The World Trade Organization turned up the heat on Europe’s aerospace industry today by ruling that Airbus was continuing to benefit from what’s now estimated at $22 billion in subsidies from the European Union and its member countries.
U.S. Trade Representative Michael Froman hailed the decision as a “sweeping victory” in a dispute that has been simmering for more than a decade, with the Boeing Co. cast as the principal victim of Airbus’ subsidies.
“This long-awaited decision is a victory for fair trade worldwide, and for U.S. aerospace workers in particular,” Dennis Muilenburg, Boeing’s chairman, president and CEO, said in a statement.
Both of Washington state’s U.S. senators and several House members praised the development as well.
The WTO’s latest action marks one more step toward imposing retaliatory trade sanctions that could amount to as much as $10 billion a year.