RESTRICTED  
  
WT/CTE/M/78  
 
29 August  2023 
  
(23-5805) Page: 1/74 
Committee on Trade and Environment   
 
  
REPORT OF THE MEETING HELD ON 12 JUNE  2023  
NOTE BY THE SECRETARIAT1 
The Committee on Trade and Environment (CTE Regular) met on 12 June 2023, chaired by  
H.E. Mr. José VALENCIA (Ecuador ). The Committee adopted the Airgram  WTO/AIR/CTE/21 , dated 
24 May 2023. The Report of the last CTE meeting, held on 14 and 15 March 2023 , is contained in  
WT/CTE/M/77 . 
 
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Contents  
1  ADOPTION OF THE AGENDA  ................................ ................................ .........................  5 
2  ENVIRONMENTAL MEASURES AND MARKET ACCESS, PARAGRAPH 32(I) OF THE 
DOHA MINISTERIAL DECLARATION – ITEM 6 OF THE CTE WORK PROGRAMME  ................  7 
2.1  EU Green Deal  ................................ ................................ ................................ .............  7 
2.2  Reports on the Dialogue on Plastics Pollution and Environmentally Sustainable 
Plastics Tra de (DPP) and on the Trade and Environmental Sustainability Structured 
Discussions (TESSD)  ................................ ................................ ................................ .........  21 
2.2.1  Dialogue on Plastics Pollution and Environmentally Sustainable Plastics Trade (DPP)  ........  21 
2.2.2   Trade and Environmental Sustainability Structured Discussions (TESSD)  ........................  26 
3  MEMBERS' SUGGESTIONS AND PROPOSALS  ................................ ...............................  29 
3.1  Report on CTE Chair's consultations  ................................ ................................ ..............  29 
3.2  Consideration of recent proposals and next steps  ................................ ...........................  30 
3.2.1   China (WT/CTE/W/251 and JOB/TE/81)  ................................ ................................ ...... 30 
3.2.2   United Kingdom (WT/CTE/W/252) ................................ ................................ ..............  31 
3.2.3   Paraguay  ................................ ................................ ................................ ................  32 
3.2.4   Colombia (RD/CTE/221)  ................................ ................................ ...........................  33 
3.2.5   European Union (WT/GC/W/864)  ................................ ................................ ...............  34 
3.2.6   India and South Africa (JOB/TE/78/Rev.1)  ................................ ................................ .. 34 
3.3  Discussion on possible CTE contributions to MC13  ................................ ..........................  51 
4  MULTILATERAL ENVIRONMENTAL AGREEMENTS AND WTO – CTE WORK 
PROGRAMME ITEMS 1 AND 5  ................................ ................................ .........................  58 
4.1  United Nations Framework Convention on Climate Change (UNFCCC)  ...............................  58 
4.1.1   Briefing by the United Arab Emirates on COP28 preparations  ................................ ........  58 
 
1 This document has been prepared under the Secretariat's own responsibility and is without prejudice 
to the positions of Members or to their rights and obligations under the WTO.  WT/CTE/M/78  
 
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  4.1.2   Briefing by the UNFCCC on COP28 preparations  ................................ ...........................  59 
4.1.3   Briefing by the OECD on its work on the Inclusive Forum on Carbon Mitigation 
Approaches (IFCMA)  ................................ ................................ ................................ ..........  61 
4.1.4   Update by New Zealand on negotiations towards the Agreement on Climate 
Change, Trade and Sustainability (ACC TS) ................................ ................................ ...........  62 
5  ENVIRONMENTAL REVIEWS - CTE WORK PROGRAMME ITEM 2  ................................ .. 63 
6  RELATIONS WITH IOS AND NGOS – CTE WORK P ROGRAMME ITEM 10  .......................  66 
6.1  Briefings from Observer organizations  ................................ ................................ ...........  66 
6.1.1   Briefing by UNCTAD  ................................ ................................ ................................ . 66 
6.1.2   Briefing by the World Bank  ................................ ................................ .......................  69 
6.1.3   Requests for Observer status  ................................ ................................ ....................  70 
7  OTHER BUSINESS  ................................ ................................ ................................ ....... 71 
8  DATE OF THE NEXT MEETING  ................................ ................................ .....................  72 
ANNEX 1: ITEMS OF THE CTE WORK PROGRAMME (1994)  ................................ ..............  73 
ANNEX 2: DOHA MINISTERIAL DECLARATION PARAGRAPHS  ................................ .........  74 
 
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  ACRONYMS  
ACCTS  Agreement on Climate Change, Trade and Sustainability  
ACP African, Caribbean and Pacific countries  
AFT Aid-for-Trade  
APEC Asia-Paciﬁc Economic Cooperation  
BRS (Conventions)  Basel, Rotterdam and Stockholm (Conventions)  
CBAM  Carbon border adjustment mechanism  
CBDR  Common But Differentiated Responsibilities  
CBDR –RC Common but Differentiated Responsibilities and Respective Capabilities  
CDRI Coalition for Disaster Resilient Infrastructure  
CITES  Convention on International Trade in Endangered Species of Wild Fauna 
and Flora  
COP Conference of the Parties  
CRTA  Committee on Regional Trade Agreements  
CTE Committee on Trade an d Environment  
CTG Council for Trade in Goods  
DPP Informal Dialogue on Plastics Pollution and Environmentally Sustainable 
Plastics Trade  
EGS Environmental goods and services  
ETS Emissions trading scheme  
EU European Union  
EUR Euros  
FAO Food and Agriculture Organization of the United Nations  
FFS Fossil fuel subsid ies 
FFSR Fossil fuel subsidy reform  
GEA Green Economy Agreement  
GHG Greenhouse gas  
GST Global stocktake  
HPP Hydroelectric Power Plant  
HS Harmonized System  
IEA International Energy Agency  
IFCMA  Inclusive Forum on Carbon Mitigation Approaches  
IISD International Institute for Sustainable Development  
IMF International Monetary Fund  
INBAR  International Bamboo and Rattan Organization  
INC Intergovernmental Negotiating Committee  
IPCC Intergovernmental Panel on Climate Change  
IPEN International Pollutants Elimination Network  
ISA International Solar Alliance  
ITC International Trade Centre  
LDCs Least developed countries  
M&E Monitoring and evaluation  
MC Ministerial Conference  
MEAs  Multilateral environmental agreements  
MMT Million metric tons  
MSME  Micro, small and medium -sized enterprise  
NDC Nationally determined contribution  
OECD  Organisation for Economic Co-operation and Development  
SCM Subsidies and countervailing measures  
SCM Agreement  Agreement on Subsidies and Countervailing Measures  
SDG Sustainable development goal 
SGD Singapore dollar  
SIDS Small island developing states  
SMEs  Small and medium -sized enterprises  
SPS Sanitary and phytosanitary measures  
SPS Agreement  Agreement on the Application of Sanitary and Phytosanitary Measures  
TBT Technical barriers to trade  
TBT Agreement  Agreement on Technical Barriers to Trade  
TESS Forum on Trade, Environment and the SDGs  
TESSD  Trade and Environmental Sustainability Structured Discussions  
TPRs Trade policy reviews  WT/CTE/M/78  
 
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  TrPMs  Trade -related plastic measures  
UAE United Arab Emirates  
UK United Kingdom  
UNCTAD  United  Nations Conference on Trade and Development  
UNEA  United  Nations Environment Assembly  
UNEP  United  Nations Environment Programme  
UNFCCC  United  Nations Framework Convention on Climate Change  
US United States  
USD US dollars  
WCO World Customs Organization  
WEF World Economic Forum  
 
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  1  ADOPTION OF THE AGENDA  
1.1.  The Committee  adopted the agenda contained in  WTO/AIR/CTE/21 . 
1.2.  The representative of Ukraine  delivered the following statement:  
1.3.  Let me start by welcoming you as Chair of this Committee. Before getting to the substance of 
our adopted  agenda items, I would like to provide th e following statement on behalf of Ukraine. 
During this week, we are going to discuss lots of acute issues such as energy transition, trade and 
sustainability, circular economy, trade -related environmental measures (TrCMs) and sustainable 
agriculture. We would assume that the key note of all the sessions will be environmental 
preservation  – finding ways to make trade both beneficial for climate and ensure that environmental 
measures will not create new barriers to tr ade. 
1.4.  For Ukraine, these topics are important as well, yet we are of the view that we should not only 
be discussing measures aimed to protect the environment but deliberately harming the environment 
of other Members that affects trade as well. All of us exp ress the desire to protect the environment 
and make trade assist in climate change mitigation  during CTE meetings,  but what happens to these 
commitments outside the WTO walls? For 17 months in a row, Ukraine has been  fighting against the 
Russian aggression . The war launched by one of the WTO Members has already led to the loss of 
thousands of lives, destruction of critical civil infrastructure, disruption of trade rules and supply 
chains and of course environmental crimes with the most recent one being the blowing up of the 
Kakhovka hydropower plant just after World Environment Day, which resulted in the biggest 
ecological and humanitarian disaster in Europe. The key objectives of the Kakhovka Hydroelectric 
Power Plant (HPP) were hydroelectric power generati on, irrigation and navigation. It also supplied a 
canal that brings water to the Russian occupied Crimean peninsula. This terrorist act has resulted in 
the flooding of multiple settlements in the Kherson region of Ukraine and its impact goes far beyond 
Ukraine and affects the eco -system  of the entire Black Sea area.  
1.5.  The man -made ecological disaster caused by Russia's destruction of the Kakhovka HPP will also 
severely affect irrigation systems  of thousands of regions in Ukraine, which will be another tangibl e 
blow to global food security. It also poses a potential threat to the Zaporizhzhia nuclear power plant 
due to the uncontrolled decrease in the water level, which was used to cool the nuclear reactors. 
The detonation of the Kakhovka HPP by the Russian occ upiers is another heinous war crime of 
ecocide and environmental weapon of mass destruction. More than 80,000 settlements are within 
the flood zone, more than 400,000 people are at risk of flooding. The Ukrainian authorities are 
evacuating more than 70,000  people but unfortunately more than 25,000 civilians still living in the 
temporarily occupied territory are deprived of being moved to a safer place. Flooding of settlements 
and agricultural land will inevitably lead to the leaching of oil products and agr icultural chemicals 
into the water . All of this water will be carried to the Black Sea by the Dnipro river bed which may 
pose a threat to the health of citizens and leads to eco -system poisoning and irreparable 
consequences.  
1.6.  Once again, we emphasize that n egative repercussions of the war cannot be, and are not, 
contained within Ukrainian borders as adverse effects of Russia's atrocities in Ukraine on multilateral 
trading systems, environmental safety, energy and food security to name just a few are apparent  
and undisputed. It is crucial to put a swift end to Russia's stability to wage war of aggression and to 
weaponize human suffering across the world. Joint economic responses to the aggressor's crimes 
can help us stabilize international trade and prevent gr eater environmental catastrophes, yet it 
requires our unity. We would like to commend our partners for their unwavering, much needed and 
appreciated support in mitigating negative repercussions of Russia's war of aggression and 
devastation of Ukraine's env ironment and ask other WTO Members for support to deprive Russia of 
its ability to finance a war that brings death and suffering, creates new environmental challenges 
and undermines the world's eco -system and the multilateral trading system.  
1.7.  The representa tive of the United States  delivered the following statement:  
1.8.  We would like to first congratulate you on your Chairmanship but, more importantly, we would 
like to voice our support for the Ukrainian delegation. As my delegation has said on numerous 
occasion s, we continue to condemn Russia's illegal, unjustifiable and unprovoked war, disregard for 
the UN Charter, and indifference to the impacts that its war is having on people worldwide.  WT/CTE/M/78  
 
