[Congressional Record Volume 150, Number 125 (Wednesday, October 6, 2004)]
[House]
[Pages H8173-H8174]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     LARGE CIVIL AIRCRAFT AGREEMENT

  (Mr. DICKS asked and was given permission to address the House for 1 
minute and to revise and extend his remarks.)
  Mr. DICKS. Mr. Speaker, this morning the United States filed a World 
Trade Organization dispute settlement case against the European Union 
regarding billions of dollars in unfair subsidies provided to Airbus by 
European governments. The U.S. has also exercised its rights to 
immediately terminate the 1992 U.S.-EU agreement on large civil 
aircraft. That agreement placed limits on certain government support, 
including limiting it to one-third of the costs of developing a new 
character aircraft.
  The time has come for the American Government to recognize the damage 
that has occurred to our economy and to take firm action to curtail 
what I believe is both unfair and illegal foreign competition. These 
subsidies from four European governments, which include aircraft launch 
assistance, capital injections, debt forgiveness, have enabled Airbus 
to develop and range market airliners well below cost. Unless this 
practice is checked, I am afraid it will threaten to drive the Boeing 
Company, Airbus' only remaining worldwide competitor and our largest 
net exporter, out of the commercial airline manufacturing business 
altogether.
  Over the last few years Airbus has grown to dominate the large 
commercial aircraft industry, out-delivering Boeing for the first time 
in history in 2003. I want to support Ambassador Zellig's action. He 
has courageously filed this case on behalf of our government.

[[Page H8174]]



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