The World Trade Organization has found that the European Union has failed to wit...
PARIS/BRUSSELS - The World Trade Organization has found that the European Union has failed to withdraw all subsidies to planemaker Airbus amid U.S. tariffs on European goods, three people familiar with the matter said.
However, the WTO could scale back the amount of harm deemed to have been caused to U.S. rival Boeing , which influenced a decision to allow $7.5 billion of U.S. tariffs against the EU earlier this year, two of the people said. The $7.5-billion tariff ceiling approved by the WTO was based on the amount of economic damage believed to have been caused to Boeing as a result of European support to Airbus, mainly in the form of government loans for the A380 and A350.
Two of the people familiar with the case said the WTO had accepted part of these arguments, implicitly agreeing to reduce the ceiling for U.S. retaliation by as much as $2 billion.
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