French Government's New Aviation Tax Faces Backlash
France-KLM warns that heightened taxes could undermine the competitiveness of the French aviation sector.
- The French government's 2025 budget proposal includes increased taxes on the aviation sector, sparking concerns from industry leaders.
- Air France-KLM's CEO, Benjamin Smith, has criticized the proposed tax as a significant threat to the company's competitiveness.
- The proposed measures could make France the EU country with the highest aviation taxes, according to Smith.
- The aviation industry argues that the tax could exacerbate competitive disparities with foreign airlines operating under more favorable fiscal conditions.
- Environmental groups support the tax, seeing it as a step towards reducing the aviation sector's carbon footprint.