Search Climate Insights Directory

Friends of the Earth International opposes the EU-Mercosur trade agreement, asserting that it would accelerate deforestation and climate change while undermining small-scale farmers in Europe and Latin America. The statement highlights protests from European farmers and social movements in Latin America, and warns that the current administration in Argentina, led by climate-denier Javier Milei, further invalidates the agreement's sustainability claims. It calls for a shift in international trade policy toward a model centered on people's sovereignty, food security, and environmental protection.

The document compares the macroeconomic resilience of Benin and Togo from 2000 to 2020, finding that Benin's economy was more volatile due to greater global integration, while Togo's performance was shielded by phosphate exports. Benin demonstrated more consistent counter-cyclical fiscal policy, whereas Togo's government spending tended to be procyclical during national crises. The brief recommends that Benin reduce its debt-to-GDP ratio and expand its tax base, while Togo should implement governance reforms and monitor inflation more closely.

The Investment Facilitation for Development Agreement (IFDA) aims to facilitate foreign direct investment (FDI), particularly for developing countries and least developed countries (LDCs), to foster sustainable development. The agreement focuses on improving transparency, streamlining administrative procedures, and enhancing cooperation between governments and investors. It includes specific special and differential treatment (S&DT) provisions, allowing developing and LDC members to self-designate implementation timelines across three categories (A, B, and C) based on their capacity. While it includes articles on responsible business conduct and anti-corruption, these are excluded from the WTO's dispute settlement mechanism. The agreement is currently being pursued as a plurilateral agreement under Annex 4 of the WTO Agreement, though this remains a point of debate among WTO members regarding the principle of consensus and the implementation burden on resource-strapped nations.

The document explains the WTO's Investment Facilitation for Development (IFD) Agreement, which aims to increase foreign direct investment (FDI) in developing countries and Least Developed Countries (LDCs). It outlines obligations for transparency, such as publishing investment measures and creating single-window portals, and the streamlining of administrative procedures to reduce bureaucracy. The agreement includes a 'firewall' to prevent its use in investor-state dispute settlement (ISDS) claims and provides Special and Differential Treatment (S&DT) for developing nations through categorized implementation timelines (Categories A, B, and C). It also introduces non-binding provisions for sustainable investment, including corporate social responsibility and anti-corruption measures, and discusses the legal challenges of integrating the agreement as a plurilateral treaty within the WTO framework.

The document details the Investment Facilitation for Development (IFD) Agreement, a plurilateral initiative within the WTO aimed at increasing foreign direct investment (FDI) flows, particularly to developing countries and Least Developed Countries (LDCs). It outlines key obligations regarding transparency, administrative simplification, and international cooperation, while establishing a 'firewall' to prevent the agreement from being used in investor-state dispute settlement (ISDS) claims. The guide also describes a tiered system of Special and Differential Treatment (S&DT) for developing nations and the inclusion of non-binding provisions on sustainable investment and corporate responsible conduct.

The Forum on Trade, Environment, & the SDGs (TESS) urges the TESSD to shift its format from presentations to outcome-oriented discussions to achieve concrete results by MC14. TESS suggests a more sectoral approach to circularity (e.g., textiles and electronics) and clean energy, while emphasizing the need for inclusive participation from developing countries, least developed countries, and small-island developing states. The statement advocates for the TESSD to act as an 'inclusive incubator' that complements the WTO's Committee on Trade and Environment (CTE) and other multilateral bodies.

The document analyzes the primary points of contention and potential areas of progress for the WTO's 13th Ministerial Conference (MC13). It highlights the critical need to restore the dispute settlement system, the tension between multilateral and plurilateral negotiating approaches—particularly regarding environmental and industrial policies—and the ongoing debate over special and differential treatment (SDT) for developing countries. It also examines efforts to improve committee transparency and notification compliance.

The Investment Facilitation for Development Agreement (IFDA) aims to increase foreign direct investment (FDI) flows to developing economies and least-developed countries (LDCs) through commitments to transparency, streamlined administration, and sustainable investment. While 117 WTO members have signed on, the agreement faces a significant hurdle in its legal incorporation into the WTO system. Proponents seek to include it as a plurilateral agreement under Annex 4 of the Marrakesh Agreement, but this requires consensus from all WTO members, including non-signatories like India and South Africa who oppose plurilateral initiatives on the grounds that they undermine the WTO's consensus principle and distract from the Doha Development Agenda.

The paper examines two critical development issues facing the WTO ahead of MC13: the operationalization of special and differential treatment (SDT) provisions and the support for LDCs graduating from their category. While the G90 has narrowed its SDT proposals to 10 priority items to address developed countries' concerns about 'blanket and indefinite exemptions', consensus has remained elusive. Conversely, there is positive momentum regarding graduating LDCs following a October 2023 General Council decision encouraging smooth transitions for duty-free and quota-free preference programs.

The author argues that Germany is struggling to balance its 'exportist' economic model and corporate interests with a more recent emphasis on a 'rules-based order' and human rights in its foreign policy. Historically, German engagement in Africa has been characterized by a light footprint and a focus on extracting raw materials, such as oil and minerals. The paper suggests that Germany should move away from this extractivist approach and instead support African-led initiatives for domestic resource mobilisation and regional complementarities, particularly through the AfCFTA, to foster a more just and green transition.

The briefing analyzes four 2023 U.S. Congressional bills: the PROVE IT Act, which focuses on emissions intensity data; the Foreign Pollution Fee Act, which proposes fees on imports exceeding U.S. emissions averages; the Clean Competition Act, which suggests charges for both domestic and imported goods exceeding benchmarks; and the MARKET CHOICE Act, which proposes a broad carbon tax with border adjustments.

The report examines the necessity of international cooperation to prevent the uncoordinated proliferation of divergent Border Carbon Adjustment (BCA) mechanisms, which could increase transaction costs and hinder climate diplomacy. It evaluates three emerging cooperation models: the G7 Climate Club, the Global Arrangement on Sustainable Steel and Aluminium (GASSA), and the OECD's Inclusive Forum on Carbon Mitigation Approaches (IFCMA).

The report examines the potential for international cooperation to mitigate the risks of unilateral border carbon adjustments (BCAs), such as 'green protectionism' and trade retaliation. It evaluates the G7 Climate Club, GASSA, and the OECD's IFCMA using a framework of 'input legitimacy' (inclusiveness and institutional strength) and 'output legitimacy' (effectiveness in achieving five specific goals). The analysis finds that while none are currently ideal for BCA cooperation, the IFCMA shows the most promise due to its focus on data and comparability. The report warns that domestic political priorities and existing policy path dependencies, such as the EU's established CBAM, hinder the creation of a unified international approach.

The Foreign Pollution Fee Act proposes ad valorem charges on imports across 15 broad categories, including steel, aluminum, and solar panels, based on their greenhouse gas (GHG) intensity relative to U.S. production. The author argues the Act is administratively complex and serves as a protectionist tool, noting that it lacks credits for carbon prices paid in exporting countries and imposes onerous requirements for foreign producers to prove lower emissions. While it offers special treatment for low-income countries through International Partnership Agreements (IPAs), the author contends the bill's primary focus is on restricting imports from China and Russia rather than environmental protection.

The document argues that while African leaders remain committed to the African Continental Free Trade Area (AfCFTA) as a tool for transformative growth, its actual implementation is stalled due to unresolved technical details, primarily rules of origin. Despite the disruptions caused by the COVID-19 pandemic, the agreement has maintained political momentum, with 44 AU member states having ratified it by February 2022. However, the transition from negotiation to operational trade has been slow, with only a small number of symbolic shipments occurring. The authors suggest that regional economic powers, such as Kenya and South Africa, should provide leadership through concessions and collaboration on technical rules to unlock the agreement and stimulate continental industrialization.

The document analyzes the impact of the EUDR on Brazilian exports of commodities such as cattle, soy, and coffee. It argues that while Brazil possesses a sophisticated framework of environmental policies—including the Forest Code and satellite monitoring systems—that align with EU goals, significant challenges remain. These include the short implementation timeline, the high cost of due diligence for smallholders, and the lack of a comprehensive national traceability system. The authors suggest that the EUDR could serve as a catalyst for Brazil to achieve zero illegal deforestation by 2030 and enhance its market share in Europe by utilizing the Rural Environmental Registry (CAR) as a sustainability certificate.

The Forum on Trade, Environment, & the SDGs (TESS) provides feedback on a draft WTO statement for MC13, urging members to move from identifying actions to advancing concrete commitments. TESS recommends strengthening the document's environmental credibility, specifically by cautioning against the promotion of certain bioplastics like polylactic acid (PLA) and emphasizing the needs of developing countries and small island developing states (SIDS). The statement advocates for increased transparency in trade flows, enhanced capacity building for manufacturing sustainable substitutes, and closer alignment with the ongoing international plastics treaty process and the Basel Convention.

The report examines the role of voluntary sustainability standards (VSSs) in South-South trade, noting that trade between developing countries grew from USD 600 billion in 1995 to USD 5.3 trillion in 2021. It highlights five examples of VSS integration in the Global South, including organic certification agreements between Chile and Brazil and regional standards in East Africa and the Pacific. The report concludes that integrating VSSs into trade policy can lower compliance costs, reduce trade barriers for smallholders and SMEs, and increase demand for sustainable products.

The report examines how voluntary sustainability standards (VSSs) can be integrated into trade policies to foster sustainable South-South trade. It identifies key barriers, such as high compliance costs and lack of demand, and provides case studies from Africa, Asia, and Latin America to demonstrate successful integration strategies, including mutual recognition agreements and participatory guarantee systems.

The document categorizes plastics-related instruments into government legislation, voluntary multistakeholder standards, and non-governmental initiatives. It identifies significant gaps in standards for upstream production and reuse systems, while noting a concentration of existing efforts in waste management. The authors argue for enhanced international cooperation to reduce regulatory fragmentation and improve inclusivity for developing countries, suggesting that a future global plastics treaty could drive the development of harmonized design and transparency standards.