Dangerous game of chicken playing out in Chinese airspace

|By:, SA News Editor

The Obama administration wants U.S. carriers to avoid routing flights as the crow flies if it means crossing into Chinese airspace with tensions escalating over China's new air defense zone.

The move by China is related to a territorial dispute with Japan over a group of rocky islands, but threatens to disrupt the commercial airline industry in the nation.

In an act of defiance, Japanese and South Korean carriers aren't filing flight plans to comply with the new strict regulations from Beijing.

What to watch: The lucrative business travel segment in China could be up for grabs if Beijing extends the strict regulations or punishes non-compliant carriers.

Related airliners: Delta Air Lines (DAL), United Continental (UAL), US Airways (LCC), Ryanair (RYAAY), Cathay Pacific Airways (CPCAY), Singapore Airways (SINGY), China Eastern Airlines (CEA), China Southern Airlines (ZNH), British Airways.