If Europe and America become domestic monopolies for the planemakers, their main battleground may switch to Asia
long-running trade dispute between Boeing and Airbus are proliferating. Americans keen on a Spanish olive before a main course dusted with Italian Parmesan and washed down with Scotch will have to stump up more cash. The World Trade Organisation has given America the go-ahead to impose $7.5bn-worth of tariffs on a smorgasbord of European imports on October 18th after ruling that Airbus had received illegal state aid in Europe.
It would not be the first instance of trade-dispute mechanisms stifling competition. In 2008 Canada’s Bombardier, a maker of regional jets, launched the-Series, a plane that competed with some smaller models made by Boeing and Airbus. Cost overruns and delays threatened the-Series until an order in 2016 from Delta, an American airline, seemed to guarantee its future. But Boeing complained to American regulators about Canadian subsidies, leading to the imposition of a vast tariff.
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