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  1.9.  Russia's actions also contravene the principles and values that are the foundation of the WTO, 
including other Members' shared notions of fairness and openness. We call upon all Members of this 
Organization to condemn unequivocally Putin's war of aggression, his reliance on force and 
indiscriminate violence to illegally seize the territory of another Member of this Organization and his 
contempt for the rule of law and humanitarian norms.  
1.10.   The representative of the United Kingdom  delivered the following statement:  
1.11.   Just to echo our support based on the intervention of Ukraine and from the United States. 
The UK stands with all Members in condemning Russia's assault as an unprovoked, premeditated 
and barbaric attack against a sovereign democratic state.  
1.12.   The representative of Australia  delivered the following statement:  
1.13.   Let me begin by congratulating you, Chair, on your appointment. We are looking forward to 
working with you throughout the year on trade and environment issues. I think that beyond that we 
would just like to echo our supp ort for the statement by Ukraine. For 17 months a war has raged in 
Europe that has had untold costs on humanity, on loss of life, on economic circumstances and indeed 
the environment and it is fitting that in this Trade and Environment Week we pause at the  beginning 
of it to take note of that cost and to call on Russia to end its act of aggression against Ukraine in 
defiance of the UN Charter, in defiance of the principles of international law, of decency, of humanity 
and of the principles of the multilater al system that we all espouse, which is multilateral cooperation 
in respect and understanding of one another and adherence to the agreed principles of international 
law. 
1.14.   The representative of New Zealand  delivered the following statement:  
1.15.   We would like to join others in congratulating you on assuming the Chair and we look forward 
to a full and interesting Trade and Environment Week this week. We would also like to join others in 
expressing our support for Ukraine and reiterating our condemnation in the stro ngest possible terms 
of Russia's war of aggression against Ukraine and to call on Russia to cease.  
1.16.   The representative of Switzerland  delivered the following statement:  
1.17.   Switzerland also would like to congratulate you on your election to this post. Unfortuna tely, 
we will be adding our voice to other delegations to firmly condemn the military aggression of Russia 
against Ukraine. This is a flagrant violation of international law, especially the prohibition of the use 
of force and the principle of territorial i ntegrity of states.  
1.18.   Switzerland would like to call upon Russia to comply with its international obligations and to 
pull back from these acts, remove their troops and stop this escalation. Switzerland also would like 
to call upon all of the actors to comply  with international law, especially international humanitarian 
law. 
1.19.   The representative of Japan  delivered the following statement:  
1.20.   First of all, Japan would like to congratulate the Chair on leading this important Committee. 
Japan would like to echo the st atement by Ukraine. Japan strongly condemns Russ ia's aggression 
against Ukraine for both the humanitarian and environmental aspects , as pointed out by Ukraine. 
Japan, as the only country to have ever suffered atomic bombing during wartime, absolutely canno t 
accept Russia's nuclear threat and its use of nuclear weapons under any circumstances. Japan 
strongly urges Russia once again to stop this aggression and to withdraw its forces from Ukrainian 
territory to within internationally recognized borders immedia tely. 
1.21.   The representative of Norway  delivered the following statement:  
1.22.   First of all, Norway would like to congratulate you on your election to the Chair of this 
important Committee and wish you full success in our endeavour. Norway joins others in condemnin g 
in the strongest possible terms the unprecedented military aggression of the Russian Federation 
against Ukraine. Let me express Norway 's concern for the severe destruction and human suffering WT/CTE/M/78  
 
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  this illegal act of aggression is causing. Norway remains comm itted to support ing Ukraine as long as 
it takes.  
1.23.   The representative of  the Russian Federation  delivered the following statement:  
1.24.   First of all, let me also congratulate you on your Chairmanship. I wish you all the best for this 
post. I am sure that under yo ur Presidency we will be able to achieve concrete and pragmatic 
outcomes.  
1.25.   As some delegations have raised this issue, which is far beyond the mandate and the 
competence of this Organization, I am forced to respond. We regret that the regular work of this 
Committee has become a hostage due to the confrontational rhetoric of certain countries acting as 
a group in order to promote their biased views on various political issues. Such unfortunate 
developments affect our practical activities aimed at exploration and finding the way how trade may 
contribute to the current global challenges faced.  
1.26.   I would like to remind everyone that we do not refrain from deliberations on this particular 
situation, but they have to be conducted in the international organizations and forums whose 
competence allows scrutinizing the issues of this kind. The politicization of the WTO work is 
inappropriate and harmful if we want to achieve concrete and pragmatic results in future. Therefore, 
I urge that group of Members n ot to detract others from the ongoing work and to concentrate on 
matters relevant to it.  
1.27.   The representative of the European Union  delivered the following statement:  
1.28.   I would like to congratulate you on your appointment but I would also like to support Ukrai ne 
and others statements. The EU resolutely condemns Russia and its continued aggression in Ukraine 
and that Russia would like Ukraine to become a hostage of Russia. The EU is deeply concerned about 
the global consequences of this war including, but not li mited to, the most recent explosion of 
Ukraine's dam. Russia's war is causing widespread damage, not only humanitarian but also 
environmental and climate -related in Ukraine and beyond, which is intensifying the triple planetary 
crisis. The EU urges Russia to stop with its indiscriminate attacks and to immediately and 
unconditionally withdraw its troops and military equipment from the entire territory of Ukraine within 
its internationally recognized borders.  
1.29.   The representative of Republic of Moldova  delivered the following statement:  
1.30.   The Republic of Moldova would like to add our voice and support to Ukraine and voice our 
strong condemnation of Russia's aggression against  Ukraine. Referring to the recent unfortunate 
news related to the Kakhovka Dam, w e would like to also s trongly condemn the deliberate 
destruction of this dam  in the Kherson region, which endangers not only civilians but also imposes 
challenges t o the entire region , and especially huge environmental risks. Russia must be held 
accountabl e for these barbaric attacks. We stand with Ukraine and are ready to provide the 
necessary assistance.  
2  ENVIRONMENTAL MEASURES AND MARKET ACCESS, PARAGRAPH 32(I) OF THE DOHA 
MINISTERIAL DECLARATION – ITEM 6 OF THE CTE WORK PROGRAMME  
"The effect of environme ntal measures on market access, especially in relation to 
developing countries, in particular the least -developed among them, and those 
situations in which the elimination or reduction of trade restrictions and distortions 
would benefit trade, the environm ent and development".  
2.1  EU Green Deal  
2.1.  The representative s of the European Union  delivered the following statement : 
2.2.  The European Union will provide an update on trade -relevant aspects of the European Green 
Deal and present the key features of two European Gre en Deal proposals for empowering consumers WT/CTE/M/78  
 
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  for the green transition.2 The first proposal aims to protect consumers and companies from the 
misleading practice of unclear or poorly substantiated environmental claims (greenwashing). The 
second proposal is pu rsuing the objective of promoting the repair and sustainable consumption of 
goods.3 
2.3.  As announced in the annotated agenda today we will present two European Green Deal 
proposals with relevance to our trading partners. The two presentations today will focus  on the 
consumer protection aspects of empowering consumers for the green transition : 
i. proposal on common criteria against greenwashing and misleading environmental 
claims ; and 
ii. proposal for common rules promoting the repair of goods . 
2.4.  Before moving to these two initiatives , please let me provide you with a short update on other 
legislative and policy developments.  
2.5.  First, the two legislative proposals that have seen particular interest in the CTE: the Carbon 
Border Adjustment Mechanism and Deforestation.  
2.6.  With their recent publication in the Official Journal of the European Union, the Carbon Border 
Adjustment Mechanism ( CBAM ) and Deforestation regulations have now entered or are about to 
enter into force. The CBAM will enter into application in its transit ional phase on 1 October 2023, 
and will be gradually phased  in over a period of nine years, from 2026 to 203 4, at which point CBAM 
will be fully operational. As the measure applies to the carbon content of goods, any effort in terms 
of emission reduction w ill lead to a reduction in the level of the border adjustment.  
2.7.  The Regulation on Deforestation -free products was published in the Official Journal of the 
European Union on 9 June and will enter into force on 29 June. It will then enter into application 
18 months later in December 2024. For small businesses, it will enter into application 24 months 
later (in June 2025). Given the particular interest from WTO Members , we are organi zing information 
sessions on each of the se laws on Wednesday, where we will bri ng our experts to respond to 
technical or implementation questions you may have.  
2.8.  Second, I would like to bring your attention to the selected pieces of trade -relevant Green Deal 
legislation and communications that the Commission proposed in 2023. These inc lude the 
presentation of the Green Deal Industrial Plan, which together with the proposed Net  Zero Industry 
Act and the Critical Raw Materials Act sets out how the EU will continue to lead the path to climate 
neutrality by investing in clean technology, in cluding renewable hydrogen. We will aim to present 
some of these in more detail during the next CTE meeting.  
2.9.  Finally, before passing the floor to colleagues for the two presentations, I would like to 
underline the EU 's continuous efforts to engage with par tner countries on legislative developments. 
We are conscious of the great interest Members have in the Green Deal, as also demonstrated by 
the recent EU Trade Policy Review. Indeed, we try to walk the talk when we call for transparency, 
inclusiveness , and commitment to international rules. In the light of this, the EU has been trying to 
pursue a strategy that factors the external dimension into EU legislation in respect of the design and 
implementation of European Green Deal measures.  
2.10.   The EU has designed al l of its European Green Deal measures very carefully with the aim of 
ensuring that the voices of stakeholders in and outside the EU are heard ( inter alia  with public 
consultations and early engagement before adoption of legislation) and we have ensured that 
international commitments are respected.  
2.11.   As more measures are moving to the implementation stage, we are keen to listen to partners 
and therefore continue to engage with trading partners across the following areas: outreach and 
 
