Aircraft
Brussels Warns U.S. of Escalation of Aerospace Subsidy Dispute
European Union trade commissioner Phil Hogan accused the U.S. of rejecting the EU's attempts to finally settle their dispute over aerospace subsidies.
Improper government support of Airbus airplanes including the A350 led to a WTO decision to allow countermeasures by the U.S. (Photo: Airbus)
Improper government support of Airbus airplanes including the A350 led to a WTO decision to allow countermeasures by the U.S. (Photo: Airbus)

European Union trade commissioner Phil Hogan warned of an escalation of the trade war between the EU and the U.S. Monday after he said Washington had rejected overtures to settle the 15-year-old dispute over subsidies to Airbus and Boeing jets. The latest salvo follows an increase in March of U.S. duties on Airbus jets and European airplane parts from 10 to 15 percent following a determination by the World Trade Organization that EU member states illegally subsidized the development of the A350 and A380.