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Congress Wants WTO Taken Into Account In KC-X Bidding

by: Matthew Potter
May 14, 2010

Category: Boeing, Congress, Contract Awards, EADS, KC-X, KC-X Tanker News, Syndicated Industry News, Washington | RSS 2.0

Kansas legislators in both the House and Senate are planning to introduce a bill that would require the Pentagon to take WTO rulings into account. The Department of Defense has maintained that in accordance with U.S. laws and regulations that those matters cannot be considered or punished in contract awards. If it did that would be a violation of the WTO itself.

The bill would allow price adjustments to be made in bids to reflect illegal subsidies rulings. The legislators, Senator Brownback (R-KS) and Congressman Tiahart (R-KS), claim it would be applicable to any defense contract but it is obviously targeted at EADS (EADS:P) and their KC-X bid. The legislators claim that without taking these subsidies into account the price of the A330 based tanker will be artificially low.

They would prefer the contract go to Boeing (BA) who would do substantial work in Kansas on their tanker program.

Read the original post here.

From KC-X Tanker News

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  1. Tweets that mention Congress Wants WTO Taken Into Account In KC-X Bidding | Defense Procurement News -- Topsy.com on May 14th, 2010 3:08 am

    […] This post was mentioned on Twitter by DefProcureNews. DefProcureNews said: Congress Wants WTO Taken Into Account In KC-X Bidding: Kansas legislators in both the House and Senate are plannin… http://bit.ly/bpTGgS […]

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