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WTO Appellate Body issues report on Airbus dispute

The Appellate Body, on 18 May 2011, issued its report in the case “European Communities and Certain Member States — Measures Affecting Trade in Large Civil Aircraft” (WT/DS316/AB/R).

  • Summary of key findings: “The Appellate Body today upheld the Panel’s finding that certain subsidies provided by the European Union and certain Member state governments to Airbus are incompatible with Article 5(c) of the SCM Agreement because they have caused serious prejudice to the interests of the United States. The principal subsidies covered by the ruling include financing arrangements (known as “Launch Aid” or “Member state financing”) provided by France, Germany, Spain, and the UK for the development of the A300, A310, A320, A330/A340, A330-200, A340-500/600, and A380 LCA projects. The ruling also covers certain equity infusions provided by the French and German governments to companies that formed part of the Airbus consortium.
  • DS316: European Communities and Certain Member States — Measures Affecting Trade in Large Civil Aircraft. Findings and conclusions, PDF, 669 pages.

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