Keywords
Climate change
labelling
international standards
World Trade Organization
Agreement on Technical Barrier to Trade
labelling
international standards
World Trade Organization
Agreement on Technical Barrier to Trade
Abstract
Climate change and trade are two separate realms that inevitably interact with each other. Trade, representing more than half of global GDP by some accounts, may play a pivotal role in efforts to combat climate change and to reduce greenhouse gas emissions. The WTO Agreements were not specifically composed for climate change purposes. Labelling and international standards may be used as a trade tool whose application may influence consumer preferences and shift markets. In the context of climate change, labelling may effectively inform consumers about international standards and, in particular, the carbon footprint of products. In the context of WTO Agreements, labelling is governed by the Agreement on Technical Barriers to Trade (TBT Agreement). This article investigates the compatibility of the TBT Agreement in governing labelling aimed at mitigating climate change and it elaborates tensions at the nexus between climate change and trade in the context of labelling. This article eventually argues that climate change, labelling, international standards and the TBT Agreement can be in harmony. Further arrangements, which will close more gaps in the relation between the TBT Agreement and measures aimed at combating climate change, are required to alleviate (possible) tensions in practice.
References
Regulations
Technical Barriers to Trade Agreement. Accessed July 30, 2015. https:// www.wto.org/english/docs_e/ legal_e/17tbt.pdf.
The General Agreement on Tariffs and Trade 1994. Accessed July 30, 2015. https://www.wto.org/eng lish/docs_e/legal_e/06gatt.pdf must be read with https://www. wto.org/english/docs_e/legal_e/ gatt47_e.pdf.
Books
Appleton, Arthur E. “Private climate Bookschange standards and labelling schemes under the WTO Agreement on Technical Barriers to Trade.” In International Trade Regulation and the Mitigation of Climate Change: World Trade Forum, edited by Thomas Cottier, Olga Nartova and Sadeq Z. Bigdeli, 131-152. Cambridge: Cambridge University Press, 2009.
Pauwelyn, Joost. “Carbon Leakage Measures and Border Tax Adjustments under WTO law” In Research Handbook on Environment, Health, and the WTO, edited by Geert Van Calster and Denise Prévost, 448 – 506. Cheltenham: Edward Elgar Publishing Limited, 2013.
Read, Robert. “Process and Production Methods and the Regulations of International Trade.” In The WTO and the Regulation of International Trade: Recent Trade Disputes between the European Union and the United States, edited by Nicholas Perdikis and Robert Read, 239 – 267. Cheltenham: Edward Elgar Publishing Limited, 2005. Accessed July 30, 2015 . http://www.oas.org/dsd/Toolkit/Documentos/ModuleIIIdoc/Read%20Article%20on%20PPMs.pdf.
Tamiotti, Ludivine, et. al. Trade and Climate Change: A report by the United Nations Environment Programme and the World Trade Organization. Geneva: World Trade Organization, 2009. Accessed July 30, 2015. https://www.wto.org/english/res_e/booksp_e/trade_ climate_change_e.pdf.
The United Nations Environment Programme Division of Technology, Industry and Economics, Economics and Trade Branch; and the International Institute for Sustainable Development. Environment and Trade: A handbook 2nd edition. Manitoba: International Institute for Sustainable Development, 2005. Accessed July 30, 2015. http://www.unep.ch/etb/areas/pdf/envirotrade_handbook_2005.pdf.
World Trade Organization. World Trade Report 2005: Exploring the links between trade, standards and the WTO. Geneva: World Trade Organization, 2005. Accessed July 30, 2015. https://www.wto.org/english//res_e/booksp_e/anrep_e/ world_trade_report05_e.pdf.
Articles
Ankersmit, Laurens J. and Jessica C. Lawrence. “The Future of Environmental Labelling: US – Tuna II and the Scope of the TBT.” Legal Issues of Economic Integration 39, no. 1 (2012): 127 147.
Caputo, Vincenzina, Rodolfo M. Nayga Jr and Riccardo Scarpa. “Food miles or carbón emissions? Exploring labelling preference for food transport footprint with a stated choice study.” Australian Journal of Agricultural and Resource Economics 57, no. 4 (2013): 465 – 482.
Charnovitz, Steve. “The Law of Environmental “PPMs” in the WTO: Debunking the Myth of Illegality.” Yale Journal of International Law 27, no. 1 (2002): 59 110.
Gandhi, Samir R. “Voluntary Environmental Standards: The Interplay between Private Initiatives, Trade Rules and the Global DecisionMaking Processes.” Paper presented at the third global administrative law seminar, Viterbo, June 15 – 16, 2007. Accessed July 30, 2015. http://www.iilj.org/ gal/documents/Ghandienvironment.pdf.
Low, Patrick, Gabrielle Marceau and Julia Reinaud. “The Interface between the Trade and Climate Change Regimes: Scoping the Issues.” Journal of World Trade 46, no. 3 (2012): 485 – 544.
