EU Climate Czarina Hedegaard to Start Trade War: "China ready to impound EU planes in CO2 dispute"

From Reuters:

China will take swift counter-measures that could include impounding European aircraft if the EU punishes Chinese airlines for not complying with its scheme to curb carbon emissions, the China Air Transport Association said on Tuesday.

The warning came as the U.N.'s aviation body expressed concern about the growing threat of bilateral reprisals.

Chinese airlines, which have been told by Beijing not to comply with the European Union's Emissions Trading Scheme, refused to meet a March 31 deadline for submitting carbon emissions data.

A new stand-off looms after EU Climate Commissioner Connie Hedegaard said the carriers would have until the end of this week to submit their data or face enforcement action.

"Chinese airlines are unanimous on this. We won't provide the data," Wei Zhenzhong, secretary general of the China Air Transport Association, said on the sidelines of an International Air Transport Association (IATA) meeting in Beijing....MORE

Boeing smiles.