APEC Push to Liberalise Environmental Goods Spurs Debate at WTO

The question of fast-tracking tariff cuts for environmental goods and services (EGS) continued to divide WTO members during a meeting of the organisation’s Committee on Trade and Environment (CTE) on 13 November. Negotiations in this area - as part of the overall Doha package - have been stalling for years.

At Tuesday’s CTE meeting, Russia and Australia introduced the recent agreement under the Asia-Pacific Economic Cooperation (APEC) regional grouping on a list of environmental goods set for liberalisation. Under the September 2012 non-binding agreement, countries will cut applied tariff rates to five percent or less by the end of 2015 for a list of 54 environmental goods - including solar panels and wind turbines. Australia provided a summary of the negotiating history and the final outcome, emphasising the opportunity this agreement presented for more progress in the area of EGS.

Following the presentation, several members took the floor. While some - such as the EU and Switzerland - strongly welcomed the announcement, others expressed concerns. Bolivia, India, and South Africa feared that the APEC agreement may influence talks at the WTO, or that the proponents of the list may later seek to “multilateralise” it at the WTO. As many members asked for the floor, the talks continued after the lunch break, which had not been originally scheduled.

Other topics included the effects of environmental measures and market access. The EU also gave a briefing on sustainable fisheries management, specifically focused on the EU’s regulations on illegal, unregulated, and unreported fishing. Some countries felt these topics were more of a sectoral nature and should not be discussed at the CTE, as they fell outside its mandate. However, others said they felt more comfortable discussing these critical environment-related trade issues in the context of the CTE.

The meeting was preceded by a one-day workshop on environmental technology dissemination, organised by the WTO secretariat. The workshop had originally been proposed by Saudi Arabia to focus on carbon capture and storage, but was broadened to cover low emission technologies, waste management, and water treatment technologies as well.