As the economies around the world are struggling, the European Union is looking for ways to help boost its own economies. One of those ways that they have developed is to tax airlines for carbon emissions that fly in and out of Europe. However this idea has sparked much controversy between the European Union and China, the United States, Brazil and many other nations. On Tuesday, China ordered its airlines to not pay the taxes, and is threatening retaliatory measures if the European Union takes action against them. Chai Haibo, deputy secretary of the China Air Transport Association, said that it was high time for the European Union to rethink its carbon tax scheme and respond in a positive manner. He also said that the plan was neither right nor rational. This issue is has come up right before a European Union and China Summit in Beijing where the Europeans are expected to continue lobbying the Chinese to dip into their $3.18 trillion in foreign reserves to boost International Monetary Funds. These funds are wanted by the European Union to use as an emergency back up to the euro zone. The tax would add about 1.50 euros to the cost of a passenger flying from Beijing to Paris. The only way the European Union said it would drop the tax is if there was an agreement to limit global aviation emissions. The European Union said they are not backing down. If they want to do business in Europe, then they must respect the law.
There is definitely a power struggle happening among some very strong countries over this issue. Today with the worlds economies struggling, capital is already tight and countries don’t want to spend more than they have to. The European Union and China are very large powers in the global political field. These two countries are battling each other over this issue and so far there is no sign of which one will back down. In one view how can any country afford to not allow their planes into Europe as a way to avoid the tax. But also how can Europe afford to not have counties such as China fly into Europe and bring their money with them. Whether it be for business or recreation. This tax could end up alienating countries which would end up doing more harm than good. China is not as concerned about pollution issues as Europe is and thus the conflict. Everyone wants to keep doing the same thing that they have been and not have restrictions placed on them. But Europe being more progressive in it’s environmental policy’s is trying to make a stand. But unfortunately no one else seems to agree. Something has to be done and such dramatic actions should at least be given some consideration. It’s sounds like a great idea to tax the other airlines for their carbon emissions but only if that money will actually be used to combat global warming. It wouldn’t be right if they used that money in other areas as a way to strengthen their budgets and economies. The money should strictly be used for combating pollutions.
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