GENEVA—A World Trade Organization panel on Monday ruled that Washington state offered billions in illegal tax breaks to plane maker Boeing, and that the U.S. government must take action to end the plans within months. Monday’s decision found that the support Washington state promised to give Boeing from 2024 to 2040 amounted to “prohibited” subsidies. The support offered by Washington came on condition that Boeing keeps the production of the wings of the wide-bodied 777x plane in the state, excluding foreign competition. Boeing has extensive plants around Seattle and the EU says the subsidies would have amounted to $8.7 billion (U.S.). EU Trade Commissioner Cecilia Malmstrom said the WTO ruled against $5.7 billion of the measures.

Source: thestar November 28, 2016 18:35 UTC