The European Union is ready to take action at the World Trade Organisation if it judges that US state aid for its struggling auto industry is ‘illegal,’ European Commission head Jose Manuel Barroso said on Friday.
‘We are looking at the (US) plan. The plan has not yet been made official but certainly, if it amounts to illegal state aid we will act at the WTO’
WTO rules “prohibit countries from subsidizing domestic industries in ways that hurt foreign competitors” according to CNN. Ok, so why didn’t they complain about US bailouts of financial institutions?