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Boeing: WTO Rules Against Tax Break for 777x Jet
The World Trade Organization (WTO) ruled on Monday a tax break from Washington state to help Boeing develop its new 777X jetliner was a prohibited subsidy, in a setback for the U.S. plane maker as it eyes victory in a parallel case against Airbus.
The WTO said the subsidy came in the form of a renewed cut in Washington state’s main business tax for aerospace agreed in 2013, when Boeing was considering where to base assembly of the latest member of its long-haul jet family.
It is the third swathe of taxpayer support for Boeing or its European rival Airbus faulted by the WTO in a record transatlantic trade spat dating back 12 years, and involving mutual accusations of tens of billions of dollars of aid.
