Press Release: FSC: WTO condemns US subsidies to exporters; recipients of illegal support include Boeing

The World Trade Organisation on 30 September 2005 circulated its panel decision regarding U.S. federal tax subsidies for exporters to its Members. The Panel had found in favour of the EU in all respects. It concluded that despite some changes to its legislation the US had yet to abide by previous WTO rulings and the recommendations of the WTO Dispute Settlement Body regarding the FSC/ETI dispute. The Panel also made clear that the tax subsidies which had been carried forward by using transitional periods and so-called 'grandfathering' were violating WTO rules.

WTO: Trade Topics: Dispute Settlement: The Cases: Case DS108, United States - Tax Treatment for 'Foreign Sales Corporations' http://www.wto.org/english/tratop_e/dispu_e/cases_e/ds108_e.htm

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