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WTO rules on U.S.-EU dispute over Airbus subsidies
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11:47, September 05, 2009

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The World Trade Organization (WTO) on Friday gave an initial ruling on whether the European Union had illegally subsidized its aviation giant Airbus as alleged by the United States.

The initial ruling, or interim report, had been handed over to the two sides, but the WTO did not reveal its result. According to the world body's dispute settlement procedures, in term reports should be treated as confidential.

The United States first brought the case to the WTO in 2004, alleging that the EU had provided billions of Euros in various forms of subsidies to Airbus, including so-called "launch aid" to its A380 and other major aircraft models, which violated WTO regulations.

In the same year, the EU also brought a case against Airbus' American rival, Boeing, alleging that the U.S. government had funded the company illegally.

The WTO's ruling on the Boeing case are expected to be issued months later.

Source: Xinhua



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