The United States has formally followed through on its plan to ask the World Trade Organization to hear a complaint against European subsidies for Airbus, a US official said today.
“We're moving ahead with our WTO case to have a dispute settlement panel formed on July 20,” said Richard Mills, a spokesman for the US Trade Representative's Office.
The United States filed the necessary paperwork yesterday in Geneva in what Mr Mills described as a routine move.
Both Washington and Brussels announced in late May they were reactivating a pair of tit-for-tat cases over government support for trans-Atlantic aircraft rivals Boeing
BA and Airbus. The United States made that decision first, saying new efforts to negotiate a settlement had failed.
Just picking panelists to hear the two cases could take months. If the two sides cannot agree, incoming WTO Director General Pascal Lamy, a former EU trade commissioner, might have to decide who will serve. It could be years before there is a final WTO ruling, since initial decisions are usually appealed.
US Trade Representative Rob Portman and EU Trade Commissioner Peter Mandelson told reporters on June 17 both sides remained open to a negotiated settlement. However, they have given no timetable for resuming talks.