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Boeing responds to WTO final ruling in trade subsidy case

1-Feb-2011 9:14 AM

Boeing responded (31-Jan-2011) to public reports on the WTO panel ruling deciding European Union claims of US government assistance to Boeing. Boeing stated the WTO has issued a confidential final ruling that is a "sweeping rejection" of EU claims and rejects almost all of the EU's claims - including R&D claims - apart from USD2.6 billion. [more]

Boeing: "Nothing in today's reports even begins to compare to the USD20 billion in illegal subsidies that the WTO found last June that Airbus/EADS has received... The WTO's decisions confirm that European launch aid stands alone as a massive illegal subsidy only available to Airbus, which has seriously harmed Boeing... As a result of the June WTO ruling, EU governments and Airbus/EADS must repay or restructure USD4 billion in still outstanding illegal launch aid subsidies Airbus received to develop the A380. They must also remedy the adverse effects of the additional USD16 billion in other illegal subsidies Airbus received. Under the WTO's decisions, Airbus must now compete in the global marketplace without the massive illegal subsidies it has received since its inception and without which, the WTO held, Airbus would be 'a much different, and we believe a much weaker' company than it is today," Company statement, 31-Jan-2011.