Airbus says tax on carbon emissions theatens thousands of jobs
The head of the European aircraft manufacturer Airbus has written to French Prime Minister François Fillon in protest over the carbon tax imposed on airlines by the European Union saying the move threatens thousands of jobs at the heart of the business and elsewhere.
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Tom Enders was one of several companies to openly criticize the new tax which came into effect on 1 January although carriers will not have to pay until 2013. British Airways, Virgin Atlantic, Lufthansa, Air France, Air Berlin and Iberia have all written to the leaders of Britain, France, Germany and Spain to warn them about its economic consequences.
On Thursday, Airbus' parent company EADS revealed that China had blocked purchases of Aibus planes by Chinese companies in reaction to the disputed tax which experts say could cost the company up to nine billion euros.
More than two dozen countries including China, the US and Russia have opposed the EU move saying it violates international law. But the EU says the tax will help it achieve a goal of cutting carbon emissions by 20 per cent by 2020.
It argues the cost could prompt carriers to add between four and 24 euros to the price of a round-trip, long-haul flight.
On Friday Denmark's Climate Minister Martin Lidegaard said the EU would maintain the tax on airlines operating in its airspace so long as an international solution had not been found.
Denmark currently holds the EU's rotating presidency.
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