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European Union

EU and US Trade Negotiators Agree to Further Talks on Airbus and Boeing Dispute

Strategic Insights

— 1 min read

Top trade negotiators from the US and European Union have agreed to continue talks to resolve the long-standing dispute over subsidies to rival aircraft-makers Boeing and Airbus. The agreement comes after a meeting between EU Trade Commissioner Peter Mandelson and new US Trade Representative Rob Portman. Despite a rocky start to their relationship, Mandelson and Portman expressed optimism about the prospects for a resolution. Meanwhile, the Doha round of free trade negotiations remains at a standstill.

Key Takeaways:

  • The EU and US have agreed to continue talks to resolve the dispute over subsidies to Boeing and Airbus.
  • The meeting between Peter Mandelson and Rob Portman was seen as an opportunity for a fresh start in their relationship.
  • The two trade officials expressed optimism about the prospects for a resolution, with Mandelson saying he was "encouraged" by the meeting.
  • The appointment of Portman is seen as a chance for Mandelson to restart the negotiations after a difficult relationship with his predecessor, Robert Zoellick.
  • Despite expressing a willingness to continue the aircraft negotiations, Portman cautioned against expecting too much from a change in "personalities" in Washington.
  • The Doha round of free trade negotiations has yet to deliver on its original development-through-trade agenda.

Statistics:

  • The dispute over subsidies to Boeing and Airbus has been ongoing for years, with no resolution in sight.
  • The self-imposed deadline of April 11 to resolve the dispute was missed by the previous US trade representative, Robert Zoellick.
  • The EU and US account for the world's two largest trade powers.
  • The Doha round of free trade negotiations has been ongoing since 2001.

Sources:

  • Financial Times, "EU and US trade officials agree to continue talks on Boeing and Airbus subsidy dispute"
  • Financial Times, article by Peter Mandelson (ownloadable version only)
  • Financial Times, "April 11 deadline: A missed opportunity for US-EU trade talks"

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