Ruling over US subsidies to Boeing set to reignite row with Airbus

A transatlantic row will restart this week when the World Trade Organisation rules on Europe's challenge to US government subsidies provided to the American aircraft maker Boeing. European group Airbus has already launched an appeal against an earlier WTO verdict that it gained an unfair advantage over its US rival by itself benefiting from billions of euros in illegal state support. The row, which began decades ago, has become hugely political and neither side shows any willingness to back down. Experts say it could take at least another two years to reach a settlement. When the WTO issued its verdict against Airbus last year, one US senator declared "the home team won". Airbus maintains that the verdict does not represent a victory, because 70% of the allegations against it were not upheld. The US claims that Airbus has received about $205bn (£125bn) in illegal state backing since 1970, including investments in launch aid, which helps to fund new aircraft, and the construction of runways. The Office of the United States Trade Representative (USTR), which brought the WTO complaint, argues that Airbus has enough cash to fund new aircraft from its own resources or could borrow money on the capital markets. Many of the claims now centre around Airbus's A380 superjumbo, the world's largest passenger airliner. Boeing has demanded its rival pay back $5bn in launch aid it received from the EU.