European Communities and certain Member States - Measures Affecting Trade in Large Civil Aircraft - AB-2010-1 - Report of the Appellate Body

World Trade Organization WT/DS316/AB/R 18 May 2011 (11-2462) Original: English EUROPEAN COMMUNITIES AND CERTAIN MEMBER STATES – MEASURES AFFECTING TRADE IN LARGE CIVIL AIRCRAFT AB-2010-1 Report of the Appellate Body I. Introduction 1 A. The United States' Claims before the Panel 4 B. The Panel's Findings 5 C. Appellate Proceedings 11 II. Arguments of the Participants and the Third Participants 16 A. Claims of Error by the European Union – Appellant 16 1. The Panel's Terms of Reference 16 (a) The Spanish PROFIT programme 16 (b) The French R&TD grants 18 2. The Temporal Scope of Article 5 of the SCM Agreement 20 3. The Life of a Subsidy and Intervening Events 25 (a) Whether the Panel erred in its interpretation and application of Articles 1, 5, and 6 of the SCM Agreement 25 (b) Whether the Panel erred in its interpretation and application of the "privatization" case law 28 (c) Whether