Canada – measures concerning trade in commercial
aircraft
Request for Consultations by brazil
The following communication, dated 8 February
2017, from the delegation of Brazil to the delegation of Canada and to the
Chairperson of the Dispute Settlement Body, is circulated in accordance with
Article 4.4 of the DSU.
_______________
My authorities have instructed me to request consultations with the
Government of Canada pursuant to Articles 1 and 4 of the Understanding on Rules
and Procedures Governing the Settlement of Disputes ("DSU"); Articles
4, 7, and 30 of the Agreement on Subsidies and Countervailing Measures ("SCM
Agreement"); and Article XXII of the General Agreement on Tariffs and
Trade 1994 ("GATT 1994") (to the extent incorporated by Article 30 of
the SCM Agreement) in relation to measures affecting trade in commercial
aircraft.
Bombardier, Inc. ("Bombardier")[1] has
received considerable financial support from Canada's federal, provincial, and
local governments. In 2005, Bombardier initially launched its C-Series aircraft
program and re-launched the program in 2008.
Since the launch of the C-Series program, Bombardier has sold over 300
aircraft to customers in Canada, the United States, Australia, Europe, Asia,
and the Middle East. The first deliveries
of C-Series aircraft to customers occurred in 2016.
Canada's federal, provincial, and local governments have provided
substantial subsidies to Bombardier to develop, launch, and preserve its
C-Series aircraft program. Canada's
support to Bombardier for the C-Series program includes loans, grants, equity
infusions, tax credits, and other financial contributions.
The measures that are the subject of this request are prohibited and
actionable subsidies to Bombardier and its suppliers, as well as legislation,
regulations, other instruments, and amendments thereto providing such subsidies
to these recipients. Such measures
include the following:
[1] "Bombardier," as referenced in this
request, includes Bombardier, Inc.; Bombardier Aerospace; Bombardier
Transportation (Investment) UK Ltd; the C Series Aircraft Limited Partnership;
and all other subsidiaries and affiliates of Bombardier, Inc.