LAXintl From United States of America, joined May 2000, 28480 posts, RR: 50 Posted (7 years 6 months 5 days 1 hour ago) and read 2538 times:
Bombardier and Canada of all people should know to tread carefully having previously lost a WTO ruling over illegal subsidies via a low-interest loan to the manufacturer.
Quote: U.S. To Investigate Funding For Bombardier's CSeries
U.S officials have confirmed that funding of Bombardier's CSeries program is under investigation.
The Canadian manufacturer launched the 110- to 130-seat family of aircraft at July's Farnborough Air Show with a $2.6 billion research and development (R&D) plan backed in part by British and Canadian taxpayers. That funding, which Bombardier calls "repayable investments," would match funds from itself and the program's suppliers.
"The United States has long expressed concerns about government financial support for the launch of commercial aircraft and has pursued this issue with the WTO"
"Washington will take a very careful look at the support announced by Canada, Quebec and the U.K. to ensure they do not distort the market for commercial airliners or contravene WTO rules."
Bombardier, which has had to defend previous funding programs, is being careful not to call these contribution loans, and direct subsidies are banned under WTO rules.
Voar From Canada, joined Jul 2008, 95 posts, RR: 0
Reply 1, posted (7 years 6 months 5 days 1 hour ago) and read 2513 times:
Considering this aircraft will provide competition to Boeing's 737, its hardly surprising that something like this should come up. every time one manufacturer launches some sort of competition to the local product there is some investigation (US vs Airbus, EU vs Boeing, Canada vs Embraer) , however, the funding for Bombardier has always been generous from the government of Canada, so we'll see who wins this time around.