Boeing boosted by ruling throwing out European Union claim of state aid
Boeing notched a key victory in a years-long legal case against its European rival, Airbus, after an international body rejected the European Union’s claims that Washington state was giving Boeing illegal tax incentives.
Chicago-based Boeing trumpeted a “resounding defeat” for the EU in the dispute, one of three involving the company against Airbus. Boeing also insisted the European bloc faces a rising risk of sanctions “as Airbus continues to ignore rulings against its illegal practices.”
The Sept. 4 decision by the World Trade Organization’s appellate body reverses a ruling by a lower WTO panel in November that said that Washington state — which is home to much of Boeing’s plane manufacturing operations — had provided prohibited subsidies through a tax incentive for production of the Boeing 777X.
The panel also called on the U.S. government to take action to end the support. The U.S. had appealed the panel’s decision in December.
The ruling, which is final, found that none of the tax incentives provided by Washington state were illegal. The decision now goes to the WTO’s dispute settlement body for formal adoption within 20 days.
“The WTO has rejected yet another of the baseless claims the EU has made as it attempts to divert attention from the $22 billion of subsidies European governments have provided to Airbus and that the WTO has found to be illegal,” Boeing general counsel Michael Luttig said in a statement.
“This was a sweeping and clean win for the United States,” he said.
Airbus, for its part, turned its attention to one of the other outstanding disputes involving the two rivals, insisting that WTO has ruled in a separate case that Boeing is receiving subsidies that are “illegal and actionable” and “causing massive harm to Airbus.”
“The `game’ is far from over,” said Rainer Ohler, Airbus’ executive vice president for communications. AP
France to arm military surveillance drones
France’s defense minister says that the French military will arm drones that are currently used for surveillance and intelligence only.
Florence Parly said Sept. 6 in a speech in the southeastern city of Toulon that “armed drones will have endurance, discretion, surveillance and strike capability at the right place and the right moment.”
Parly said the decision at first would only concern the Reaper drones France bought from the U.S. She didn’t specify a timeframe for when they would be armed or what kind of weapons would be deployed.
Parly said the drones wouldn’t become “killer robots,” stressing that strikes would be governed by strict national and international rules relating to the use of force.
France has six unarmed Reaper surveillance drones, with most of them based in Africa’s Sahel region. AP
Poland, Baltic states discuss online and military security
Poland’s prime minister says she and three other Baltic Sea state officials have discussed an urgent need for greater security for their countries, including cybersecurity.
Beata Szydlo on Sept. 5 hosted talks with her counterparts from Lithuania and Latvia and with Estonia’s ambassador.
All four nations border Russia and are concerned for their security amid Russia’s increased military and cyberspace activity. Thousands of Russian troops are to participate in major war games that open in Belarus next week.
Latvian Prime Minister Maris Kucinskis said that “aggressive propaganda, fake news” and cyberattacks are coming from Russia, aimed at “changing our citizens’ views.”
Szydlo said there is a need for closer cooperation on cybersecurity among the European Union’s 28 members, within NATO and among the countries in the region. AP
United Technologies buys Rockwell Collins for $22.75 billion
United Technologies is acquiring Rockwell Collins for $22.75 billion in order to expand its aerospace capabilities.
United Tech, which makes Otis elevators and Pratt & Whitney engines, said Sept. 4 it’s paying $140 per share in cash and stock for Rockwell Collins, a 9.4 premium over the Sept. 5 closing price, when reports of a deal surfaced.
Including debt, the acquisition is worth $30 billion.
Rockwell Collins, based in Cedar Rapids, Iowa, makes flight deck avionics, cabin electronics and cabin interiors for commercial and military customers.
Farmington, Conn.,-based United Technologies called the businesses complementary and expects $500 million in pretax savings related to the deal. It reaffirmed its 2017 profit estimates.
The companies expect the deal to close by the third quarter of 2018, subject to approval from Rockwell Collins shareowners and regulators. AP
Trump to nominate Oklahoma congressman to lead NASA
The White House says President Donald Trump plans to nominate an Oklahoma congressman to serve as the next administrator of NASA.
Trump on Sept. 1 announced his pick of Republican Rep. Jim Bridenstine to lead the nation’s space agency.
The congressman is a pilot in the U.S. Navy Reserve and a former executive director of the Tulsa Air and Space Museum and Planetarium. He was elected to Congress in 2012 and currently serves on House Armed Services Committee and the Science, Space and Technology Committee.
If confirmed by the Senate, Bridenstine would play a key role in Trump’s plans to add human exploration of Mars to NASA’s mission. NASA is aiming for astronauts on Mars sometime in the 2030s.
The following is a statement from acting NASA Administrator Robert Lightfoot on Friday’s announcement of the intended nomination by President Donald Trump of U.S. Rep. Jim Bridenstine to serve as the 13th NASA administrator:
“I am pleased to have Representative Bridenstine nominated to lead our team,” said Robert Lightfoot, acting NASA administrator. “Of course, the nomination must go through the Senate confirmation process, but I look forward to ensuring a smooth transition and sharing the great work the NASA team is doing.
“I look forward to working with a new leadership team, and the administration, on NASA’s ongoing mission of exploration and discovery. Our history is amazing, and our future is even brighter, as we continue to build on this nation’s incredible global leadership in human exploration, science, aeronautics and technology.” AP