ACI World has expressed concerns over the decision by France, Kenya, Barbados, Spain, Somalia, Benin, Sierra Leone, and Antigua & Barbuda to launch a coalition ahead of COP30 to introduce a new tax on air transport, focusing on premium flyers, to fund development, climate mitigation, and public health initiatives.

 

The tax, while well-intentioned, risks undermining the air transport sector's critical role in driving economic development, global connectivity, and sustainability progress.

 

Taxation on aviation has proven to hinder air connectivity and negatively impact regional economic growth.

 

 ACI research estimates that the removal of $90 billion in taxes paid by aviation users would create 5.2 million jobs and $180 billion in global GDP.

 

 New taxes, such as the proposed one, also risk impacting regions that are particularly dependent on air connectivity for trade, tourism, and broader development.

 

The eight states announced plans to invest "all or parts of the proceeds into resilient investments and fair transitions," but there is a significant risk that these funds will be diverted to other uses rather than serving their intended purpose.

 

A new international tax could divert critical funding away from CORSIA and other essential decarbonisation priorities, such as sustainable aviation fuels, operational improvements, infrastructure upgrades, and low-emission technologies.

 

ACI World joins ICAO, the International Air Transport Association, and the Air Transport Action Group in cautioning against measures that extract value from aviation without reinvestment in its sustainable future.

 

“We fully support the global pursuit of sustainable development and climate resilience,” said Justin Erbacci, Director General of ACI World. “However, targeting aviation with additional taxes is likely to undermine the very connectivity and economic growth that support these goals. The aviation sector must be empowered—not penalised—if we want to achieve long-term global progress.” -TradeArabia News Service