“PARIS (Reuters) – China has suspended the purchase of 10 moreAirbus jets, two people familiar with the matter said on Thursday, raising the stakes in a potentially damaging trade row overEuropean Union airline emissions charges.
The move to delay the purchase of extra A330 planes brings to $14 billion the value of European aircraft caught up in tensions over the EU’s Emissions Trading Scheme, which has angered countries including China, India and the United States.
It comes amid urgent efforts to find a solution to the row, which airlines fear could provoke an aviation trade war capable of causing travel disruption and hitting air traffic rights.
Earlier this week, European planemaker Airbus said China had blocked the purchase of 35 long-haul A330s and 10 Airbus A380 superjumbos worth a total of $12 billion.
Airbus did not name the airlines involved, but industry sources said the A380s were earmarked forHong Kong Airlines, 46-percent owned by HNA Group, the parent of Hainan Airlines <600221.SS>.
The row is over a cap-and-trade scheme which could levy charges for carbon emissions for flights in and out of Europe.
Foreign governments say the EU is exceeding its legal jurisdiction by charging for an entire flight, as opposed to just the part covering European airspace….”
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