Coming Supply Chain Events
Australasian Shared Services & Outsourcing Week
April 16-19, 2012; Melbourne Conference & Exhibition Centre
As discussions on shared services and outsourcing continue to permeate board room agendas across the region, SSO Week 2012 is gearing up to take you on a journey of true business partnering, optimized workforce solutions, holistic risk management, in depth data insights, regional economic stimulation and next generation engagement.
April 22-24, 2012; Hyatt Regency O’Hare, Chicago
Join over 500 of the industry’s most influential executives for two days of educational sessions, solution research and peer networking at the Supply Chain Operations Private Exposition in Chicago. With its strongest educational program to date, representation from the industry’s top solution providers and new offsite networking function at Wrigley Field, this is an event you do not want to miss!
CSCMP Europe 2012
April 23-25, 2012; Hilton Frankfurt Airport, Germany
Discover groundbreaking solutions that will enhance your supply chain and the impact it has on your customers’ operations and performance at the Council of Supply Chain Management Professional’s Europe 2012 Conference. Global supply chain thought leaders will discuss the vital and dynamic processes you need to master to successfully compete in today’s marketplace, including performance measurement, collaboration, and risk management.
JDA Focus 2012
April 29-May 2, 2012; Aria Resort & Casino, Las Vegas
JDA’s annual global conference, FOCUS 2012, is the place to be for supply chain professionals who want to network, share best practices and hear how industry leaders are achieving supply chain, merchandising and pricing excellence. Whether you're looking for ways to improve your business process planning, drive cost efficiencies or maximize ROI for the supply chain solutions you currently have, FOCUS 2012 delivers unparalleled supply chain expertise.
EU and US agree end to Airbus-Boeing supply chain tariffs
The EU and US have agreed to resolve a 17-year dispute over aircraft subsidies, suspending tariffs on billions of dollars' worth of goods that have plagued procurement leaders on both sides of the Atlantic.
Under an agreement reached by European Commission Executive Vice-President Valdis Dombrovskis and US Trade Representative Katherine Tai on Tuesday, the tariffs will be halted for a period of at least five years.
It will bring an end to punitive and disruptive levies on supply chains that have little to do with the argument, which became embroiled in the trade battle. Businesses on both sides of the dispute have been hit with more than $3.3bn in duties since they were first imposed by the US in October 2019, according the EC.
The US imposed charges on goods upto $7.5bn in response to a World Trade Organisation ruling that judged the EU’s support of Airbus, its biggest aircraft manufacturer, unlawful. A year later in November 2020, the EU hit back. The WTO found the US had violated trade rules in its favourable treatment of Boeing, and was hit with EU duties worth $4bn.
In all the tariffs affected $11.5bn worth of goods, including French cheese, Scotch whisky, aircraft and machinery in Europe, and sugarcane products, handbags and tobacco in America. Procurement leaders on both sides of the fence were forced to wrestle with tariffs of 15% on aircraft and components, and 25% on non-aircraft related products.
Boeing-Airbus dispute by the numbers
- The dispute began in 2004
- Tariffs suspended for 5 years
- $11.5bn worth of goods affected by tariffs
- $3.3bn in duties paid by businesses to date
- 15% levy on aircraft and 25% on non-aircraft goods suspended
Both sides welcome end to tariffs
European Commission President Ursula von der Leyen branded the truce a “major step” in ending what is the longest running dispute in WTO history. It began in 2004.
“I am happy to see that after intensive work between the European Commission and the US administration, our transatlantic partnership is on its way to reaching cruising speed. This shows the new spirit of cooperation between the EU and the US and that we can solve the other issues to our mutual benefit,” she added.
Both aircraft manufacturers have welcomed the news. Airbus said in a statement that it will hopefully bring to an end the “lose-lose tariffs” that are affecting industries already facing “many challenges”. Boeing added that it will “fully support the U.S. Government’s efforts to ensure that the principles in this understanding are respected”.
The US aerospace firm added: "The understanding reached today commits the EU to addressing launch aid, and leaves in place the necessary rules to ensure that the EU and United States live up to that commitment, without requiring further WTO action."
This week’s decision expands upon a short-term tariff truce announced in March this year. The EC says it will work closely with the US to try and further resolve the dispute, establishing a Working Group on Large Civil Aircraft led by each side’s trade minister.
Airbus last month signalled to suppliers that post-pandemic recovery was on the horizon, telling them to scale up to meet a return to pre-COVID manufacturing levels. “The aviation sector is beginning to recover from the COVID-19 crisis,” said Airbus chief executive Guillaume Faury, adding that suppliers should prepare for a period of intensive production “when market conditions call for it.”