European Union Asks for Panel to Settle Question of Airbus Subsidy Compliance

The European Union said in May that it has either ended the subsidy programs to Airbus that the World Trade Organization says are not in compliance, or taken steps to mitigate their effects on competing airplane manufacturers. The U.S. first brought a WTO challenge (see 1805150066) on the subsidies in 2004, but said in 2011 that it didn't believe the EU was complying with the ruling on its subsidies. It still holds that view, and has asked a WTO arbitrator to determine how much it can retaliate for the subsidies. The EU, in a document published Aug. 3, said consultations held June 27 to avoid arbitration failed to find a consensus. So it's requesting another panel of judges to decide if it has complied. A countersuit on the Washington state tax subsidies for Boeing is still making its way through the WTO appeals process (see 1706300035).