2 The presentation can be found in  document RD/CTE/230 . 
3 Please consult on: (1 ) Proposal for a Green Claims Directive:  General information ; Text of the 
proposal ; Press release ; Factsheet ; Impact assessment ; and Questions and answers ; and (2) Proposal for a 
Directive on common rules promoting the repair of go ods: General information ; Text of the proposal ; Press 
release ; Impact assessment ; Summary of the impact assessment ; and Questions and answers . WT/CTE/M/78  
 
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  awareness -raising to clarify the content of the proposals, tools to f acilitate the implementation of 
the initiatives, and capacity building and technical assistance where needed and possible.  
2.12.   Examples of actions across these areas are dedicated information sessions, including those 
organi zed later this week, information pla tforms, FAQs, guidelines, databases and more.  
2.13.   I will now pass the floor to my colleagues, Malgorzata Golebiewska from DG ENV and 
Ada Preziosi from DG JUST , to present the proposal s for a Directive on substantiation of 
environmental claims and the proposal for a Directive promoting repair and reuse.  
Presentation of the Proposal promoting repair and reuse  
2.14.   I would like to present briefly on the proposal for common rules promoting the repair of goods, 
which the Commission adopted earlier this year. The Commission has been working on a number of 
initiatives that aim at promoting sustainability and repair. We are trying to have a holistic approach 
to this issue and this is why one of the first elements that we are tackling is to make products 
repairabl e by design. This is why the Commission published last year a proposal for the Regulation 
on the eco -design of sustainable products, the objective for which is to impose repairability 
requirements on a wide range of different products as well as to make sp are parts available.  
2.15.   The next stage is the Proposal on Empowering consumers for the green transition ensures 
that consumers obtain better information on the durability and repairability of products at the point 
of sale. At the last stage, is the reuse stag e and that is what the initiative on the Promoting Repair 
and Reuse is trying to tackle.  
2.16.   What we are trying to do is encourage consumers to repair products instead of replacing them 
when they break. More repair is good for us all – citizens, businesses and  the environment. It reduces 
waste, greenhouse gas emissions and demand for valuable resources; it saves consumers time and 
money on looking for replacement of broken goods; and it provides opportunities for the repair 
market to grow.  
2.17.   The core the Proposal  is the obligation to repair. This means that producers that place on the 
EU market those goods for which repairability requirements exist will now be required also to repair 
these goods. We are talking about goods such as fridges, dishwashers and smart ph ones or tablets. 
They will also be required to inform consumers about this right. Another element is the European 
Repair Information Form, which will be a document that consumers will be able to ask any repairer 
before they get their broken product repaire d. The annex to the Proposal already provides a template 
of this repair form and this will stimulate more transparency under the repair market in the EU.  
2.18.   The obligation to repair applies to producers placing on the EU market goods covered by 
repairability requirements and this also extends to producers that are established outside the EU. In 
particular, the Proposal specifies that, for producers from outside the EU, the obligation to repair 
and to inform will have to be carried out by the authorized represe ntative in the EU, if they exist, 
and if that is not the case then it will be up to the importer of the goods and, if neither of these, 
then the distributor of the goods will have to carry out this obligation.  
2.19.   What is important to note here is that this ob ligation to repair will cover a wide variety of 
defects , including defects that are caused by consumers themselves.  
Presentation of the Green Claims Directive  
2.20.   I will present the Commission's proposal on the substantiation and communication of explicit 
environmental claims, which was adopted in March this year. The key objectives of our Proposal are 
to protect consumers from greenwashing – unsubstantiated, vague or unfounded environmental 
information that is provided on a voluntary basis by companies to cons umers in 
business -to-consumer relations.  
2.21.   Our evidence to underpin this proposal proved that over half (53.3%) of green claims on 
products and services that were made by companies in 2020  across different sectors of the economy 
(such as textiles and garment s, cosmetics, food products, etc.) provided vague, misleading or 
information  that was not substantiated. So i n order to enable consumers to make informed WT/CTE/M/78  
 
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  purchasing decisions  based on credible environmental claims and labels, and to improve legal 
certainty  and the function of the single market, we are proposing new rules on how the claims made 
to consumers in business -to-consumer communications should be substantiated.  
2.22.   The key elements of the P roposal are the rules on substantiation of environmental 
claims  – the claims should be backed by scientific evidence and should look at the environmental 
impact from a lifecycle perspective and also should ensure that there is transparency on the use of 
offsets when it comes to claims made in relation to climate and gr eenhouse gas reduction.  
2.23.   The Proposal also sets out rules on communication. The claims that are made should be based 
on the substantiation assessment, and the information on the substantiation should be made 
available to consumers in a clear and transparent  manner so that everyone can check the details 
behind the environmental claims.  
2.24.   The Proposal also sets out rules on labelling schemes. All environmental labels that are put 
on the EU market should be based on third party certification schemes with a robust  governance. 
The Proposal is also aiming to stop the proliferation of environmental labels that we see on the 
market. Currently, there are more than 200 environmental labels. So in order to control the set -up 
of new labels, all new schemes should provide a dded value in terms of environmental ambition or 
coverage of product groups before they are put on the market. This concerns both EU -based schemes 
and also those coming from outside of the EU.  
2.25.   The real novelty of this Proposal is that we are proposing an e x-ante verification, so 
verification of the substantiation before the claim is made to consumers . This ex-ante verification 
will be done by independent and accredited verifiers that will be appointed by national accreditation 
bodies and these verifiers will be entitled to issue certain certificates of conformity of the claims with 
the Green Claims Directive and these certificates will be recognized across the EU. The certificates 
will be issued only once in one EU member State and then can be displayed acro ss the EU.  
2.26.   Finally , the proposal also foresees rules on enforcement, empowering competent authorities 
to enforce the rules, and also including by issuing penalties. It also foresees rules on regular 
monitoring – annual monitoring will be done where the pro blems continue to exist and where further 
priorities for further action at the EU level may lie.  
2.27.   The Proposal, which was adopted in March, is currently open for public feedback until 21 July. 
In addition, the draft was notified for comment under the Techni cal Barriers to Trade ( TBT) 
notification procedure with a deadline of 30 August. The European Parliament, as well as the Council 
of the EU, are starting their discussions on the draft legislation.  
2.28.   Following these presentations, some delegations made  the following comments.  
2.29.   The representative of Switzerland  delivered the following statement:  
2.30.   Switzerland thanks the EU for the very interesting statement on greenwashing . We consider 
the EU's effort to address the greenwashing challenge to be positive, although many questions 
remain unanswered regarding the practical implementation of the future regulations.  
2.31.   For a policy framework to be as operational as possible against greenwashing, we need clear 
regulations, easily accessible means to complain and a real potential for sanctions.  
2.32.   In general, lifecycle assessments provide a sound scientific basis for the preparation of green 
claims. As a result, internally, the Department  of Trade relies on the expertise of the Department of 
the Environment for complaints filed under the federal Unfair Competition Act.  
2.33.   The representative of Uganda , on behalf of the LDC Group , delivered the following statement:  
2.34.   Chair, I am making this statement on behalf of the LDC Group. We  first of all  congratulate 
you on your Chairmanship . 
2.35.   We appreciate the European Union's presentation on its two proposals dealing with 
trade -related aspects of the European Green Deal , namely, the protection of consumers and WT/CTE/M/78  
 
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  companies from the misleading practice of unclear or poorly substantiated environmental claims 
(greenwashing);  and promoting the repair and sustainable consumption of goods.  
2.36.   As the main victims of the adverse consequences of climate change and the leas t responsible 
for it, we believe that it is good to fight against climate change and we do encourage all Members 
to do their best in this area. However, the measures adopted must be compatible with WTO rules as 
well as international standards, including th e United Nations Framework Convention on Climate 
Change.  
2.37.   The LDC Group is considering these two proposals in our capitals. However, we would like to 
make some preliminary comments today. First, the G roup believes that it is important to protect 
consumers a nd businesses from misleading labelling practices. The proliferation of environmental 
labels has been on such a scale as to make it difficult for regulators and consumers to establish their 
veracity. This  therefore  constitutes a form of unfair competition for companies that offer truly 
sustainable products.  
2.38.   However, even if  we as a G roup recognize the importance of such regulations, it risks 
restricting market access for LDC companies given their capacity constraints with regard to labelling. 
The implementa tion of such proposal s will generate high and almost unbearable costs for the 
verification and/ or compliance of labels  in many of our countries.  
2.39.   The LDC Group therefore believes that the se EU regulations require further discussion and 
consultation on the i mpact of their measures on LDC exports given the negative impact they could 
have on market access for our businesses. The United Nations Conference on Trade and 
Development ( UNCTAD ) 2022 LDC Report mentions the devastating effects that the policies of 
trading partners can have on LDCs.  
2.40.   As I conclude, Chair, with regard to paragraph 32 of the Doha Declaration, the Group would 
like to ask the European Union if it has assessed the impac t of these measures on LDC exports to 
the European market? Our Group will come back in another meeting of the CTE with more detailed 
comments and questions on these two EU proposals.  
2.41.   The representative of Congo , on behalf of the African Group , delivered th e following 
statement:  
2.42.   Chair, this statement is made on behalf of the African Group. The Group congratulates you 
on your election to head this Committee  as Chair . 
2.43.   The African Group takes note of the presentations made by the European Union on these two 
elements of its Green Deal and we will come back to these two elements very soon. However, with 
regard to CBAM and Deforestation, the African Group is concerned that the EU's environmental 
mechanisms amount to giving priority to its policy over those of expor ting countries and to imposing 
a vision unilateral way of dealing with climate change.  
2.44.   These policies cover globally traded goods and have progressive scopes that can have 
far-reaching effects. The implications for the identified sectors will differ depend ing on the industry's 
exposure to the EU market. However, beyond trade, the Green Deal could have implications in terms 
of investment, industrial development and job creation . For the African Group,  the administrative 
and compliance burden will require control systems and adequate procedures , but these will be 
difficult and prohibitively expensive for most, if not all, African countries.  
2.45.   Furthermore , our concerns have been reinforced by the report of a study, published by the 
African Climate Foundation (ACF ) and the Firoz Lalji Institute for Africa of the London School of 
Economics and Political Science (LSE), which indicates that CBAM could affect African export  
competitiveness if the  product coverage expands over time. It would introduce administrative 
barriers to market access for African countries, which have historically struggled to gain a foothold 
in the European market.  
2.46.   This report also indicates that , while it is commendable that the EU is taking action to reduce 
greenhouse gas emissions, at the same  time there is still a lot to be done. Developed countries must WT/CTE/M/78  
 
