Boeing pushes U.S. to look into EU loan to Airbus

Investing.com -- Boeing has requested the U.S. government to push the European Union for details about a €3 billion ($3.43 billion) loan package to Airbus, according to a Reuters report Tuesday. The move brings back potential trade tensions after the two sides extended a tariff truce over jet subsidies.

Boeing made the request as Airbus discusses the development of a new aircraft as early as 2030, which could start a new wave of competition in the global jet market.

The two companies won partial victories in a 17-year battle at the World Trade Organization over mutual claims of aircraft subsidies. The dispute led to a wave of Transatlantic tariffs hitting other industries before both sides agreed to a five-year truce in 2021.

The truce was set to expire on July 6 but has been extended indefinitely as both sides step back from a renewed trade war in aerospace.

In a letter to U.S. Trade Representative Jamieson Greer, Boeing said it was surprised by a June 29 announcement from the European Investment Bank, the EU lending arm, committing to its largest ever corporate loan for Airbus.

Boeing asked the USTR to request a "full accounting of the terms of this loan" from the EU and to explain why it was compatible with the 2021 truce agreement, which called for an "open and transparent process."

Boeing noted that the announcement, which included an initial tranche of €1 billion, came just four days after the EU adopted the decision to extend the standstill agreement.

"At a minimum, the timing of this loan is surprising," Boeing said in its letter.

The EIB said it finances thousands of companies every year and denied offering Airbus any unusual support.

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