‘Green Conditionality’ in the EU’s Trade and Investment Policy: Quo Vadis?

With the entry into force of the Lisbon Treaty in 2009, the external dimension of the European Union’s (EU) trade and investment policy has prominently emphasized sustainable development as a pivotal component of its external agenda. This emphasis has solidified over the years through the negotiation of various treaties and has received legal support from the Court of Justice of the European Union (CJEU). Nevertheless, significant variations and subtleties exist in how sustainability is conceptualized and incorporated into international agreements concluded by the EU. A pivotal moment in this context was Advisory Opinion 2/15 concerning the Free Trade Agreement between the European Union and the Republic of Singapore. This Opinion offered critical insights into the scope and character of sustainable development chapters within the framework of trade and investment policy, taking into consideration key EU constitutional law provisions such as Article 218(11) TFEU, Articles 3(5) and 21 TEU, and Articles 11 and 191 TFEU. Subsequent agreements have embraced distinct approaches to sustainability, particularly within the realm of environmental protection, where provisions range from general principles to comprehensive regulations governing specific aspects. This chapter aims to examine the concept of ‘green conditionality’ with the Sustainable Development Chapters of the EU’s Trade and Investment Agreements, with a particular focus on the environmental provisions. It seeks to shed light on the extent to which these agreements prioritize and enforce environmental sustainability, thus contributing to a more nuanced understanding of the EU’s evolving approach to green conditionality within its trade and investment policy framework.