Airbus and Boeing tussle to continue

With no sign of a settlement in the dispute between aircraft makers Airbus and Boeing, the dispute will remain with the WTO.

Noël Forgeard, chief executive of European consortium EADS, which is heading the Airbus project, has indicated that no settlement is currently on the cards in the dispute between Airbus and Boeing over state subsidies.

In October last year, EADS undertook not to seek government aid for the Airbus project in the hope of negotiating a settlement of the dispute which has been trundling through the WTO process since May 2005 (See EURACTIV 7 Oct 2005).

In an interview with a French TV channel on 15 February, however, Forgeard said that in the absence of any credible steps towards an amicable solution by Boeing, EADS would now be seeking repayable aids from European governments. Aid is likely to be sought from the UK, France Germany and Spain.

In the meantime, Boeing is likely to make a move to corner the Asian market ahead of Airbus by launching its new 747-8 jumbos at the Asian Aerospace 2006 show in Singapore next week. 

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