- 12 - 
 
  redouble their efforts to provide climate funding to developing countries and transfer technologies 
to support their transition to ward low-carbon -emission economies.  
2.47.   Chair, the measures to combat against climate change, including unilateral measures, must 
not constitute a means of arbitrary or unjustifiable discrimination or a disguised restriction on 
international trade. The African Group  would like to reach out to the EU and ma ke sure that they 
comply fully with the rules of the WTO.  
2.48.   The representative of the Russian Federation  delivered the following statement:  
2.49.   I would also like to thank the EU for presenting these new legislative proposals under the 
European Green Deal. I woul d just like to express hope that , in the future , these new proposals will 
not turn into yet another instrument of protectionism following the recent trends of the EU 's trade 
policy.  
2.50.   The representative of Colombia  delivered the following statement:  
2.51.   Congratu lation s on your appointment as Chair. Thank you to the EU for the presentations, 
which are very relevant for our discussions not only in this setting but also in others like TESSD on 
circularity. I have two questions with regards to the proposal on repair and sustainable consumption 
of goods, and one question with regards to the proposal on substantiation of environmental claims 
or greenwashing.  
2.52.   My first question is about the inclusion in the value chain of other WTO Members the 
repairability and sustainable consumption of goods policies. Especially in the case of developing 
countries, how does this proposal envisage that inclusion in the value ch ains of developing countries? 
My second question with regards to that regulation is the repairability issue of the goods – how does 
that work in practice? Will it be a document that is included with the good or a labelling requirement? 
How will that work?  
2.53.   With regard to the Green Claims Directive on environmental claims, we believe that it will be 
applicable to environmental private standards and private labelling and , for Colombia , it is very 
important this issue of claims of "free -from palm oil", the spec ial label requirements that include 
palm oil as one of the features that the label should have on a voluntary basis. So, according to the 
EU market and the European Association of Consumers, these label requirements on claims of 
"free-from palm oil" are as sociated with unsustainable practices so consumers relate those standards 
and those labels with unsustainable practice s. According to the science, this is not totally accurate. 
So how will the regulation cope with this issue of already misleading informati on that European 
consumers have already constructed  and have thought about.  
2.54.   The representative of Uruguay  delivered the following statement:  
2.55.   I would like to congratulate you on your appointment to this post and I would like to thank 
the delegation of the E uropean Union for their interesting presentations. Uruguay shares the concern 
and also the vision for sustainable development and the environment . It not only shares these 
perspectives but has incorporated them into its public polic y for a number of years, well before these 
issues began to have the centrality they occupy today in the global agenda.  
2.56.   It is precisely these public policies that allow us to evaluate the value when it comes to going 
forward in terms of sustainability and climate  change  and a lot of advances have been made . 
2.57.   In this sense, I would like to highlight that Uruguay's energy matrix is made up of 97% 
renewable sources and this has allowed progress in a second phase of decarbonization that will be 
applied to transport and  industry, in which a strong commitment is made to production and export 
of green hydrogen. Likewise, in terms of agriculture, Uruguay has adopted a sustainable 
intensification strategy, maintaining emission levels for more than thirty years despite the fa ct that 
production has increased significantly.  
2.58.   It is thanks to these long -standing policies that in the last national inventory of greenhouse 
gases reported to the United Nations, Uruguay had net negative emissions of almost 5,000 Gg.  WT/CTE/M/78  
 
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  2.59.   This concern for the  environment and the fact of being an open country, whose development 
and economic growth strongly hinge  on international trade, leads us to follow regulatory 
developments very carefully, both at a multilateral and unilateral level, and we would like to st ate 
how we did it. Recently, our concern about the unilateral measures that some Members  are taking, 
most of which are restrictive to trade.  
2.60.   We believe that trade in general and the WTO in particular can and should contribute to the 
solution of environment al problems, but not only through restrictions and different trade -distorti ng 
measures that could give rise to a fragmentation of the  multilateral trading  system, but rather 
through a forthright environmental programme that will facilitate and promote trad e as a n engine 
of development.  
2.61.   The theme of decarbonization is something that we are all concerned with. As is the case of 
many Members, Uruguay has also established the ambitious goal of decarbonizing their economy by 
2050, but for the time being when it comes to trade all the various measures that we have been 
hearing about are trade -restrictive measures and they limit or bring taxes on products with a high 
carbon content.  
2.62.   As we see it, when it comes to dealing with it at an international level, this will  not solve the 
problem. You cannot solve the problem only through restrictive measures because we have to move, 
as we know, towards decarbonizing the economy.  
2.63.   This delegation considers that an efficient and effective means of accelerating the 
decarbonizati on of the world economy is through positive trade incentives for goods that are c arbon 
neutral or negative  in terms of carbon . This type of approach would avoid the lack of consensus in 
terms of definitions , which stood in the way of the Agreement on Environmental Good s. There could 
be certifications and carbon accounting, issues on which there is greater consensus at the 
international level.  
2.64.   We believe that exploring measures of these characteristics that could provide a positive 
incentive would accelerate  the decarbonization of industries and production processes in line with 
the objectives of the Paris Agreement and , at the same time , drive trade forward. This would be in 
keeping with the objectives of this Organization. However, we do not see this type o f 
positive -incentive measure s in the EU Green Deal . 
2.65.   The representative of Brazil  delivered the following statement:  
2.66.   Allow me to congratulate you for taking up your post. Brazil would also like to thank the EU 
for presenting new aspects of the Green Deal an d also for updating the CTE on the recent publication 
of the Regulations establishing the CBAM as well as the Deforestation legislation. Despite statements 
made by the EU authorities to the effect that these measures would be consistent with multilateral 
rules, as they stand, they do appear to pose challenges to a broader array of WTO disciplines 
including in tariffs and TBT as well as the fundamental principles of non -discrimination and national 
treatment. In this regard, I refer to the previous statements  made by Brazil in both the CTE and the 
Council for Trade in Goods ( CTG). 
2.67.   In light of that, I would like to pose a question to the EU representative who mentioned that 
it would be possible in the case of the CBAM to deduct other contributions for decarbonization from 
the taxation of the mechanism. I would just like to ask whethe r that means that it would be possible 
to also deduct contributions made by other modalities of carbon efforts other than carbon pricing, 
so for instance from regulatory approaches.  
2.68.   The representative of Norway  delivered the following statement:  
2.69.   Norway wou ld like to thank the European Union for their presentations of the proposed new 
directives on 'Green Claims ' and on the 'Promoting Repair and Reuse ', respectively.  Norway supports 
the intentions behind these two regulations.  
2.70.   Public awareness of the need fo r more sustainable consumption patterns is increasing. This 
has create d business opportunities for companies as they can appeal to consumers by selling goods 
and services that are produced with lower environmental impact. But opportunity can sometimes WT/CTE/M/78  
 
- 14 - 
 
  lead to opportunism and misleading claims. Statistics showed that over half of the claims were at 
least not fully valid. It is therefore crucial that green claims can be supported by scientific evidence, 
and be certified and verified by independent and credibl e methods.  
2.71.   Repairing and reusing products rather than replacing them is becoming increasingly necessary 
in order to reduce the consumption of scarce materials and the pressure on waste management. 
Strengthening the requirements for producers to make goods repairable, and the possibilities for 
consumers to repair rather than replace, is important in this regard.  
2.72.   Listening to the discussion here, we note that other Members have also pointed to important 
points regarding transparency and predictability for thi rd countries, and challenges for developing 
countries and LDCs. We trust that the EU is taking such concerns into regard in the final ization and 
implementation of these measures.  
2.73.   The representative of India delivered the following statement:  
2.74.   India would li ke to join others in congratulating you on your assumption of the 
Chairpersonship of the CTE  and we  assure you of our full cooperation.  
2.75.   India thanks the EU for the two presentations today. We would examine the proposals mainly 
to determine if these proposals will be more trade restrictive than necessary in the TBT context. The 
proposals on labelling as well as the administration process pu t in place for both proposals need 
further examination so that they do not become barriers to market access. On the remarks earlier 
made by the EU on their CBAM and Deforestation regulations, we will intervene more broadly under  
agenda item 3 .B. 
2.76.   The repres entative of Canada  delivered the following statement:  
2.77.   Canada would firstly like to congratulate you, Chair, on your Chairmanship.  Canada would 
like to thank the EU for providing presentations on the new Directives on green claims and common 
rules promoting  the repair of goods. We will aim to take what we have heard and learned here today 
and assess what it could mean for Canadian businesses.  
2.78.   As well, we are keenly interested in receiving updates on the Directives as they advance and 
are implemented, particu larly stakeholder engagement opportunities, given that both Directives will 
have some degree of trade implications.  
2.79.   The representative s of Australia  delivered the following statement:  
2.80.   Australia welcomes the EU's presentation s this morning and shares the EU's views that trade 
has a critical role to play in addressing environmental  challenge and  particularly climate challenges.  
2.81.   On the proposal to protect consumers and companies from misleading practice s of unclear or 
poorly sub stantiated environmental claims (greenwashing), Australia treats the issue of 
greenwashing seriously. Under Australian law, greenwashing n ow constitutes a breach of our 
consumer law s, which prohibits engaging in misleading or deceptive conduct in trade or commerce.  
2.82.   Careful consideration should be given to how Members set requirements for the verification 
of environmental claims to avoid measures becoming more trade restrictive than necessary and cost 
prohibitive for exporters, including by giving positive c onsideration to the mutual recognition of 
verification processes and schemes of other Members.  
2.83.   Greater certainty about pathways for recognition of non -EU schemes is highly desirable. A 
proliferation of similar methods elsewhere without a collaborative appr oach allowing for mutual 
recognition could place unnecessary burdens on exporters, be more trade restrictive than necessary , 
and exclusionary to smaller or disadvantaged producers/exporters.  
2.84.   On the proposal that aims to promote the repair and sustainable c onsumption of goods , 
liberali zing green trade is an absolutely important element in driving sustainability.  Australia is also 
working hard domestically and with international partners to address this issue. But, in pursuing our 
objective of transition to n et zero, promoting the repair and sustainable consumption of goods alone WT/CTE/M/78  
 
