The EU proposed the law in June in an attempt to dial up regulatory oversight of satellite operators — including requiring them to tackle their impact on space debris and pollution, or face significant fines.
There are more than 10,000 satellites now in orbit as companies such as Elon Musk’s Starlink have increasingly ventured into low-Earth orbit, from where stronger telecommunication connections can be established but which requires more satellites to ensure full coverage.
The legislation does “not take into account that space operations are still relatively new and novel, and as such, are not yet ripe for strict regulation,” the U.S. said, even arguing that goes against the spirit of the trade agreement between the EU and U.S. agreed in August.
Cybersecurity provisions in the proposal are also under attack. The legislation proposes an “unbalanced approach,” the U.S. argued, saying a shortsighted approach could threaten technological advancement in space.
European Commission spokesperson Thomas Regnier said in a statement that the law creates “a real single market for space” and cuts red tape. The law would reduce administrative burden by coordinating requirements across the bloc and would also make space companies more reliable, Regnier said.