The World Trade Organization has ruled that Boeing benefited from $5 billion in improper subsidies from American government agencies for its 787 Dreamliner and other jets.

 

Boeing’s European rival, Airbus, was quick to seize on the news, and even tried to argue that the amount of subsidies the U.S. manufacturer received was even higher. Airbus officials claimed Boeing is set to accept another $2 billion in future subsidies. Altogether, the subsidizing cost Airbus $45 billion in lost sales, officials in Europe claimed.

 

Meanwhile, Boeing tried to spin things in its favor. The Seattle-based company insisted, despite the WTO ruling, that it was caught only taking $2.6 billion in illegal subsidies. Boeing also pointed out that Airbus was found last summer to have received $20 billion in unlawful subsidies.

-Noel Brinkerhoff

 

Boeing Got $5B in Subsidies, WTO Rules (by Colin Clark, DoD Buzz)

WTO Finds Boeing Got Billions in Illegal Subsidies, But How Many Billions? (by Aubrey Cohen, Seattle Post-Intelligencer)

Key Dates in Airbus-Boeing Subsidy Dispute (Reuters)

World Trade Organization Tells Obama Administration to Stop Subsidizing Boeing (by Noel Brinkerhoff and David Wallechinsky)