- 15 - 
 
  will not be enough , as we all know . Trade rules should also be reformed to reduce WTO Members ' 
entitlements to provide subsidies that cause environmental harm. It is important to ensu re that 
governments work closely with industry on developing and implementing such schemes.  
2.85.   Australia welcomes the inclusion in the recently agreed Kunming -Montreal Global Biodiversity 
Framework of a dedicated target to address incentives harmful for biodi versity , specifically to  identify 
by 2025 and eliminate , phase out or reform incentives, including subsidies harmful for biodiversity, 
in a proportionate, just, fair, effective and equitable way, while substantially and progressively 
reducing them by at le ast USD 500 billion per year by 2030 . 
2.86.   Finance and investment will be critical to promoting more sustainable production and 
consumption  and Australia is cognisant of the nature positive investment opportunities that are 
emerging with post -Paris financing, i nvestment and emissions accounting frameworks including the 
Taskforce for Nature -Based Risk Disclosure ( TNFD ). 
2.87.   I am delighted this week to have with me a horde of trade and environment experts from 
Canberra and will take this opportunity to pass on to my c olleague to continue Australia's 
intervention.  
2.88.   It is a pleasure to be here for Australia at the CTE for Trade and Environment Week and thank 
you for indulging in a double intervention from us. We would like to thank the EU for the presentation 
on the Green  Deal and ongoing commitment to transparency. We are looking forward to further 
information sessions on Wednesday.  
2.89.   Australia is committed to tackling climate change and we are bidding to co -host COP31 with 
the Pacific in 2026 to accelerate global action. W e are also committed to international climate 
leadership and supporting Indo -Pacific partners in their net zero transformations and to develop 
climate resilience. We firmly believe that trade and the multilateral trading system must be part of 
the solution  to environmental problems, including climate change. The WTO can and must play a 
role in tackling these problems. It will not be easy but it is our responsibility to try and ensure to 
the best of our ability that there is maximum consistency in our trade and environmental policies.  
2.90.   Transparency and dialogue will be important to help us get there, particularly here in the CTE. 
We are conscious of the importance of tackling carbon leakage and understand why Members are 
pursuing policies to combat this issue.  We are committed to exploring multilateral and plurilateral 
solutions to carbon leakage but we have to recognise that climate measures are imperative and we 
understand why Members are taking action now. Any measures should be WTO -consistent.  
2.91.   Australia not es that the EU's CBAM policy aims to address this problem of carbon leakage. We 
welcome the consultative approach that the EU has taken in relation to CBAM today, including here 
at the CTE and bilaterally with interested Members, consistent with the centra l WTO principle of 
transparency. We note that CBAM has been officially adopted and will commence its transitionary 
phase on 1 October this year. We look forward to seeing the final implementing legislation and hope 
it will clarify some outstanding question s from Members.  
2.92.   Australia is committed to working with the EU and all Members on these important issues 
where trade can assist in advancing our climate, environment and sustainability objectives.  
2.93.   The representative of the United States  delivered the follow ing statement:  
2.94.   The United States thanks the E uropean Union for the presentations on these draft EU 
proposals on directives for green claims and common rules promoting the repair of goods. 
Presentations on policy objectives, and design choices made by regulators, can contribute to our 
collective understanding of why and how these approaches interact with the multilateral trading 
system.  
2.95.   The United States supports discussion of underlying policy objectives and choices that 
Members take to address particu lar environmental concerns. We view the CTE as the appropriate 
venue for such discussions.  We do want to ensure, however, that such discussions or presentations 
in the CTE are not intended to replace notification or deliberation in other relevant Committee s here 
at the WTO, which have the mandate to discuss specific trade concerns.  WT/CTE/M/78  
 
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  2.96.   The CTE was not intended to be a body for discussing STCs, nor do we want to see it evolve 
into such a forum. Sharing information, and providing transparency into policy decision -making, is 
a useful and constructive role for the CTE but should not supersede other Committees ' mandates.  
2.97.   We appreciate the communication (WT/CTE/GEN/29) circulated by the EU on its Carbon 
Border Adjustment Mechanism. However, we are concerned that this communication, and the 
presentations by the EU, are intended to replace notification and deliberation in oth er Committees. 
We have a question for the EU and would like to know if the EU intend s for this communication to 
act as its official notification of the measure to the WTO.  
2.98.   In conclusion, we welcome more robust information sharing among Members, in particul ar on 
policy approaches to specific environment challenges. However, we must reiterate that transparency 
under the CTE should not replace established processes under relevant Committees, like TBT and 
Sanitary and Phytosanitary Measures ( SPS) for example, f or notification of measures and discussion 
of specific trade concerns.  
2.99.   The representative of Egypt  delivered the following statement:  
2.100.   I would like to extend my delegation's congratulations to you, Chair, on assumption of this 
important responsibility in th e CTE. It is especially important given the sensitivity and complexity of 
the matters that we are discussing here. We need a professional, as you are, to Chair this Committee 
and we are lucky that we have you on the podium. I am also personally happy to ha ve you as Chair 
given our two countries are alphabetically neighbours in this Organization and of course Chair you 
will have our support during your stint. Now allow me to pass over the floor to my colleague who 
will read our technical intervention on the EU presentations since she is the one who prepared 
everything.  
2.101.   Chair, Egypt will express our comments on the two proposals in reverse order. At the outset, 
we would like to thank the EU for the presentation made on its Proposal for a Green Claims Directive . 
We believe that businesses have an important role to play in climate action and achieving 
sustainability. This role should be in support of countries' efforts to advance the SDGs and climate 
objectives, in line with their commitments under the UNFCCC, in cluding the Paris Agreement.  
2.102.   We believe that it is important to address greenwashing practices and misleading claims 
made by some companies and businesses, in order to protect consumers and the environment. 
Strengthening businesses' responsibility in achie ving sustainable development and sustainability 
targets is crucial. However, this should be based on and in conformity with our obligations and 
commitments in the WTO rule book, which recognizes, among other things, the importance of 
integrating developing  and least developed country Members  in global value chains and increase 
their share of international trade.  
2.103.   Collaboration with other international organizations and relevant treaties is extremely 
important, we may benefit, in so far as our mandate at the CTE allows, from international initiatives, 
including the recent launch in COP27 of the High -Level Expert Group's report, entitled "Integrity 
Matters: Net Zero Commitments by Businesses, Financial Institutions, Cities and Regions".  
2.104.   We need to understand th e potential effects of the directive on developing countries' exports 
and whether it could create any barriers or disadvantages for them. We would also need to explore 
whether the Directive's standards could disproportionately affect developing countries t hat heavily 
rely on environmental claims to promote their products.  
2.105.   In this regard, and taking into consideration that companies from exporting developing 
countries may not have the capacity to comply or to prove compliance with the criteria stipulated in 
the new directive, my delegation would like to ask the EU delegation the following, and we hope we 
will receive answers to th ese questions in the context of this agreement or at a later stage:  
i. How will the implementation of the Green Claims Directive impac t the export 
capabilities of developing countries to the EU market?  WT/CTE/M/78  
 
- 17 - 
 
  ii. Will the requirements and restrictions of the Green Claims Directive pose challenges 
for developing countries that heavily rely on environmental claims and marketing 
strategies?  
iii. How can th e Green Claims Directive support and encourage the participation of 
developing countries in sustainable production and trade?  
iv. Are there provisions within the Green Claims Directive to facilitate capacity building 
and technical assistance for developing cou ntries?  
v. What measures will be taken to ensure that the Green Claims Directive does not 
inadvertently discriminate against developing countries?  
vi. Could the EU delegation provide more information on the proposed rules for 
communication ? How will the substanti ation assessment information be made available 
to consumers in a clear and transparent manner?  
vii. How does the proposal aim to control the proliferation of environmental labels in the 
market? What are the criteria that new schemes should meet before being put  on the 
market?  
viii. Could you please elaborate on the ex -ante verification process proposed in the draft . 
How will independent and accredited verifiers be appointed or selected, and what will 
be their role in ensuring conformity with the green claims directive ? 
2.106.   Chair, we would like to thank the EU also for the presentation made on its Proposal for a 
Directive on common rules promoting the repair of goods.  We think that the Proposal could serve 
the objectives of promoting sustainable consumption and reducing was tes and pollution.  We 
understand that this is part of the E U Green Deal , which aims to promote sustainable consumption 
and reduce waste by extending the lifespan of goods through repair.  
2.107.   However, this initiative may pose challenges for exports from develop ing countries. Meeting 
the repairability requirements set by the directive may involve additional costs and adjustments to 
product design and manufacturing processes. Developing countries with limited resources and 
technical capabilities may face difficult ies in complying with these requirements. This could 
potentially create a barrier for their products to enter the EU market.  
2.108.   In this regard, we would like to seek clarification from the EU delegation  on some issues:  
i. What are the key objectives of the propo sed Directive on common rules promoting the 
repair of goods? And how would this directive facilitate trade from developing countries 
and in which sector could it be trade restrictive?  
ii. The proposed Directive covers a wide range of products, including but no t limited to 
vacuum cleaners, tablets, smartphones, and other technically repairable goods . Could 
the EU provide detailed information based on the HS coding system to define the scope 
of products covered by the proposed Directive?  
iii. What obligations does the  proposed Directive impose on businesses?  
iv. Has the EU identified the practical implications of the proposed Directive for businesses 
and consumers?  
v. How will this proposal be applied on products bought electronically from traders outside 
the EU?  WT/CTE/M/78  
 