Nartova, Olga. “Carbon labelling: Moral, economic and legal implication in a world trade environment.” NCCR Trade Regulation Working Paper no. 2009/5 (February 2009): 1 – 26.
Norpoth, Johannes. “Mysteries of the TBT Agreement Resolved? Lessons to Learn for Climate Policies and Developing Country Exporters from Recent TBT Disputes.” Journal of World Trade 47, no. 3 (2013): 575 600.
Wijkström, Erik and Devin McDaniels. “Improving regulatory governance: International standards and the WTO TBT Agreement.” Journal of World Trade 47, no. 5 (2013): 1013 1046.
Cases
United States – Measures Concerning the Cases Importation, Marketing and Sale of Tuna and Tuna Products (US – Tuna II (Mexico)), WT/DS381/R (September 15, 2011).
European Communities – Measures Affecting Asbestos and Products Containing Asbestos (EC – Asbestos), WT/DS135/AB/R (March 12, 2001).
European Union and Certain Member States – Certain Measures on the Importation and Marketing of Biodiesel and Measures supporting the Biodiesel Industry, WT/ DS459/1 (May 15, 2013).
Websites
Appleton, Arthur E. “Linking Energy, Climate Change and WTO Law: The Role of the WTO in the Energy and Climate Change Debate.” Accessed February 30, 2014. https://www.iisd.org/pdf/2009/ climate_change_labeling.pdf.
Appleton, Arthur E. “Supermarket labels and the TBT Agreement: Mind the gap.” Accessed February 30, 2014. http://www.wcl.american.edu/ blr/04/1appleton.pdf.
Cosbey, Aaron in ICTSD Bridges: Between trade and sustainable development. “The WTO and PPMs: Time to Drop a Taboo.” Accessed February 3, 2014. http://www.ictsd.org/downloads/bridges/ bridges51.pdf.
International Organization for Standardization. “What is conformity assessment?” Accessed May 15, 2014. http://www.iso.org/iso/ home/about/conformityassessment.htm.
Inside U.S. Trade. “Experts sees possible opening in WTO rules for certain PPMs” Accessed January 29, 2014. http://www.agritrade.org/pressroom/documents/IUSTarticle.pdf.
Wijkstrom, Erik. “TBT and “Private Standards”.” Accessed July 30, 2015. 66 https://www.wto.org/english/tratop_e/sps_e/private_stan dards_june07_e/wijkstrom_e.ppt.
World Trade Organization. “The multilateral trading system and climate change: Introduction.” Accessed July 19, 2014. http://www.wto. org/english/tratop_e/envir_e/ climate_intro_e.htm.
World Trade Organization. “WTO Analytical Index: Guide to WTO Law and Practice.” Accessed January 17, 2015. https://www.wto.org/english/res_e/booksp_e/analytic_index_e/analytic_index_e.htm.
World Trade Organization: The WTO Institute for Training and Technical Cooperation. “Detailed Presentation of Environmental Requirements and Market Access, including Labelling for Environmental Purposes.” Accessed July 30, 2015. https://ecampus.wto.org/admin/files/Course_385/ Module_2423/ModuleDocuments/TE_ReqL2R2E.pdf.
Technical Barriers to Trade Agreement. Accessed July 30, 2015. https:// www.wto.org/english/docs_e/ legal_e/17tbt.pdf.
The General Agreement on Tariffs and Trade 1994. Accessed July 30, 2015. https://www.wto.org/eng lish/docs_e/legal_e/06gatt.pdf must be read with https://www. wto.org/english/docs_e/legal_e/ gatt47_e.pdf.
Books
Appleton, Arthur E. “Private climate Bookschange standards and labelling schemes under the WTO Agreement on Technical Barriers to Trade.” In International Trade Regulation and the Mitigation of Climate Change: World Trade Forum, edited by Thomas Cottier, Olga Nartova and Sadeq Z. Bigdeli, 131-152. Cambridge: Cambridge University Press, 2009.
Pauwelyn, Joost. “Carbon Leakage Measures and Border Tax Adjustments under WTO law” In Research Handbook on Environment, Health, and the WTO, edited by Geert Van Calster and Denise Prévost, 448 – 506. Cheltenham: Edward Elgar Publishing Limited, 2013.
Read, Robert. “Process and Production Methods and the Regulations of International Trade.” In The WTO and the Regulation of International Trade: Recent Trade Disputes between the European Union and the United States, edited by Nicholas Perdikis and Robert Read, 239 – 267. Cheltenham: Edward Elgar Publishing Limited, 2005. Accessed July 30, 2015 . http://www.oas.org/dsd/Toolkit/Documentos/ModuleIIIdoc/Read%20Article%20on%20PPMs.pdf.
Tamiotti, Ludivine, et. al. Trade and Climate Change: A report by the United Nations Environment Programme and the World Trade Organization. Geneva: World Trade Organization, 2009. Accessed July 30, 2015. https://www.wto.org/english/res_e/booksp_e/trade_ climate_change_e.pdf.
