Airbus claims US trade sanctions on its aircraft are excessive
Airbus has hit back against a move by the United States to impose trade sanctions on its aircraft which pushed the manufacturers shares down this morning.
The US Trade Representative's office has said it is considering slapping tariffs on $11bn (£8.4bn) worth of goods from the European Union, including Airbus planes.
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It said the proposed move would be in retaliation for EU subsidies to Airbus, which the World Trade Organisation (WTO) has found to have caused adverse effects to the United States.
Airbus shares fell 1.5 per cent this morning on the news.
The US estimates the harm from the EU subsidies to be $11bn per year, and said it is retaliating accordingly. But the amount is currently subject to an arbitration at the WTO which is expected to deliver a verdict in the summer.
Airbus spokesperson Rainer Ohler this morning said the plane maker had moved to comply with the “relatively” minor outstanding requirements, adding the $11bn figure touted by Washington was over-the-top.
He said: “The amount is largely exaggerated and in any case will be defined by the WTO and not the US.”
He added that a WTO ruling last week that Airbus’ arch rival Boeing has received tax breaks from the US side gives the EU cause to look for “even greater countermeasures”.
The ruling showed “no willingness at all on the Boeing side to comply and confirms they are clearly in contravention with WTO rules,” he said.
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The dispute over subsidies from both sides has been raging for 14 years.
US Trade Representative Robert Lighthizer said: “The time has come for action. The administration is preparing to respond immediately when the WTO issues its finding on the value of US countermeasures.”