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  2.109.   The representative of Thailand  delivered the following statement:  
2.110.   As this is the first time Thailand has taken the floor, we would like to congratulate and thank 
you Chair for the guidance at this meeting.  
2.111.   On the EU Green Deal, we thank the distinguished d elegates from the European Union for 
the update on the European Green Deal plan for implementation and the briefing on European 
Directives on green claim and repair and sustainable consumption of goods. The presentation has 
helped us to understand more abo ut the effort of the European Union to empower consumers for 
the green transition. We will study more in detail on the proposals.  
2.112.   However, my delegation would like to reiterate our concern on the CBAM. We understand 
that, in theory, the equalization of the  carbon price should lead to the creation of a level playing 
field between manufacturers from the EU and third countries. However, the CBAM sparks countless 
controversies related to its compatibility with the GATT 1994 and other multilateral agreements, 
especially on the principle of common but differentiated responsibilities as well as the right to 
development, both of which are of importance to developing countries and least developed countries 
(LDCs).  
2.113.   Lastly, my delegation wishes to thank the European Un ion once again for the updates as the 
process for transparency and looks forward to further discussions with the European Union once we 
receive more feedback from the stakeholders in the future.  
2.114.   The representative of the Kingdom of Saudi Arabia  delivered t he following statement:  
2.115.   I would like to congratulate you for your selection as the Chair of this important committee. 
The Kingdom of Saudi Arabia trusts your able leadership and offers you its support and positive 
contribution.  
2.116.   The Kingdom would like to th ank the European Union for the update on trade -relevant 
aspects of the European Green Deal and for the presentation on proposals for empowering 
consumers for the green transition.  
2.117.   The Kingdom of Saudi Arabia would like to reiterate its concerns on the EU  Green Deal in 
general. These new legislative proposals , like the one on the CBAM , are unilateral restrictive trade 
measures that must not be accommodated. We support the concerns raised by a number of Members  
on the effects of such measures let alone the in consistency with WTO rules.  
2.118.   The representative of the Philippines  delivered the following statement:  
2.119.   We thank the EU for its update and look forward to thematic session focused on CBAM  later 
this week . We wish to reiterate our perspective on the importance  of importance of equity in 
supporting just economic transitions.  In this respect, we note paragraph 74 of the EU Regulation , 
which also references that the "Union is working towards introducing a new own resource based on 
the revenues generated by the sal e of CBAM certificates. " We look forward to further information on 
this Fund, which we believe should be channelled  back to developing countries to support compliance 
with CBAM requirements and broader climate mitigation and adaptation measures, through climate 
financing and the transfer of innovative and suitable technologies.  
2.120.   The Philippines would also like to thank the EU for its updates on the EU Green Deal, 
particularly on the two new  legislative  proposals on green claims and promoting repair and 
sustainable consumption of goods.  
2.121.   We have a future questions on the Green Claims Directiv e, which some other delegations  
have taken up under this agenda item . We note that the proposal acknowledges that there would 
be higher compliance costs that are passed to companies who wish to seek certification under 
eco-labelling schemes, including post -verification , which would like ly negatively impact MSMEs in 
developing countries.  
2.122.   We note Article 8 of the proposal entails that new public schemes from third countries will 
have to meet the requirements contained in the Directive and will require prior notification and WT/CTE/M/78  
 
- 19 - 
 
  approval by the  Commission.  Our question therefore is h ow does the Commission currently recognize 
eco-labels from third countries and how does this compare to future requirements for  carbon 
footprint labelling?  And has the Commission considered the potential negative imp act of the 
proposed  measures on disincentivizing carbon offset program mes in developing countries?  We also 
note that the proposal contains support for Small and medium sized enterprises ( SMEs ) in the EU, 
particularly related to data on environmental footpr ints. Would similar support be made available to 
SMEs in third countries?  Lastly, does the proposed regulation cover advertising claims?  
2.123.   The representative of Argentina  delivered the following statement:  
2.124.   I would like to join others in congratulating you at  your appointment. As we have said in 
other meetings of this Committee, Argentina considers that it is necessary that regulations under 
the EU Green Deal respect the European Union's commitments before the WTO and that they are 
based on scientific evidence  in order to ensure that these measures do not constitute an arbitrarily 
discriminatory measure or an unjustified barrier to trade , Argentina shares the objectives of the EU 
on climate change and in particular the objective of producing food in a sustainab le way, taking into 
account current challenges in safeguarding food security in changing climatic conditions.  
2.125.   Here we stand convinced that there is not one single model to achieve environmental 
protection and that environmental deterioration, including cli mate change, should be combatted 
while respecting the principle of common but differentiated responsibilities. Therefore, solutions 
should be adapted to local realities and policies and initiatives proposed to that end must be flexible, 
pragmatic, implemen table and realistic, and they should be as least trade restrictive as possible to 
achieve their purpose.  
2.126.   With regard to the initiatives presented, we have two comments. With regard to the reuse 
of products, we have been chatting throughout the meeting with  our Uruguayan colleagues and, as 
we have said, we continue to use our parents' clothing, which are handed down through the 
generations, and my mother has the same washing machine from 20 years ago – so we congratulate 
the European Union for their initiati ve to be more sustainable in domestic consumption.  
2.127.   With regard to the Green Claims labelling, what criteria would the European Union seek to 
apply to qualify a green claim as appropriate or inappropriate, particularly because production 
methods are not uni versal in their environmental impact or in the self -perception of sustainability, 
for example, what the European Union calls "sustainable agriculture", even when it involves affecting 
soils. In our country, we have been working for some years on carbon sto rage ensuring sustainability 
of soils and saving water.  
2.128.   Our question would be what criteria  are you using in order to classify different labelling? My 
next question would be who has the burden of proof – is it the producer that has to prove that their 
product is environmentally friendly or would it be the certifier to prove that it is not so?  
2.129.   The representative s of the European Union  responded : 
2.130.   Thank you for the questions raised. I will respond in general terms to some of them. The 
Commission has assessed the impact of the measures in an accompanying impact assessment and 
the measures that we are proposing are proportionate to achieve the environmental objectives.  
2.131.   Let me highlight that the obligation to substantiate claims is already enshrined in E U law and 
it is already a legal obligation. The Green Claims Directive aims at providing rules on how to 
substantiate the claims, which in fact makes the lives of enterprises wishing to make environmental 
claims easier, because they have clear rules which can be verified for additional legal certainty.  
2.132.   In our impact assessment, we have looked at the costs specifically for labelling schemes of 
complying with the governance rules that are enshrined in our proposal. We have also foreseen the 
fact that small an d medium -sized enterprises may indeed have more difficulty when it comes to 
substantiating the claims, for this reason, and for proportionate reasons, we have actually exempted 
small and medium -sized companies and micro -enterprises so those employing fewer  than 
10 employees and with an annual turnover of below EUR 2 million from the obligations in the Green 
Claims Directive, unless they wish to opt in, then they can of course do so and benefit from other 
rules within the Directive, such as the certificate o f conformity.  WT/CTE/M/78  
 
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  2.133.   We have also foreseen specific support to SMEs , including via the environmental footprint 
databases that the Commission will develop and allow SMEs to use. When it comes to the assessment 
underlying the claims  to be substantiated , we highligh t in our proposal first of all that there is 
flexibility when it comes to the choice of the method as long as it is scientifically robust and also in 
line with , or based on , international relevant standards . Here again we allow for flexibi lity for 
companie s to use different methodologies rather than basing their claims on biases or perceptions, 
so that is certainly a plus.  
2.134.   I would like to offer a few clarifications on the proposal regarding the right to repair. In terms 
of the obligations and new measures t hat this proposal provides, it introduces a new right to repair 
both within and beyond the legal guarantee. Within the legal guarantee, the sellers will be required 
to offer repair except where it is more expensive than a replacement. Beyond the legal guar antee, 
the new set of rights and tools will be available to consumers to make repair an easy and accessible 
option. This includes this right for consumers to claim repair from producers for products that are 
technically repairable under EU law. To specify,  the list of products to which this obligation refers is 
specified in Annex 2 of the proposal. Additionally, the repairability requirements are not set by this 
Directive but are envisaged to be set by either separate existing regulations or by future forth coming 
acts under the eco -design for sustainable products regulation where the repairability requirements 
would be subject to a dedicated impact assessment as outlined in that specific proposal.  
2.135.   In addition, the proposal for the Directive on promoting the right to repair and reuse also 
envisages a producer's obligation to inform consumers about the products that they are obliged to 
repair themselves and envisages a facilitating matchmaking repair platform that would be able to 
match consumers with repairers . Additionally, while there is no specific labelling requirement 
envisaged, there is a possibility for repairers to indicate their adherence with the EU or national 
quality standards related to repair in order to build consumer trust.  
2.136.   Specifically, when re ferring to how the Directive is envisaged to apply to traders from outside 
the EU, it is specified that where the producer obliged to repair a certain good as listed in Annex 2 
of the proposal is established outside the Union its authorized representative in the Union shall 
perform the obligation of the producer. Where the producer has no authorized representative in the 
Union, the importer of the good concerned shall perform the obligation of the producer. Finally, 
where there is no importer, the distribut or of the good concerned will perform the obligation of the 
producer. I hope that this has allowed to shed some additional light on our proposal.  
2.137.   On behalf of all colleagues, l et me thank you for the very rich and extensive comments that 
you have made, whi ch are very useful. I would like to make a couple of general observations. The 
first is that EU legislative process starts with an impact assessment, as colleagues already alluded 
to, which assesses the impact, including on partner countries, and as a publ ic consultation in which 
many of you participate. So that is the first process.  
2.138.   As of this moment, we have started indicating that we are taking measures in this Committee 
and this process leads into a Commission proposal, which is adopted. The two proposa ls that we 
have today are Commission proposals that have been adopted. The subsequent step is the 
co-legislative process – the co -legislatives in the EU are the Council and the Parliament . Usually , I 
would say it is o n average one and a half years or so , depending on the proposal,  and often we hear 
from you to say it is not clear, we don't know what the measure entails, and that is because we are 
very transparent – we are sharing with you a proposal that is not a final proposal, which also means 
that it is useful to discuss here. Part of the questions that you have I cannot answer because we are 
in co-legislation and it is not a final proposal.  
2.139.   Some of the comments touched on WTO -compatibility, so I wanted to recall that both in the 
design stage and the impl ementation stage we really insert a very strong, international external 
dimension. WTO -compatibility has been and remains a key driver for all our measures and we are 
keen to engage as well as in the implementation. I take note of further calls to deepen t he discussion 
and engage and we will be delighted to do that including discussing and looking at the development 
dimension.  
2.140.   On the Green Claims  Directive , I wanted to emphasize that this is voluntary and it is to help 
companies to find their way in this mu shrooming of all standards and to help them combat 
misleading information.  WT/CTE/M/78  
 
