scotron11
Posts: 1181
Joined: Tue Feb 10, 2004 4:54 pm

US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 11:59 am

Bush administration said Friday that a 90-day negotiation period had failed to resolve a bitter trade dispute with the European Union over commercial airplane subsidies.

While U.S. officials held out the threat of resuming a trade case against the EU, they said the administration would not take that step as long as Europe did not go forward with new development subsidies for Airbus, the major competitor to U.S.-based Boeing Co.

``In the event that the EU proceeds with additional subsidies for Airbus large civil aircraft, the United States will return to the (World Trade Organization) dispute settlement,'' Richard Mills, a spokesman for the U.S. Trade Office, said in a statement.(AP)

Looks like this will only escalate if the A350 gets any development monies. Good!
 
NAV20
Posts: 8453
Joined: Thu Nov 27, 2003 3:25 pm

RE: US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 12:10 pm

Or if the EU stumps up with further funding to keep the A380 afloat.
"Once you have flown, you will walk the earth with your eyes turned skywards.." - Leonardo da Vinci
 
Leskova
Posts: 5547
Joined: Wed Oct 08, 2003 3:39 pm

RE: US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 2:40 pm

Quoting NAV20 (Reply 1):
Or if the EU stumps up with further funding to keep the A380 afloat.

Which they would do exactly why? Looking back at the recent history of the EU giving money to Airbus to keep it afloat?  Yeah sure (just a hint for you, since I'm not sure if it's clear enough... that was sarcasm)

You know, if you even took the one or two minutes it takes to find EADS' financial results, and if you then looked at the loads of money they've made these last few years (specifically through Airbus), then you'd realize that you comment was quite ridiculous.

Then again, it might just have been a desperate try to start yet another A vs. B discussion... something that'll probably happen one way or another...

Regards,
Frank
Smile - it confuses people!
 
CXoneworld
Posts: 312
Joined: Thu Aug 12, 2004 1:59 am

RE: US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 3:13 pm

Quoting Leskova (Reply 2):
you even took the one or two minutes it takes to find EADS' financial results, and if you then looked at the loads of money they've made these last few years (specifically through Airbus),

Then why government financing?

Your country boasts one of the most efficient financial markets in the world. I suppose private investors are always happy to chip in and have a share of your "proclaimed" success of Airbus. If this is the case, why condractics oneself with a government launch aid?
oneworld alliance revolves around you
 
NAV20
Posts: 8453
Joined: Thu Nov 27, 2003 3:25 pm

RE: US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 8:04 pm

Quoting Leskova (Reply 2):
it might just have been a desperate try to start yet another A vs. B discussion... something that'll probably happen one way or another...

Really, Leskova!  Smile How could a discussion about a disagreement between the United States Government and the European Union on the subject of subsidies to the aircraft industry POSSIBLY be anything else but an 'A vs. B discussion', as you term it?

You are not REQUIRED to participate. "If you can't stand the heat, stay out of the kitchen."
"Once you have flown, you will walk the earth with your eyes turned skywards.." - Leonardo da Vinci
 
Pihero
Posts: 4196
Joined: Mon Jan 31, 2005 5:11 am

RE: US Says EU, Boeing-Airbus Talks Fail

Sat Apr 09, 2005 9:45 pm

Hi, Folks,

Back to history.
An agreement was made in 1992 about launch financing, worth 30% of the estimated costs with re-imbursable loans.

With their usual sportmanship/fairness and love of negociated deals,the US decided UNILATERALLY to denounce the accord, putting it to re-negociation, with a threat to go to the WTO court for arbitration if the negociation failed after a 90 day period.
The EU position is that we should have a level field and that means the invisible aids from the US administration, i.e tax rebates, free access to the NASA,DARPA...research, complete financing of foreign-designed and built parts (Japanese or italian in particular) have to be discussed as well.
Funny,according to Mr Zoelick they shouldn't be.
And regarding the US history of respect of the WTO ruling....

So, nothing really to get excited about. Especially when apparently the deadline has been extended by the US negiciators.

Called "business as usual".
Contrail designer
 
cloudy
Posts: 1613
Joined: Sat Apr 06, 2002 3:23 pm

RE: US Says EU, Boeing-Airbus Talks Fail

Sun Apr 10, 2005 9:38 am

Whats probably going to happen here is the politicians on both sides will talk tough for the cameras. It will sound like an A vs B flame war. After a while, probably a year or more, they will quietly work out a reasonable deal out of public view. Many times when politicians do irrational things it is because the votors demand it. Because of this publicity sometimes causes more problems than secrecy does.
 
co7772wuh
Posts: 381
Joined: Sun Feb 06, 2005 7:13 am

RE: US Says EU, Boeing-Airbus Talks Fail

Sun Apr 10, 2005 11:08 am

I don't really understand this subsidy , aid situation .

However, on another thread . They were discussing the A350 and how it could possibly be a bad idea for AB to go forth with the A350 ! confused 

Quoting Cloudy (Reply 6):
Whats probably going to happen here is the politicians on both sides will talk tough for the cameras. It will sound like an A vs B flame war. After a while, probably a year or more, they will quietly work out a reasonable deal out of public view. Many times when politicians do irrational things it is because the votors demand it. Because of this publicity sometimes causes more problems than secrecy does.

Dishonest politicians ? I find that hard to believe . liar 
 
blackknight
Posts: 222
Joined: Sat Dec 11, 2004 4:40 am

RE: US Says EU, Boeing-Airbus Talks Fail

Sun Apr 10, 2005 3:12 pm

Questions:

1- How much did the EU spend upon Infrastructure improvements for the A380?
a-New roads and modifications to the roads.
b- Airport modifications?
c- Landscape changes to land and water?
d- new buildings?


2- Where these Infrastructure improvements paid for by the EU or Local governments?

3- Tax breaks in the US are the cancellation of the need to pay money to the local government. A tax break in the US does not provide additional money to a company it only lowers the cost of operation for that company. Also a tax break from local or state government does not equate to a federal tax break.

As such does the Infrastructure improvements in the EU to facilitate the manufacturing of the A380 by local governments = the tax breaks by local governments in the US? If so then both AB and Boeing have been giving breaks by the local governments and AB has an advantage with the addition of launch aid correct?
BK

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