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Brazil requests that Canada stop subsidising its aircraft production industry.

AIRLINE INDUSTRY INFORMATION-(C)1997-2000 M2 COMMUNICATIONS LTD

Brazil has apparently asked the World Trade Organisation (WTO) to stop Canada from using its Technology Partnerships Canada programme (TPC) to subsidized the Canadian aircraft industry.

Subsidisation has been

prohibited by the WTO and Brazil maintains that changes made to Canada`s TPC programme do not go far enough towards stopping subsidies.

Both companies were ordered in August to change their aviation programmes and on 23 December Brazil and Canada submitted documents outlining changes and concerns about those made by the other company. A final report from the WTO is not expected until February 2000.

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