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Tue, Jul 06, 2004

Boeing's Beef With Airbus Getting Louder

Top US Plane-Maker Complains European Competition Is Unfairly Subsidized

One of Boeing's biggest beefs when it comes to Airbus is the government subsidies the European aerospace alliance receives. Now, Boeing chief Harry Stonecipher says he's about to turn up the volume in his company's protests against those subsidies.

"Just stay tuned," Stonecipher told the Financial Times last week. "By their own writings they have more market share than we do, they are taking market share every day, and they are more profitable than we are. So the question is, 'Why do they need subsidies?'"

Boeing is lobbying Capitol Hill, hoping lawmakers will see things Harry's way. But Stonecipher doesn't want to touch off a trade war.

"Trade wars, as they go on and on and on, are not in anybody's best interest," Stonecipher told the Financial Times.

FMI: www.boeing.com, www.airbus.com

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