The WTO Dispute of Boeing and Airbus

Seminar paper from the year 2015 in the subject Politics - International Politics - Topic: Globalization, Political Economics, grade: 2,3, University of Applied Sciences Essen, language: English, abstract: This assignment gives a general overview of the large civil aircraft market leaders: Airbus and Boeing. Further, the historical backgrounds will be analyzed.

The assignment examines the duopoly-position considering the economic backgrounds. A number of key issues arise especially from Boeing¿s side. Boeing lost his dominant role on the market. Furthermore, Airbus delivered very high innovative technological standards, by keeping the costs low. It did not take long time until Boeing has responded by blaming Airbus to get subsidies from the government. All this led to the biggest dispute in history and has been a particular challenge for the World Trade Organization (WTO).

The results of this assignment point out, that there are new entrants on the aircraft market, for example China and Russia. Instead of negotiating for years about subsidies, Airbus and Boeing should concentrate on improving their technological standards.

The best way to summing up, is to say, that it is not a competition between aircraft industries, it is a competition between the world¿s largest governments: The European Union and the United States.