Carbon Emission

on January 1st, 2012, EU introduced a requirement that airlines are forced to buy permits to cover the carbon-dioxide emissions of all flights into and out of european air ports, including the foreign airline. the purpose is curbing the carbon emission to protect the environment because the carbon emissions of airlines account for a large proportion (2-3%of global emissions). However, the unilateral imposition is opposed by foreign airlines and their governments "because flights into the EU have been included in their entirety, not just the portion within european airspace, they detect an infringement of their sovereignty" (The Economist, 2012 a). Despite the criticism, EU's reluctance to shelve the scheme.

ostensibly, EU advocates benefit the environment. in practice, it will obtain more benefit in aspect of economy and politics as well. first, emission-trading scheme increase the EU's revenue. currently, European economy is in the period of recession. it urgently need massive currency to against the economic crisis. according to the requirement, the 15% of quota will be purchased by airlines through auctioning. the revenue is ultimately belong to EU, and will increase gradually over time. moreover, the free quota of carbon emission will continued to decrease simultaneously leading to the price of remanent part surge up (The Economist, 2012b). the second, this scheme will rising European Union's international standing. due to european debt crisis growing, European Union international influence in the decision of international affairs is attenuate. EU have devoted to protect environment for a long time. as authority of environmentalism, the emission-trading emission will become an significantly means which EU can reasonable restrict international trade, and enhance the trade barrier.

according to above reason, obviously, many countries are unhappy.

"China was one of the states most vehemently opposed to Europe's unilateral imposition of this carbon tax" (The Economist, 2012b). it has take some measures to retaliate EU's forcible scheme. the government had banned its airlines buying permits and from adding supplements to their ticket prices to cover their cost. in addition, according to WSJ, "china has frozen some jet deals because of the scheme, and spearheaded a new warning to political leaders that more retaliation is imminent unless the European Union backs down and pursues a compromise"(Cameron, 2012a). china has so strongly reaction because of this unilateral negotiation make it in an long-term unfavorable balance. as a big developing country, the quantity of air carrier will massive increase in the future specially in European route. as time goes by, the china's quota will decrease sharply relevant to developed countries which have settled quantity of passengers. moreover, many domestic currency also will flow into EU. therefore,