GATT TO DEBATE U.S. CHARGES OF AIRBUS SUBSIDIES
The U.S. Will pursue its complaint that
European governments unfairly subsidise the Airbus Industrie
aircraft consortium in proceedings at the GATT civil aircraft
committee, a GATT spokesman said today.
    The U.S. Presented its case for the first time to the
aircraft committee of the General Agreement on Tariffs and
Trade (GATT) during a special two-day session ending today.
GATT rules cover some 80 pct of world commerce.
    The 20-member committee agreed to open debate on the U.S.
Complaint, starting with informal consultations and then
holding a special session in July, trade officials said.
    "The tension has eased," the permanent trade ambassador of
the 12-member European Community Tran Van Thinh told reporters.
"The U.S. Has decided to go through proper channels."
    U.S. Trade officials again made clear their anger over what
they call unfair government support for Airbus, voiced during a
visit to European capitals in February.
    In a letter calling for the special committee meeting,
Washington charged France, West Germany, the U.K., Spain and
the EC Commission with unfair practices on behalf of Airbus.
    The U.S. Charges that the Europeans are violating rules
laid down in the 1979 Agreement on Trade in Civil Aircraft.
    Washington presented its reading of rules on inducement to
purchase aircraft and support for development of airlines
during the special session and asked the committee to confirm
its view.
    Official sources in the delegations said the U.S. Views
would be considered during the informal consultations but the
Europeans would also be free to bring up any complaints against
American civil aircraft practices.
    Some delegates said the U.S. Position appeared to give such
broad interpretation to the rules as to suggest that the civil
aircraft accord needed re-negotiating. All these matters would
be considered during the informal meetings.
 Reuter
