EU Demands $12 Billion in Penalties for U.S. Subsidies to Boeing

Before you go, we thought you'd like these...
Before you go close icon

In a long-running dispute over subsidies paid to aircraft makers, the European Union (EU) today sought permission from the World Trade Organization (WTO) to impose $12 billion in tariffs on U.S. made goods and services imported into Europe. The disagreement centers on subsidies paid by the EU and the U.S. to airplane makers - in Europe, the European Aeronautic Defense & Space Co. (EADS), makers of the Airbus planes, and in the United States, Boeing Co. (NYSE: BA).

In March the WTO ruled that the U.S. had indeed may $3 to $4 billion in illegal subsidy payments to Boeing, far less than the $19 billion in payments listed in the EU's original charge. According to the Office of the U.S. Trade Representative, the EU was found to have provided $18 in payments to EADS.

The action requested today by the EU alleges that the U.S. has not stopped providing the illegal subsidies to Boeing and seeks to penalize the U.S. by imposing tariffs on other U.S. exports.

Paul Ausick


Filed under: 24/7 Wall St. Wire, Aerospace, International Markets, Politics, Regulation Tagged: BA, featured
Read Full Story

Markets

S&P 500 2,343.98 -1.98 -0.08%
DJIA 20,596.72 -59.86 -0.29%
NASDAQ 5,828.74 11.04 0.19%
DAX 12,064.27 24.59 0.20%
NIKKEI 225 19,262.53 177.22 0.93%
HANG SENG 24,358.27 30.57 0.13%
USD (per EUR) 1.08 0.00 0.15%
USD (per CHF) 0.99 0.00 -0.18%
JPY (per USD) 111.32 0.34 0.30%
GBP (per USD) 1.25 0.00 -0.33%

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners