The World Trade Organisation’s compliance panel has strongly criticised the European Union, saying the EU failed to comply with the WTO’s rulings to cut short the subsidies that the European countries granted to the aircraft giant, Airbus. In early 2011, the WTO identified that some European Union countries have provided a huge amount as the subsidy to the Europe’s aircraft conglomerate. Anyway, the European Union had denounced the findings discovered by the WTO. Subsequently, the US authorities requested that the WTO’s compliance panel should intervene in the issue. Now, the panel has given a favourable verdict to the United States, putting the European Union in trouble. It is learned that the European Union and its member countries can appeal against the verdict given by the compliance panel. While speaking to the reporters, a US Trade representative claims that the verdict is a victory of the aircraft manufacturing sector of the country. He further insists that the European countries must respect the trade policies formulated by the World Trade Organisation. Meanwhile, the European Union representative admits that the verdict was not satisfactory. It is said that the EU financial experts are closely monitoring the verdict. However, the Airbus confirms that the organisation is planning to appeal against the verdict. Boeing -aided by the US- and Airbus -supported by the EU- are two most prominent aircraft manufactories. Notably, both factions allege each other that the supporting countries are grading subsides to their aircraft manufacturing company. Anyway, the WTO is yet to give a verdict on the complaint raised by the European Union regarding the subsidy granted by the US to the Boeing.
Vignesh
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