) -- The World Trade Organization ruled in a preliminary finding that
received illegal subsidies from the U.S. government, a report says.
Citing people familiar with the case, the
Wall Street Journal
reports Boeing received the aid to the detriment of Airbus, the European plane maker.
The WTO, in a confidential report on a case that was filed by the European Union, found some funding provided by the Department of Defense and NASA constituted actionable subsidies, the people said, the
The EU convinced the WTO that Airbus suffered adverse effects from the subsidies, which the EU said totaled more than $16 billion. It is unclear how much was found to be illegal, the newspaper notes. The WTO's findings remain confidential; the report for now is available only to government officials.
The EU claimed in its filing that Boeing received roughly $23.7 billion in illegal subsidies from state, local and federal sources in the U.S.
Ahead of Wednesday's ruling, Boeing, in a statement on its Web site, said, "We look forward to learning how the WTO has ruled in (Wednesday's) preliminary decision on U.S. practices, none of which have the market-distorting impact of launch aid nor even approach the sheer scale of European subsidy practices."
-- Written by Joseph Woelfel
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