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WTO to release findings Wednesday on review of U.S. aircraft subsidies

The World Trade Organization on Wednesday will release interim findings to the parties in its review of U.S. aircraft subsidies.

The case was brought by European governments in response to a U.S. complaint that Airbus has received illegal trade subsidies.

Although the interim findings are supposed to be confidential, Lexington Institute defense analyst Loren Thompson said the European governments will immediately leak the results to the press to put its side in a favorable light.

“But that will take some fancy footwork, because the WTO will not find that U.S. aircraft subsidies are anywhere near as massive or predatory as European subsidies,” Thompson wrote in a report today. “Anyone who has followed the wrangling between U.S. proponents of Boeing and European proponents of Airbus before the WTO can see that Airbus probably would not exist at all without continuous, trade-distorting subsidies since its inception in 1970.”