Boeing Backed by WTO on $8.7 Billion in Incentives for 777X Jet
- Washington state tax break deemed to not have been prohibited
- Airbus may still include Boeing tax incentives in broader case
Construction cranes stand at the site of the Boeing 777X wing center facility in Everett, Washington in June 2015.
Photographer: David Ryder/BloombergThis article is for subscribers only.
Boeing Co. won a round in a long-running U.S. trade dispute with the European Union over government backing for the planemaker and competitor Airbus SE.
The World Trade Organization’s appellate body overruled a lower-level finding that $8.7 billion in tax incentives awarded by Washington state to Chicago-based Boeing for the development of the 777X jetliner constituted the most serious transgression of subsidy restrictions. The appellate body isn’t making a recommendation in the dispute, it said Monday in a statement.