- 21 - 
 
  2.141.   I heard a comment on CBAM, that it should be a positive approach and that there should be 
recognition – yes, I think that is also reflected in CBAM, because the idea is indeed to look at the 
embedded emissions efforts to reduce CO 2 and that they should be recognized. So that is certainly 
something we share. As for the point on notifications, the EU notifies in the TBT or SPS Committees 
the measures that fall under the remits of tho se Committees. The Green Claims Directive was notified 
on 31 May to the TBT Committee but we do not consider CBAM to fall under the TBT notification 
requirements, so we have been transparent and made a voluntary notification to this Committee.  
2.142.   With that, since I think a couple of questions were already responded to in the presentation 
and in some cases repeated by my colleagues so , for example , Egypt I would invite you to take a 
look again at the presentation but if there are further questions then I am hap py to follow up. I hope 
that we managed to get to the crux of your comments and thank you very much . We have taken 
careful note in any event because, as was also said in our TPR review, we find it very important and 
useful to hear your comments , ideas and concerns.  
2.2  Report s on the Dialogue on Plastics Pollution and Environmentally Sustainable 
Plastics Trade (DPP) and on the Trade and Environmental Sustainability Structured 
Discussions (TESSD)  
2.2.1   Dialogue on Plastics Pollution and Environmentally Sustainable Pla stics Trade 
(DPP)  
2.143.   The representatives of Morocco  and China , on behalf of the co-sponsors of the Dialogue on 
Plastics Pollution and Environmentally Sustainable Plastics Trade (DPP) , delivered the following 
report:  
2.144.   At the outset, allow me to thank you Chair for giving us the opportunity to brief the 
Committee on the latest developments o f the work done by the DPP.  
2.145.   The Dialogue, comprising of 76 co -sponsors, held its 2nd plenary meeting for 2023, on 
25 May 2023. This plenary meeting was co -chaired by the Ambas sadors of Morocco and China, and 
heard opening remarks from the Ambassadors of the coordinators of the Dialogue, namely, 
H.E. Ambassador of Australia, H.E . Ambassador of Barbados and H.E . the Ambassador of Ecuador, 
as well as from Mr. Hoe Lim, Director of the WTO Trade and Environment Division.  
2.146.   Building off from the first plenary meeting of 2023, this Plenary had as its main goal the 
presentation of the zero draft vision of the coordinators on the potential outcome of MC13. Indeed, 
the coordinators shared a  written and more concrete "vision" for MC13 prior to the meeting and 
presented the zero draft for discussion.  
2.147.   This zero draft: (i) emphasizes the importance of collective action in tackling plastics, which 
are transboundary in nature; (ii) focuses on the shared vision of trade -relates aspects to tackle 
plastics pollution; and (iii) identifies remaining information needs related to shared priorities, such 
as the need to create more concrete and tangible MC13 outcomes in the zero draft.  
2.148.   Additionally, the vis ion states that a series of annexes will complement the MC13 document 
to highlight the technical and scientific information related to plastics pollution as well as factual 
summaries of the survey results for both the trade -related plastic measures (TrPMs)  survey as well 
as the Aid -for-Trade  (AFT)  Needs Assessment.  
2.149.   The coordinators all agreed on the fact that concrete and tangible outcomes for MC13 are 
very important in meeting plastic pollution reduction targets. Member states and Stakeholders who 
took the  floor during meeting welcomed the zero draft presented and considered it as a good basis 
for discussions.  
2.150.   Several Members stressed the importance of cooperation and collaboration in creating 
concrete outcomes for MC13. Several Members also emphasized the importance of increasing 
transparency and data capacity. Some delegations raised questions and suggested alternative 
language regarding the relationship between the MC13 outcome and the ongoing negotiations for 
an international legally binding instrument.  WT/CTE/M/78  
 
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  2.151.   Some other delegations believed the zero draft could and should be more ambitious.  
Coordinators took note of all comments and asked written submissions to be sent by 26 June, after 
which a new version would be prepared and circulated, including the structu re of the annexes.  
2.152.   Otherwise, the meeting heard from the WTO Secretariat who provided a briefing on the 
current state of play of the Dialogue's discussions and the work developed by the Dialogue in 
the 10 meetings and two "deep -dive" workshops held since their Ministerial Statement in December 
2021.  
2.153.   Indeed, the group had produced many substantive documents (including two 
communications to the World Customs Organization, a Coordinators' Ministerial Statement and two 
surveys), heard from 44 stakeholder s from academia, civil society, private sector and international 
organizations, and generated more than 125 room documents, mostly presentations summarizing 
technical and scientific studies.  
2.154.   Progress had been achieved across the three workstreams establish ed by the Dialogue, 
namely, cross -cutting  issues (including technical assistance, capacity building, technology transfer, 
international cooperation and transparency); circularity and reduction; and promotion to tackle 
plastic pollution. This substantive wo rk had provided the basis for coordinators' vision.  
2.155.   During this Plenary meeting, technical briefings were also made by the International Bamboo 
and Rattan Organization ( INBAR ), the Food and Agriculture Organization of the United Nations ( FAO) 
and the International Pollutants Elimination Network ( IPEN). The presentation by INBAR focused on 
utilizing bamboo as a substitute to plastic products. The FAO presentation focused on the harms 
generated by plastics used in and associated with agriculture, includi ng their increased use in 
fertilizers. Finally, the presentation by IPEN discussed their recent study on "hidden flows" of plastic 
waste trade due to current shortcomings in the Harmonized System (HS). In addition, IPEN noted 
that the ecological and human health risks posed by plastics, which are complex mixtures of over 
13,000 chemicals (including potentially harmful ones), demand a more comprehensive tracking 
system and multilateral agreements that acknowledge the diversity of plastics and their substanti al 
impact, particularly in developing countries.  
2.156.   Barbadian pastries and coffee were offered by the Permanent Mission of Barbados, the 
International Institute for Sustainable Development and The Pew Charitable Trusts and a small 
exhibition of bamboo substit ute products brought by INBAR was organized. A more detailed 
summary of the meeting can be found on the website of the Dialogue.  
2.157.   Before closing, here is an overview of the next steps in the activities of the Dialogue. The 
next pre -plenary meetings are sche duled for 21 -22 September and 16 -17 November, respectively.  
The next plenary meeting is scheduled for 11 December and is expected to focus on the final vision 
for MC13. Once again, we invite delegations to send their first round of comments and suggestions  
on the coordinators' vision by 26 June 2023.  
2.158.   We are also glad to announce the extension of the AFT survey and the TrPMs survey 
deadline s to 28 July 2023. We call on Members to send their answers to these two surveys to allow 
having more detailed and compr ehensive data and analysis.  
2.159.   The work of DPP has continued with fervour since the last meeting of the CTE. Besides the 
second plenary meeting on 25 May, we have participated in hosting two events in collaboration with 
others since the last CTE. On 27 April,  in collaboration with the WTO Secretariat and  the United 
Nations Environment Programme ( UNEP ) Secretariat, we co -hosted a workshop on reduction and 
circularity to tackle plastic pollution.  
2.160.   The objective of the workshop was to provide a strong basis for di scussions in 2023 and help 
implement the call from the co -sponsors' Ministers to "look for concrete, pragmatic, and effective 
outcomes … at the latest by the 13th Ministerial Conference".  
2.161.   The workshop started with welcome remarks by DDG Jean-Marie Paugam a nd Executive 
Secretary of UNEP's  Intergovernmental Negotiating Committee (INC) Secretariat, Ms. Jyoti Mathur -
Filipp. After wards the  UNEP Secretariat shared its solutions to Plastic Pollution and the WTO 
Secretariat introduced a summary of contributions and  discussions held at the Dialogue covering the WT/CTE/M/78  
 
