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A setback for EADS

The US defence ministry is being forced to put out to tender a contract it had already awarded to the European aircraft manufacturer EADS. The German daily Frankfurter Allgemeine Zeitung fears this could have a negative impact on Europe's economy and the global economy: "It is, without doubt, a serious and annoying setback for EADS. However it will be difficult to prove that political interests and preferential treatment for EADS competitor Boeing are behind the report by the General Accounting Office (GAO). Nonetheless, this turn of events throws a negative light on America's image: one of growing hostility towards foreign companies where matters of national security are affected either directly or indirectly. Not only European companies but also firms from Dubai and China have had bitter experiences in this area. This kind of protectionism is not to the economy's advantage."

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