A proposal by the European Commission to expand the EU Emissions Trading System (EU ETS) to cover more aviation emissions has drawn sharp opposition from ICAO and IATA. The plan would tighten carbon costs for airlines operating in European airspace, sparking debate over how to fairly price emissions without harming international aviation competitiveness. In related aerospace news, GE Aerospace completed a high-altitude hybrid-electric flight test, a step toward lower-emission propulsion. Meanwhile, Mexican carriers Volaris and Aeroméxico reported financial strain from surging fuel costs, while ATI Materials and Regal Rexnord expanded manufacturing in Chihuahua. The week highlighted the tension between carbon policy goals and the operational realities of the aviation industry.
