The Geneva-based World Trade Organization (WTO) on Monday handed down its report on a complaint filed by the European Union (EU) related to incentives granted to Boeing Co. (NYSE: BA) by the state of Washington in November of 2013 that resulted in Boeing’s decision to build an assembly plant for its new 777X commercial jet in the state. The
In mid-November 2013, the Washington legislature approved a package of incentives worth about $8.7 billion and promised another $10 billion in infrastructure improvements if Boeing would locate the new plant in the state. A week later the IAM rejected Boeing’s contract extension offer. Boeing immediately got offers from 22 states and at least one foreign country to bring the plant to a more business-friendly location.
After a second round of union voting, a new contract extension was approved and Boeing broke ground on its new plant in Everett, Washington, in 2014. The EU filed its complaint with the WTO in early 2015.
In a statement cited at