(MENAFN - Qatar News Agency) Seven leading European aviation companies have written to European political leaders complaining about the recently introduced EU carbon tax.
The signatories, which include Airbus, British Airways and Virgin Atlantic, argue that the pollution levy threatens jobs 2,000 jobs and trade. They also expressed concern about trade-related retaliation by countries not complying with the Emissions Trading Scheme (ETS), the Financial Time reported Monday.
"The measure is threatening more than 1,000 jobs (at Airbus) and another thousand through the supply chain," Airbus CEO Thomas Enders said.
The boss of EADS, the parent company of Airbus, Louis Gallois last week told reporters that China had suspended the purchase of planes made by European manufacturers because of the levy.
"The ETS issue... is turning into a trade conflict," an Airbus spokesman told the Financial Times.
The companies in their letter urge politicians to pursue a "compromise solution... which will mitigate third-country concerns whilst protecting the environmental integrity of the EU Emissions Trading Scheme".
They believe that the proposals should be put on hold until a global plan for carbon emissions is agreed.
"Trying to impose a scheme on flights outside of Europe risks retaliatory action against EU airlines and EU trade at a time when the European economy is under severe pressure," a spokesperson from BA said in a statement.
"The amount of resistance to the EU's plans shows that the European Commission needs a Plan B in case there is retaliatory action," the statement goes on to say.
The European Union has gone it alone with its Emissions Trading System which levies a charge on flights in EU airspace based on carbon emissions.
The opposition campaign is being led by Airbus and has the support of the chief executives of British Airways, Virgin Atlantic, Lufthansa, Air France, Air Berlin and Iberia.
Letters have been sent to leaders including Britain's David Cameron, Germany's Angela Merkel and France's Francois Fillon.