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Airlines Urge U.N. Deal To Avert Carbon Trade War

February 12, 2012 by staff 

Airlines Urge U.N. Deal To Avert Carbon Trade War, Global airlines called on Sunday for a U.N.-brokered deal to prevent a row over aviation emissions between China and the European Union spilling into a damaging trade war.

The call by the head of the International Air Transport Association (IATA) comes amid signs that the EU may be willing to soften a unilateral stance that also risks souring efforts to resolve Europe’s sovereign debt crisis with Chinese support.

In an interview, IATA Director General Tony Tyler said airlines had become wedged between conflicting domestic laws after China ordered its airlines not to join the EU’s compulsory market-based system for regulating airline emissions.

“The Chinese move to prevent its airlines from taking part in the Emissions Trading Scheme is a very bold move and it pushes the Chinese carriers very much into the front line of this particular dispute,” Tyler told Reuters.

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