Joshua Chaffin
FT.com
March 21, 2012

[…]

The biggest source of controversy has been the EU’s insistence that other nations’ airlines pay for their carbon emissions on flights that take off or land in Europe – a policy that Washington, Beijing and Moscow have decried as an infringement on their sovereignty.

To the alarm of Airbus, the European aerospace company, the Chinese have suggested that it would be sensible for their fast-growing airlines to shop elsewhere for new aircraft if Europe does not reconsider the policy. Ms Hedegaard has also taken a hard line against oil derived from tar sands – a stance that has attracted far less attention than the airline row, but which has threatened a pending EU-Canada free trade agreement.

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