4-Dec-2019 11:46 AM

USTR: WTO rejects EU claims of Airbus subsidy compliance, starts process to add/increase tariffs

Office of the US Trade Representative (USTR) stated (02-Dec-2019) the latest WTO compliance panel report rejected EU claims that it complied with WTO rules by making minor changes to its launch aid subsidies to Airbus. The USTR stated the findings "reaffirmed that the subsidies continue to cause adverse effects, and found further that European governments even extended the subsidies by renegotiating launch aid with Airbus". The WTO panel also found the EU corporate welfare continues to cost American aerospace companies significant lost revenue. The WTO recently valued the harm caused by these subsidies at USD7.5 billion. In light of the report and the lack of progress in efforts to resolve this dispute, the USTR reported the US is initiating a process to assess increasing the tariff rates and subjecting additional EU products to the tariffs. USTR will publish a Federal Register Notice regarding that process later in Dec-2019. [more - original PR]

Want More News Like This?

CAPA Membership provides access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More