Economic Treason: Corporate socialism for Boeing gets penalty flag

Posted in Permanent Fail, Predator State at 2:52 pm by George Smith

From AP:

The World Trade Organization has ruled that Boeing Co. received at least $5.3 billion in illegal U.S. subsidies to develop and build new planes, according to a finding of a report first issued in January but made public on Thursday.

The WTO trade panel’s report came in response to EU complaints, which had alleged that Boeing received almost $24 in illegal state subsidies between 1989 and 2006.

The public release of the ruling Thursday is the latest development in a six-year contest and will likely next go to a WTO appeals panel.

WTO say in its ruling that the EU has demonstrated the U.S. gave Boeing “export subsidies that are prohibited” and recommends the U.S. either withdraw them or “take steps to remove the adverse affects.”

The report details findings, which were first issued in private to the EU and U.S. in January. It says Boeing received illegal subsidies such as grants and free use of technology, from NASA, the Department of Defense, and the states of Illinois, Kansas and Washington.

These include $2.6 billion in NASA research and development programs, $2.2 billion in foreign sales corporation export subsidies, and various tax breaks and other incentives from several states and cities. The Defense Department also gave Boeing an illegal subsidy, the ruling says, but “the amount of the subsidy … is unclear.”

Finally, US government bribes routinely paid get the international stink-eye.

Subsidies for the biggest players in corporate America .. and the arms trade.

Cuts and the bottom of the barrel for everyone else.

I hope they’ve enough cases of heartburn and nausea to go around at Boeing today.

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