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Tailspin: Examining The Distortive Effects Of The Airbus-Boeing Duopoly On Trade Dispute Resolution Between The United States And European Union, Sam Bhat

Brooklyn Journal of International Law

This Note surveys the perverse effects of the Airbus–Boeing dispute on international trade, examining how this unique and unprecedented duopoly challenges WTO agreements regarding state assistance to domestic manufacturers of large civil aircraft. This trade dispute has precipitated significant consequences for industries unrelated to aircraft manufacturing on both sides of the Atlantic. Theoretically, the WTO’s dispute resolution framework is designed to maintain an undistorted status quo between member states. The case of Airbus–Boeing, however, has shown that a duopoly conflict masquerading as a WTO dispute leads to escalating tariffs with substantial repercussions. This is the costliest dispute in the history …