Air China has not cut or cancel Airbus orders

Air China has not cut or canceled any Airbus orders amid a dispute between the Chinese government and the European Union over a carbon tax scheme, and is sticking to the delivery plan for the aircraft ordered, a top official of the flag carrier said yesterday.

"The stand of the central government is consistent, that is to oppose firmly the EU's unilateral move to impose a carbon tax," Wang Changshun, chairman of the airline, told reporters at a results briefing. "The attitude of Air China is the same as our government's."

Wang said he had not received any formal notice about any cancellation of the Airbus orders.

Board secretary Rao Xinyu said the airline will stick to its plan to take delivery of 35 new aircraft this year, including 14 A320/A310 and six A330 from Airbus.

The row is over a EU scheme which seeks to levy charges for carbon emissions for flights into and out of Europe. The charge will raise costs for Air China by 200-300 million yuan (US$32-48 million) a year, and the Chinese airline industry may face costs of US$100 million a year, Zhao Xiaohang, the airline's senior vice president, has said. The plan has angered many countries including India and the US.