WASHINGTON, D.C. - Today, Congressman Adam Smith (WA-09) issued the following statement on the World Trade Organization’s (WTO) final ruling that launch aid to Airbus is an illegal subsidy:
"Today’s ruling makes it clear that Airbus airplanes have been illegally subsidized by European governments. These governments violated WTO rules by providing below market rate loans to develop Airbus planes.
"These illegal subsidies distorted the industry in favor of Airbus planes. As the U.S. regains its foothold in the global marketplace and continues to recover economically, it is essential that we fight to restore market balance for American workers. Ensuring that governments and businesses are compliant with international trade rules is an important component. In its final ruling the WTO has sided with U.S. officials, agreeing that rather than competing on a level playing field with U.S.-built aircraft, the European governments provided Airbus with an unfair competitive advantage, shifting market share toward Europe and away from U.S. aircraft manufacturing jobs.
"European governments and Airbus should end their practice of launch aid, comply with the WTO’s ruling, and cease all plans for illegal subsidies to future planes. Boeing workers are among the best in the world and can compete directly in the aerospace industry but, in order to do so, we must ensure that the policies of our trading partners and international businesses comply with global trade rules."