China's biggest airlines are heading for a showdown with the EU after declaring that they will not pay the new emissions tax, introduced on January 1.
The China Air Transport Association (CATA) said its members would not cooperate with the Emissions Trading Scheme which charges airlines for their carbon emissions beyond a certain limit.
Airlines that don't comply could be fined or banned from flying to EU countries, including the UK. CATA, which represents airlines including air China, China Southern Airlines, China Eastern and Hainan Airlines, told the BBC its members would not pay the tax.
China is also considering retaliatory measures against EU airlines if its members of forced to pay for their carbon emissions for flights to and from Europe. Other countries outside the EU, including the United States and Russia, are also strongly opposed to the tax.
By Linsey McNeill
