EU still providing illegal subsidies to Airbus - World Trade Organisation

The European Union is continuing to provide illegal subsidies to plane maker Airbus, the World Trade Organisation's (WTO) appellate body has ruled.

The WTO decision on the latest in a string of tussles between Europe's Airbus and US rival Boeing comes as the Trump administration has exerted intense pressure on the Geneva-based organisation over what the president alleges is its "unfair" treatment of the United States.

The appellate body maintained a ruling by the WTO's compliance panel that EU "launch aid" provided to Airbus resulted in lost sales for Boeing in the twin-aisle and very-large aircraft markets.

The move means that the US, under WTO rules, can ask an arbitrator to determine the level of retaliation it can seek against the European bloc as a result of its failure to comply.