Open

Coming up

Don't miss

Replay


LATEST SHOWS

THE WORLD THIS WEEK

The World This Week - 01 August 2014 (part 2)

Read more

MEDIAWATCH

Coverage of Gaza in the Israeli media

Read more

REPORTERS

1914-1918: The Depths of Hell

Read more

THE WORLD THIS WEEK

The World This Week - 01 August 2014

Read more

THE INTERVIEW

Exclusive: Israel's US ambassador speaks to FRANCE 24

Read more

#THE 51%

World War One: The war that changed women’s lives

Read more

FRANCE IN FOCUS

Ségolène Royal goes for green

Read more

THE OBSERVERS

A look back at some of the Observers' best stories

Read more

DEBATE

Argentina Defaults: Kirchner Cries Foul Over 'Vulture Funds' (part 2)

Read more

  • Hamas denies capturing Israeli soldier as Gaza truce lies in tatters

    Read more

  • Scores killed in China factory explosion

    Read more

  • Exclusive: Israel's US ambassador speaks to FRANCE 24

    Read more

  • Police chokehold caused NYC death, coroner rules

    Read more

  • France tops requests to erase online footprint, says Google

    Read more

  • Air France ground workers to strike on August 2

    Read more

  • Rogue general denies Islamist seizure of Benghazi

    Read more

  • Ugandan court strikes down anti-gay legislation

    Read more

  • 1914-1918: The Depths of Hell

    Read more

  • Regional summit to tackle deadly Ebola outbreak

    Read more

  • French hospital to open wine bar for terminally ill patients

    Read more

  • Video: Tipping is dying out in French café culture

    Read more

  • €2.5 million in cocaine ‘disappears’ from Paris police HQ

    Read more

  • Appeal court keeps French rogue trader Kerviel in jail

    Read more

  • Interactive: France’s new plan to counter jihadism in Africa

    Read more

  • Ukrainian army suffers losses in separatist attack

    Read more

Europe

'Preliminary' WTO ruling due on US subsidies to Boeing

Text by FRANCE 24

Latest update : 2010-07-16

A delay in the delivery of a final WTO judgment on 'illegal' US subsidies to aerospace giant Boeing has angered rival company Airbus, who have themselves recently been found guilty of illegally receiving funding from EU governments.

European aerospace giant Airbus had been waiting anxiously for a World Trade Organisation (WTO) ruling, expected Friday, on whether its arch-rival Boeing had received illegal subsidies from the US government.

However, the WTO has postponed a final ruling on the issue until September, and is expected to only deliver a “preliminary” ruling on Friday.
 
The delay has angered both the EU and Airbus, who had hoped that a final decision would avenge a 30th June WTO decision that Airbus had received illegal subsidies from EU governments, notably the UK, France, Germany and Spain.
 
“Because of the complexity of the case, there will be a delay in delivering the [final report],” the WTO said in a statement on 8th July.
 
Airbus parent company EADS had hoped that a concrete judgement would take the sting out of the earlier WTO ruling.
 
EU Trade Commissioner Karel de Gucht said he now expected to wait until September for the full WTO ruling on the Boeing issue.
 
‘A one-sided picture’
 
In an interview with German daily Handelsblatt, de Gucht said: "We are not happy with the [30th June] ruling because it gives a very one-sided picture. It now looks as if only Airbus broke WTO rules. This is a ruling that we will in all probability appeal in some areas.”
  
The commissioner added: "Everyone knows that Boeing works in a similar way to Airbus. Instead of financial assistance from the state, they get billion-dollar military or civilian contracts. Washington uses the WTO panel on Airbus against us politically, for example in the [A330] tanker deal for the US Air Force.”
 
War of reports
 
The postponement of the WTO ruling is the latest twist in a long-running saga that has pitted the two aerospace giants against each other since 2004.
 
The US had complained that Airbus had received “illegal help” from the EU totalling 139 billion euros since 1967. The EU hit back saying that Boeing’s financial assistance from the US government was nearer to 300 billion euros over the same period.
 
In July 2005 the WTO decided to launch a double inquiry, in what commentators said was the biggest commercial battle in modern times.
 
The United States demanded that Europe stop its massive programme of subsidies to Airbus (worth some three billion euros) for its A350 passenger jet. On the fiercely competitive aerospace market, the A350 is seen as the main competitor to Boeing’s 787 Dreamliner.

 

Date created : 2010-07-15

  • AVIATION

    US claims victory after WTO condemns 'illegal' Airbus subsidies

    Read more

  • AEROSPACE

    WTO scolds EU over illegal subsidies to Airbus

    Read more

  • AVIATION INDUSTRY

    WTO to rule on longstanding Airbus-Boeing dispute

    Read more

COMMENT(S)