The United Nations Environment Programme Division of Technology, Industry and Economics, Economics and Trade Branch; and the International Institute for Sustainable Development. Environment and Trade: A handbook 2nd edition. Manitoba: International Institute for Sustainable Development, 2005. Accessed July 30, 2015. http://www.unep.ch/etb/areas/pdf/envirotrade_handbook_2005.pdf.
World Trade Organization. World Trade Report 2005: Exploring the links between trade, standards and the WTO. Geneva: World Trade Organization, 2005. Accessed July 30, 2015. https://www.wto.org/english//res_e/booksp_e/anrep_e/ world_trade_report05_e.pdf.
Articles
Ankersmit, Laurens J. and Jessica C. Lawrence. “The Future of Environmental Labelling: US – Tuna II and the Scope of the TBT.” Legal Issues of Economic Integration 39, no. 1 (2012): 127 147.
Caputo, Vincenzina, Rodolfo M. Nayga Jr and Riccardo Scarpa. “Food miles or carbón emissions? Exploring labelling preference for food transport footprint with a stated choice study.” Australian Journal of Agricultural and Resource Economics 57, no. 4 (2013): 465 – 482.
Charnovitz, Steve. “The Law of Environmental “PPMs” in the WTO: Debunking the Myth of Illegality.” Yale Journal of International Law 27, no. 1 (2002): 59 110.
Gandhi, Samir R. “Voluntary Environmental Standards: The Interplay between Private Initiatives, Trade Rules and the Global DecisionMaking Processes.” Paper presented at the third global administrative law seminar, Viterbo, June 15 – 16, 2007. Accessed July 30, 2015. http://www.iilj.org/ gal/documents/Ghandienvironment.pdf.
Low, Patrick, Gabrielle Marceau and Julia Reinaud. “The Interface between the Trade and Climate Change Regimes: Scoping the Issues.” Journal of World Trade 46, no. 3 (2012): 485 – 544.
Nartova, Olga. “Carbon labelling: Moral, economic and legal implication in a world trade environment.” NCCR Trade Regulation Working Paper no. 2009/5 (February 2009): 1 – 26.
Norpoth, Johannes. “Mysteries of the TBT Agreement Resolved? Lessons to Learn for Climate Policies and Developing Country Exporters from Recent TBT Disputes.” Journal of World Trade 47, no. 3 (2013): 575 600.
Wijkström, Erik and Devin McDaniels. “Improving regulatory governance: International standards and the WTO TBT Agreement.” Journal of World Trade 47, no. 5 (2013): 1013 1046.
Cases
United States – Measures Concerning the Cases Importation, Marketing and Sale of Tuna and Tuna Products (US – Tuna II (Mexico)), WT/DS381/R (September 15, 2011).
European Communities – Measures Affecting Asbestos and Products Containing Asbestos (EC – Asbestos), WT/DS135/AB/R (March 12, 2001).
European Union and Certain Member States – Certain Measures on the Importation and Marketing of Biodiesel and Measures supporting the Biodiesel Industry, WT/ DS459/1 (May 15, 2013).
Websites
Appleton, Arthur E. “Linking Energy, Climate Change and WTO Law: The Role of the WTO in the Energy and Climate Change Debate.” Accessed February 30, 2014. https://www.iisd.org/pdf/2009/ climate_change_labeling.pdf.
Appleton, Arthur E. “Supermarket labels and the TBT Agreement: Mind the gap.” Accessed February 30, 2014. http://www.wcl.american.edu/ blr/04/1appleton.pdf.
Cosbey, Aaron in ICTSD Bridges: Between trade and sustainable development. “The WTO and PPMs: Time to Drop a Taboo.” Accessed February 3, 2014. http://www.ictsd.org/downloads/bridges/ bridges51.pdf.
International Organization for Standardization. “What is conformity assessment?” Accessed May 15, 2014. http://www.iso.org/iso/ home/about/conformityassessment.htm.
Inside U.S. Trade. “Experts sees possible opening in WTO rules for certain PPMs” Accessed January 29, 2014. http://www.agritrade.org/pressroom/documents/IUSTarticle.pdf.
Wijkstrom, Erik. “TBT and “Private Standards”.” Accessed July 30, 2015. 66 https://www.wto.org/english/tratop_e/sps_e/private_stan dards_june07_e/wijkstrom_e.ppt.
World Trade Organization. “The multilateral trading system and climate change: Introduction.” Accessed July 19, 2014. http://www.wto. org/english/tratop_e/envir_e/ climate_intro_e.htm.
World Trade Organization. “WTO Analytical Index: Guide to WTO Law and Practice.” Accessed January 17, 2015. https://www.wto.org/english/res_e/booksp_e/analytic_index_e/analytic_index_e.htm.
World Trade Organization: The WTO Institute for Training and Technical Cooperation. “Detailed Presentation of Environmental Requirements and Market Access, including Labelling for Environmental Purposes.” Accessed July 30, 2015. https://ecampus.wto.org/admin/files/Course_385/ Module_2423/ModuleDocuments/TE_ReqL2R2E.pdf.