Boeing recently requested a U.S. Trade Representative inquiry into a $3.43-billion European Investment Bank loan to Airbus, seeking to establish whether the loan violates a 2021 U.S.-EU agreement that ended a protracted trade dispute over aircraft subsidies.

In its letter to USTR Jamieson Greer and first reported by Reuters, Boeing requests an investigation of the loan and a determination of whether it complies with the transparency commitments agreed to in the 2021 U.S.-EU agreement.

Prior to that agreement, the U.S. and European Union exchanged a long series of subsidization charges before the World Trade Organization, both sides arguing that the other unfairly supported the jet builders to gain trade advantages in the commercial aircraft market. Over a 17-year period, the U.S. contended that the EU’s provision of EIB loans and other aid packages subsidized Airbus development and production programs.

The EU maintained that U.S. local and state tax provisions, and federal defense and space contracts represented unfair subsidies to Boeing. In multiple decisions during that period, the WTO ruled that Airbus and Boeing each benefited from illegal government support.

The 2021 agreement expired in June, and though the parties extended its terms the EIB on June 29 approved the largest corporate loan in its history to Airbus, for its R&D efforts.

Airbus is researching demonstrator aircraft, hybrid-electric propulsion technology, and specialized variants of its A350 wide-body jets, but it has put off a new narrow-body aircraft (A320neo series replacement) until 2031, or later.

Boeing reportedly is in early development of a new single-aisle aircraft - a 737 MAX successor - including internal research and technical discussions with engine suppliers. In public statements, the company has maintained its focus is on finalizing the certification for its 737 MAX 7 and MAX 10, and 777X aircraft.