Sunday, 25 March 2012

The European Union´s aviation tax: India prepares for trade war

China, U.S. Brazil, Russia - and now also India - are preparing themselves for action against the European Union´s unilateral carbon tax on aviation. The Times of India reports:


After a carbon tax levied on aviation by the European Union, the government is now preparing for a possible trade war with the European Commission imposing a similar levy on shipping business as well - a move that can increase freight rates by 3-15%.


With EU mulling a tax on the shipping industry that will impose a levy based on carbon emissions on ships entering European waters., the Indian government has prepared a policy document to examine impacts of such a move and list measures to retaliate what it sees as a unilateral move.


The government has also asked aviation sector players in India not to communicate with EU on the carbon tax it has imposed. The decision was taken after official meetings with the aviation ministry now empowered to take progressively stronger steps to block the EU move.

Read the entire article here

We have said it before: This is a fight José Barroso´s and überwarmist Connie Hedegaard´s "empire" will loose.

No comments: