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EU's Free Trade Agreements in the Light of Sustainability - An analysis of sustainability clauses in free trade agreements and how they contribute to the UN's global goals and the EU's strategic sustainability policy

Newstam, Cassandra LU (2025) HARN63 20251
Department of Business Law
Abstract
This paper addresses sustainability clauses in the European Union’s (EU) free trade agreements (FTAs) and examines their role in integrating environmental, social, and economic objectives within international trade. Against the backdrop of global sustainability agendas – namely Agenda 2030 and the European Green Deal – the study investigates how these contractual provisions are designed to support the UN’s Sustainable Development Goals (SDGs), particularly SDG 8, SDG 12, and SDG 13, and to advance the EU’s ambitions for climate neutrality and a circular economy.

The research employs a legal dogmatic method that integrates an EU legal perspective through systematic review and interpretation of primary legal sources, including treaties,... (More)
This paper addresses sustainability clauses in the European Union’s (EU) free trade agreements (FTAs) and examines their role in integrating environmental, social, and economic objectives within international trade. Against the backdrop of global sustainability agendas – namely Agenda 2030 and the European Green Deal – the study investigates how these contractual provisions are designed to support the UN’s Sustainable Development Goals (SDGs), particularly SDG 8, SDG 12, and SDG 13, and to advance the EU’s ambitions for climate neutrality and a circular economy.

The research employs a legal dogmatic method that integrates an EU legal perspective through systematic review and interpretation of primary legal sources, including treaties, regulations, legislations, and doctrinal writings. This methodological approach facilitates a detailed analysis of the norms and principles underlying the design and use of sustainability clauses, as well as the identification of the legal challenges and opportunities associated with their implementation.

Focusing on two key agreements – the Comprehensive Economic and Trade Agreement (CETA) and the EU-Singapore Free Trade Agreement (EUSFTA) – the study contrasts different enforcement strategies. CETA relies on a cooperative model emphasizing transparency and self-regulation, while EUSFTA’s framework incorporates binding enforcement measures such as penalties and trade restrictions.
Findings suggest that while the integration of sustainability clauses into EU’s FTAs is a positive development, their effectiveness ultimately depends on robust enforcement mechanisms rather than on their mere existence.

The paper concludes that to fully transform sustainability ambitions into measurable outcomes, the EU must further strengthen its compliance systems and adopt advanced monitoring tools, thereby solidifying its position as a global leader in sustainable trade. (Less)
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author
Newstam, Cassandra LU
supervisor
organization
course
HARN63 20251
year
type
H1 - Master's Degree (One Year)
subject
keywords
Agenda 2030, Compliance Mechanisms, European Union, Free Trade Agreements, Sustainability Clauses, Sustainable Development Goals, The Green Deal, The Paris Agreement, United Nations.
language
English
id
9195149
date added to LUP
2025-06-09 11:27:08
date last changed
2025-06-09 11:27:08
@misc{9195149,
  abstract     = {{This paper addresses sustainability clauses in the European Union’s (EU) free trade agreements (FTAs) and examines their role in integrating environmental, social, and economic objectives within international trade. Against the backdrop of global sustainability agendas – namely Agenda 2030 and the European Green Deal – the study investigates how these contractual provisions are designed to support the UN’s Sustainable Development Goals (SDGs), particularly SDG 8, SDG 12, and SDG 13, and to advance the EU’s ambitions for climate neutrality and a circular economy. 

The research employs a legal dogmatic method that integrates an EU legal perspective through systematic review and interpretation of primary legal sources, including treaties, regulations, legislations, and doctrinal writings. This methodological approach facilitates a detailed analysis of the norms and principles underlying the design and use of sustainability clauses, as well as the identification of the legal challenges and opportunities associated with their implementation. 

Focusing on two key agreements – the Comprehensive Economic and Trade Agreement (CETA) and the EU-Singapore Free Trade Agreement (EUSFTA) – the study contrasts different enforcement strategies. CETA relies on a cooperative model emphasizing transparency and self-regulation, while EUSFTA’s framework incorporates binding enforcement measures such as penalties and trade restrictions. 
Findings suggest that while the integration of sustainability clauses into EU’s FTAs is a positive development, their effectiveness ultimately depends on robust enforcement mechanisms rather than on their mere existence. 

The paper concludes that to fully transform sustainability ambitions into measurable outcomes, the EU must further strengthen its compliance systems and adopt advanced monitoring tools, thereby solidifying its position as a global leader in sustainable trade.}},
  author       = {{Newstam, Cassandra}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{EU's Free Trade Agreements in the Light of Sustainability - An analysis of sustainability clauses in free trade agreements and how they contribute to the UN's global goals and the EU's strategic sustainability policy}},
  year         = {{2025}},
}