Home -> Law Blog Directory -> Legal News Blogs -> JURIST - The Paper Chase

Legal News

: JURIST - The Paper Chase

WTO issues preliminary ruling against EU Airbus subsidies

By Bernard Hibbitts (editor) and University of Pittsburgh School of Law students.

[JURIST] The World Trade Organization (WTO) on Friday ruled that Airbus received illegal subsidies from European governments, according to sources familiar with the unreleased decision. The preliminary ruling came in response to a complaint filed by the US Trade Representative alleging that the subsidies caused material harm to US aircraft manufacturer Boeing, in violation of the Agreement on Subsidies and Countervailing Measures and the General Agreement on Tariffs and Trade 1994. Representative Norm Dicks (D-WA) responded to the ruling, saying that the subsidies allowed Airbus to "steal US aircraft manufacturing jobs" and that they should be curtailed immediately to "restore a level global marketplace." The WTO has yet to rule on a counterclaim brought by the EU alleging that US aid to Boeing is in violation of agreements. In February, Congress amended a US economic stimulus package after the European Union expressed concern over a "Buy American" provision in the legislation. The EU stated that they were prepared to take legal action over the provision that allegedly violated the WTO Agreement on Government Procurement, an ensurement that both the US and EU will have substantial procurement opportunities in either region.

Full post as published by JURIST - The Paper Chase on September 05, 2009 (boomark / email).