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Sunday, February 19, 2012

Airlines seek UN deal on EU tax

13 February 2012 Last updated at 03:07 GMT An airplane Airlines have said the emissions scheme will put more pressure on their costs The International Air Transport Association (IATA) has called for the United Nations to broker a deal between airlines and the European Union (EU) on the EU Emissions Trading Scheme.

It comes days after China banned its airlines from joining the scheme, which levies a charge on flights in EU airspace based on carbon emissions.

Other nations such as the US and Canada have also opposed the plan.

IATA said if not resolved quickly, the issue could hurt all parties involved.

"I very much hope of course that we are not seeing the beginning of a trade war on this issue and eventually wiser counsels will prevail," said Tony Tyler, Director General of IATA.

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