The aviation industry is an economic catalyst”: IATA commented on false solidarity collection proposals
Geneva – The International Air Transport Association (IATA) has expressed deep disappointment at the Global Solidarity Taxation Task Force (GSLTF) recommendation to target air transport aimed at improving domestic revenue mobilization in developing countries and supporting international solidarity (particularly climate change mitigation and adaptation, pandemics, and the challenges of pandemics).
The initial assessment of the GSLTF proposal reveals serious flaws that include it.
In the competitive aviation industry, it does not generate excessive profits. The GSLTF announcement lacks meaningful details, but cites CE Delft's estimate that the collection of premium flyers could generate 78 billion euros (over 90 billion US dollars) per year. That's roughly three times the global estimated global profit of the aviation industry in 2024 US$32.4 billion. The airline's structurally thin net profit margin (estimated across industries with an average of 3.4% in 2024, and estimated at about half the global average for all industries) must also be considered in every policy deliberation. 2050 – An effort expected to cost USD 4.7 trillion between 2024 and 2050. This allows aviation to address an estimated 2.5% global carbon emissions while providing a direct contribution of 3.9% of global GDP and 86.5 million jobs. As proposed, airlines' increased aviation taxes limit their ability to invest in solutions that achieve long-term emissions reductions. Special climate financing mechanisms for aviation already exist. Sector – in this case, international aviation. The GSLTF province was one of the states that created Corsia under the principle that it would become a single, harmonious, market-based measure for managing international aviation carbon emissions. Overlapping measures such as solidarity collection weaken Corsia, fragmented and lead to an inefficient and inconsistent global policy framework. It is essential that all states (including GSLTF) focus on making Corsia successful, rather than proceeding with overlapping measurements. The critical support agenda topping needed for Corsia is a state that allows airlines to use carbon credits to ensure they can fulfill their Corsia obligations. The broader impact it has on all travelers. It also does not provide a detailed explanation of how such funds will be used. The GSLTF positions proposals targeting premium travel, but is unable to recognize the important importance of this segment to make route networks viable. Punishing premium travelers and paying excessive taxes on the sector will overturn route dynamics and allow for the connectivity that nearly 5 billion travelers will depend on this year. The impact of the GSLTF proposal will reduce the efficiency of the airline and create financial tension. This means that the cost of items shipped to all travelers and air is high. Such affordability in the sector, an essential economic catalyst, ultimately results in the unintended consequences of weaker economic growth.
“The aviation industry is not a cash cow, but an economic catalyst. But the government casually proposes taxes on flyers that are three times the annual profits of the aviation industry, without taking into account the real-world side effects of the industry, a lifeline of remote communities, and links the tourism and local products to the global market. “The aviation industry is a financial catalyst, not just cash cows. But without taking into account the real-world side effects of the industry, the lifeline of remote communities, the government casually proposes taxes on flyers that are three times the annual profits of the aviation industry, linking the tourism market and local products to the global market. “The aviation industry is a global marketplace,” said Willie Walsh, director of IATA.
“The GSLTF says that solidarity taxation will not increase the cost of living for the public or affect anything like household finances. This is not true. Ultimately, the GSLTF recommendation is to increase the cost of air travel for all travelers and do more herbs than good. A shortened country on the important economic support that air transport offers,” Walsh said.
“To be clear, airlines are not eschewing their role in reducing the impact of climate change. The industry is doing everything possible to achieve net zero carbon emissions with sustainable aviation fuels (SAF), more efficient operations, and better technologies. Airlines are making it possible to bring prosperity by connecting people and businesses to global opportunities,” Walsh said.
An independent global study conducted by Savanta in 15 countries for the IATA reveals deep public skepticism regarding air travel taxes.
73% say the green tax is the government's greenwash. 79% say there is too much tax on flight 78% say it's not a way to make taxes sustainable 74% the government doesn't trust wise money 88% believe that taxes should be invested in taxes from travel to travel for travel to travel for travel to travel for travel to travel for travel to travel for travel to travel for travel to travel for travel to travel for travel. More common preferences include SAF purchases (25%), reduction in technology investments on carbon emissions (23%), emission reduction research (18%), and offsetting (13%).
IATA asked Savanta to vote independently. The referenced survey was conducted between April 15th and 28th, 2025. There were 6,500 respondents who made at least one flight in the last 12 months. The markets covered were Australia, Canada, Chile, France, Germany, India, Japan, Singapore, UAE, UK, USA, Netherlands, Indonesia, Spain and China. The sample size for all markets was 500, while Chile, Japan, the United Arab Emirates, Singapore and the Netherlands were 300. The country's samples are evenly divided among travelers who identify business and leisure most frequently. Data collection and aggregation was carried out by Dynata.
Source: IATA
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