaches to dealing with China's military ambitions between the U.S. and the EU.

Currently China's involvement in Galileo is limited to civilian satellite technology, but analysts believe in the future Beijing may be able to use it for military purposes.


China joined the Galileo Programme in October 2003, with the signing of the Galileo Programme Co-operation Agreement on Civil Global Satellite Navigation. Even before then concerns were voiced about Chinese Miltary, Security, and Police (MSP) access to the encrypted PRS band.In fact, in a broader context there were doubts that Europe's MSP should have access. As things stand, by 2008  the civilian ESA will be contributing to Eurosphere “defense and security”:

This move is somewhat astonishing for an organization that just a few years ago vehemently denied any cooperation with the military, emphatically rejected any reference to the “dual use” of space technology, and by its Constitution is confined to work “for exclusively peaceful purposes.”

Meanwhile Leonard David of Space.com reviews the recently released report by the U.S. Office of the Secretary of Defense annual report -- The Military Power of the People’s Republic of China 2005 in relation to China’s growing space capacity:

In a section on China’s "Space and Counterspace" activities, the report contends that Beijing has focused on building the infrastructure to develop advanced space-based command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) and targeting capabilities.

"Building a modern ISR [Intelligence, Surveillance, and Reconnaissance] architecture is likely one of the primary drivers behind Beijing’s space endeavors and a critical component of its overall C4ISR modernization efforts," the report states.

The report also repeats claims that China is developing anti-satellite (ASAT) systems.