WTO ruling favours Boeing over Airbus in subsidy dispute

A World Trade Organization panel has submitted its final ruling on a claim made by the United States and aerospace giant Boeing against European Union governments accusing them of illegally subsidising Airbus and has upheld their main charge.

US lawmakers, who have been briefed on the matter, said the final ruling backed the key elements of US complaints about European Union aircraft subsidies.

This was immediately rebutted by the European Commission.

 ''This independent panel has concluded that Airbus could not have achieved the growth of market share -- harming US workers -- without its pattern of illegal assistance,'' US Representative Norm Dicks said in a statement after being briefed by US Trade Representative Ron Kirk.

However, John Clancy, the European Commission's trade spokesman, said no one should be claiming victory yet pointing out that WTO's report rejected the majority of US claims. ''People shouldn't jump to conclusions or be too hasty in claiming any type of victory at this stage,'' Clancy said. ''Cases like this are never black and white, and this is just one further step in the litigation.''

The decision has been forwarded only to the US and the EU. The final report, like a draft version issued in September, will remain confidential for several months even as it is translated and then distributed to other members of the WTO.