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Significance

Roscosmos is losing ground to foreign competitors and is hampered by funding problems, delayed construction around the Vostochny Cosmodrome and worrying recent technical problems affecting unmanned craft.

Impacts

Russia's space agency will be hard-pressed to reduce costs because of management inefficiencies and outdated technologies.

Delays at Vostochny will prolong reliance on Kazakhstan's Baikonur site which Russia has rented since 1992.

Kazakhstan wants to develop a space industry but its satellite launches have suffered problems.

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