Boeing calls WTO ruling a 'landmark' victory
Wednesday, June 30, 2010 | 7:39 am
The Boeing Co. is claiming victory in an international trade ruling over government subsidies provided to its rival Airbus.
"This is a landmark decision and sweeping legal victory over the launch aid subsidies that fueled the rise of Airbus and that continue to provide its products a major cost advantage," said Jim McNerney, Boeing's chief executive.
The World Trade Organization issued its final ruling in trade dispute between Boeing and Airbus. The organization had handed down a preliminary ruling last year.
For this ruling, the WTO looked at Boeing's claims that Airbus received illegal "launch aid" for several of its commercial aircraft programs. The European Union, acting on Airbus' behalf, has the right to appeal the ruling.
Airbus has filed a counter complaint with the WTO, alleging the U.S. government, including Washington state, gave Boeing unfair subsidies. The WTO is expected to issue a preliminary ruling in that case next month.
Airbus noted that the WTO rejected about 70 percent of Boeing's claims.
“These results are in line with the previous versions of the WTO panel’s findings. Airbus, the EU and the Member States are closely analyzing the report in advance of a possible review by the WTO Appellate Body," said Rainer Ohler, Head of Public Affairs and Communications of Airbus.
Airbus said it expects the WTO cases to drag out for several years.
Read Boeing's statement on the ruling.
Here's Airbus' statement.
"This is a landmark decision and sweeping legal victory over the launch aid subsidies that fueled the rise of Airbus and that continue to provide its products a major cost advantage," said Jim McNerney, Boeing's chief executive.
The World Trade Organization issued its final ruling in trade dispute between Boeing and Airbus. The organization had handed down a preliminary ruling last year.
For this ruling, the WTO looked at Boeing's claims that Airbus received illegal "launch aid" for several of its commercial aircraft programs. The European Union, acting on Airbus' behalf, has the right to appeal the ruling.
Airbus has filed a counter complaint with the WTO, alleging the U.S. government, including Washington state, gave Boeing unfair subsidies. The WTO is expected to issue a preliminary ruling in that case next month.
Airbus noted that the WTO rejected about 70 percent of Boeing's claims.
“These results are in line with the previous versions of the WTO panel’s findings. Airbus, the EU and the Member States are closely analyzing the report in advance of a possible review by the WTO Appellate Body," said Rainer Ohler, Head of Public Affairs and Communications of Airbus.
Airbus said it expects the WTO cases to drag out for several years.
Read Boeing's statement on the ruling.
Here's Airbus' statement.
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