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Sustainability in the EU-Australia Free Trade Agreement
- Commitments to the Paris Climate Agreement, core labour standards, gender equality, and the environment, with strong enforceability.
- Specific list of green goods and services liberalised from the first day of application of the agreement.
- Enhanced cooperation and consultation to promote international labour and environmental standards.
Beyond opening important economic opportunities, the EU-Australia Free Trade Agreement is one of the most ambitious in promoting sustainable development.
The agreement fully reflects the EU’s 'Trade Agreements for Green and Just Growth' approach, including the strong involvement of civil society in its implementation, and stronger enforcement of sustainability commitments.
Protecting the climate and the environment
The free trade agreement includes a binding commitment to respect the Paris Climate Agreement.
The deal will liberalise trade and investment in goods, services and technology contributing to climate change mitigation.
This includes zero tariffs on green goods and services, such as renewable energy and energy-efficient products, from the first day of application of the agreement. The agreement includes an illustrative list of such goods contributing to climate change mitigation and such environmental services.
The agreement also includes commitments on preserving biodiversity, sustainable forestry, and sustainable fishing.
Protecting workers’ rights and promoting decent work
The deal includes a commitment to respect and promote the International Labour Organization’s (ILO) fundamental rights at work, reflecting the ILO’s June 2022 decision by which safety and health is added to its Fundamental Principles and Rights at Work:
- freedom of association;
- elimination of forced labour;
- abolition of child labour;
- elimination of employment discrimination, and;
- a safe and healthy working environment.
Stronger enforcement of sustainability commitments
Dispute settlement procedures on sustainability issues have been aligned with the horizontal dispute settlement mechanism of the agreement and follow in general the same rules and will be binding.
Dispute settlement on sustainability issues have special transparency requirements, including the involvement of civil society at various stages of the process.