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  workshop topic s. The workshop was divided into two work -focused breakout sessions to discuss  four 
specific issues:  
i. types of trade measures most often used and best practices;  
ii. unnecessary or harmful plastics an d plastic products most targeted by trade policies, 
including single -use plastics and plastic packaging associated with international trade;  
iii. trade policies and practices requiring realignment with the objective of ending plastic 
pollution; and  
iv. criteria use d when prioritizing trade action on unnecessary or harmful plastics, plastic 
products and other goods.  
2.162.   In the workshop, WTO Members  and rel evant stakeholders, including UNCTAD, the 
World  Bank, the International Organization for Standardization ( ISO), the Basel, Rotterdam and 
Stockholm ( BRS) Conventions Secretariat, the International Institute for Sustainable Development 
(IISD), the Organisation for Economic Co -operation and Development ( OECD ), the Forum on Trade, 
Environment and the SDGs ( TESS), the Pew R esearch Center ( PEW), the International Union for 
Conservation of Nature ( IUCN), etc.  had a fruitful discussion and some WTO  Members  and 
stakeholder s also sent written submissions on the four questions.  
2.163.   This workshop gave us a good opportunity to have an o verview and sum  up discussions on 
this important workstream. Coordinators , with the help of the Secretariat , are preparing a revised 
Factual Summary of discussions on reduction and circularity to tackle plastic pollution , which will 
include this workshop 's discussions. We would like to invite delegations to have a look at the Factual 
Summary revision , which will be issued soon  as document INF/TE/IDP/RD/125 . 
2.164.   On 5 May, in cooperation with the WTO, UNCTAD and the BRS Conventions Secretariat , we 
held a side event of BRS CoPs on Sustainable Trade and Development Cooperation in support of the 
Basel Convention Plastic Waste Amendments Implementation. At this event, colleagues briefed 
delegates and participants of the BRS CoPs o n the relevant trade -related work taking place in the 
multilateral trading system (both in the WTO and UNCTA D) to help tackle plastic pollution.  
2.165.   For the next step, in this Environment Week, coordinators will host one event at 11:15 -12:45 
on Thursday, 15 June to brainstorm on a potential outcome of the WTO Plastics Pollution Dialogue 
for MC13. Invited speakers will briefly update participants on the progress of the WTO Dialogue and 
the ongoing UN INC  negotiations towards a legally bin ding instrument to end plastics pollution and 
its trade dimension. Coordinators of the Dialogue will share their views on a potential outcome of 
the Dialogue for MC13, including its skeleton, elements, annexes , and its synergy with other 
international proc esses and institutions including UNEP, the BRS Conventions, UNCTAD, and the 
World Customs Organization ( WCO), among others. All participants will be invited to share their 
views.  
2.166.   The Dialogue on Plastics is committed to openness, transparency, and inclusiv ity and 
meetings of the DPP are open to all Members whether they are co -sponsors or not. We call on WTO 
Members , especially co-sponsors, to voluntarily share information on your suggestions, experiences , 
and approaches to tackling plastic pollution.  
2.167.   Once a gain, an open invitation to all Members that are not yet co -sponsors of the Dialogue 
to join. We encourage you to join and we are happy to discuss anything related to the Dialogue 
further with you. For co -sponsors, if every co -sponsor c ould reach out to at least one non -co-sponsor 
Member at the WTO to support them to better understand the Dialogue, we will make tremendous 
progress before MC13.  
2.168.   Following this report, some delegations made  the following comments.  WT/CTE/M/78  
 
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  2.169.   The representative of  the United Kingdom  delivered the following statement:  
2.170.   First of all, congratulations and welcome to you, Chair, Ambassador Valencia for your first 
full meeting of the CTE and for kicking off what promises to be a fascinating Trade and Environment 
Week here at the WTO.  
2.171.   We would lik e to thank the coordinators of the Dialogue and other participant Members  for 
their hard work in deepening our understanding of how trade and trade -related measures might 
contribute to ending plastic pollution and promoting more sustainable plastics trade.  
2.172.   Already,  the group has the outline of a vision for outcomes at MC13 and beyond , which will 
hopefully translate discussion into outcomes. It offers a valuable  model and inspiration to other 
initiatives looking to make collective progress at the WTO and we invite as many Members  as possible 
to engage  with the Dialogue and to join us at Thursday's event . 
2.173.   We would like to also highlight that the UK, alongside 57 other countries of the High Ambition 
Coalition to End Plastic Pollution , has recently signed a far -reaching Ministerial Statement, published 
ahead of INC2, calling for ambitious provisions to be included in the future global plastic s pollution 
treaty  at the UN . 
2.174.   As the negotiations at the INC continue to ramp up this year, we would encourage trade 
policymakers and delegates to work closely with their environment counterparts to help better 
understand the trade implications and the possible contributions of trade policy towards this 
important ca use. 
2.175.   The representative of Jamaica  delivered the following statement:  
2.176.   Congratulations Chair on your appointment to the post. Jamaica thanks the Co ordinators  of 
the Dialogue on Plastics Pollution for their leadership and work on this important initiative. O n the 
heels of the recently concluded Second Session of the INC to develop a legally binding instrument 
on plastic pollution  (INC2),  Jamaica takes this opportunity to reiterate its commitment and support 
for both workstreams.  
2.177.   We are of the view that collec tively we must take ambitious, bold and concrete actions to 
reverse, remediate and address the global plastic pollution crisis. Jamaica therefore anticipates that 
as the INC negotiations advance within the environment al fora, that the DPP alongside the WTO  
monitors and contributes to the negotiations. We are hopeful that , in keeping with the spirit of 
multilateralism, a legally binding instrument will be mutually agreed by 2024.  
2.178.   We have taken note of the Zero draft of the Coordinators ' shared vision and ele ments for a 
potential MC13 outcome. The Zero draft has been shared with capital for review  and we hope to 
engage constructively in future discussion s on this critical matter.  
2.179.   The representative of Australia  delivered the following statement:  
2.180.   Australia  thanks China and Morocco for their update on behalf of the Coordinators of the 
DPP. As I think this house knows well, Australia  is a proud Coordinator  of the DPP, which now  has 
76 Members, representing the vast majority of trade in plastic.  
2.181.   Reflecting on the d iscussions that have happened in the last year, t here has been  significant 
progress and that is a fact that we are very proud of. I would like to thank particularly my 
coordinating colleagues  for their support in driving this and the facilitators and the Members for  
allowing such constructive engagement.  
2.182.   Recalling the Ministerial Statement  that Dialogue Members signed,  which  really kicked off 
the Dialogue's process and asked its Members to del iver "concrete, pragmatic and effective 
outcomes" , which leads us to where we are today and the Zero draft that was presented by 
Coordinators on outcomes that could possibly fall into the categories of deliverables for MC13.  
2.183.   The C oordinators ' vision  was an  attempt to capture and understand the discussions that 
have taken place to date and put them back to Members and, since the release of that Zero draft, WT/CTE/M/78  
 
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  Members have come back with additional further suggestions that are being integrated and 
incorporated i nto the vision and will hopefully form the basis of an outcome at MC13 . 
2.184.   There are a number of key areas that the Coordinators and the  Members have identified 
where we can make progress.  The first is quite simply the compilation of data and understanding  of 
the trade flows  of plastics, i.e. a greater understanding of how plastic is traded, how it ends up 
polluting our environment, where it is produced, and where it is traded. In that area, we are looking 
to coordinate with other organizations including the WCO to deepen our understanding of the issue 
so that we can address the problem . 
2.185.   The second key area is the identification of two particular trade policy groups of measures. 
The first group would be a group of trade measures that can promote the substitutio n or technologies 
that can support reduction of trade in plastics. The second is trade measures that can be adopted  to 
reduce  trade in plastic itself . 
2.186.   Following that identification of those potential groups of measures, there is a possibility, 
from Austral ia's perspective, that Members could come together to identify best practices and 
possible collective actions that Members could take to increase or speed up the update of such 
measures to ensure that we are addressing this problem  and particularly the tra de-related elements 
of this problem . 
2.187.   As has already been referenced by a number of my colleagues, the work of the Dialogue 
takes into consideration and account the very important international negotiations at the United 
Nations Environment Assembly ( UNEA ) to develop a legally binding instrument to end plastic 
pollution and aims to work collaboratively and consultatively with that process and ensure of course 
that there is no duplication, but also to recognize that trade has an important role to play here an d 
this house must be a part of that solution.  
2.188.   The representative of the Russian Federation  delivered the following statement:  
2.189.   I would also like to thank the delegations of Morocco and China for the provided updates 
regarding the work conducted at the DPP. We welcome the progress achieved so far within the 
framework of this initiative. We are committed to continue working towards getting a clear picture 
of all available relevant ways of how to tackle the plastic pollution, as well as their economic and 
environmental cost -effectiveness.  
2.190.   The representative of Japan  delivered the following statement:  
2.191.   Thank you to the delegations of Morocco and China for the updates of the DPP. Japan places 
great importance on the need to control plastic pollution. Some delegations pointed out that we 
must avoid duplication with international discussions and Japan would like to recall that, at  the 
second INC meeting held from the end of May to ea rly June to develop a legally binding international 
treaty on plastic pollution, the elements to be included in the treaty  were discussed, and the 
Chairperson of the INC was given a mandate to prepare a zero draft of the treaty by the third INC.  
2.192.   Japan appr eciates the deepening of studies and discussions in the DPP as well as TESSD 
while the work toward the formulation of the treaty  has been progressing. Japan attaches great 
importance to making the treaty  an effective and progressive framework involving all  countries, 
including large consumers and emitters of plastics, and will continue to lead the discussions . 
2.193.   The Ambassador of Chile delivered the following statement:  
2.194.   As this is my first statement, I would like to congratulate you on your election as the Chair 
and I am convinced that you have all the qualities necessary to fill this very important space. Chile 
is highly committed to this. Chile thanks the DPP C oordinators for its report.  
2.195.   In relation to the Dialogue on Plastics, we agree with the positive a ssessment of the plenary 
session on 25 May, since it offered a forum to look at the work carried out so far and start considering 
the next steps, including actions that could be agreed for MC13 that would allow further deepening 
of this work. Making progre ss in this Dialogue and common understanding will be very useful when 
it comes to contributing from the standpoint  of competence of this Organization, to the process of WT/CTE/M/78  
 
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  negotiating a global agreement on plastics that is being developed within the UNEA  framework . 
Plastic pollution is a challenge that must be dealt with multilaterally and trade also has to be part 
and parcel in the definitions that are being developed. It is important to be able to move towards a 
reduction in the impact of plastic on the envi ronment and to seek more sustainable substitutes.  
2.196.   We value the work carried out within the framework of this initiative, its inclusive  nature  and 
its contribution both to the treatment of trade and sustainability issues in this Organization and to 
the all-embracing global discussion of the fight against plastic pollution. The Dialogue has been 
fruitful and has allowed us to better understand and support the interchange of  the different areas 
related to plastic pollution and the environmentally sustainable t rade in plastics.  
2.197.   We hope to continue contributing to this Dialogue so that, from a trade  point of view, we 
can contribute to the fight against plastic pollution at a global level.  
2.198.   The representative of Ecuador  delivered the following statement:  
2.199.   When it comes to plastics pollution, it is impossible for Member states to address the problem 
of its adverse impacts on human health and the environment by acting alone . I am convinced, as 
we all are in this room, that we need collective action and global  standards on this topic . 
2.200.   Trade and development are something very important for the effective implementation of 
these measures , either through the regulation and control of international trade of different 
substances that are problematic or toxic or throu gh the creation of coheren t standards and 
harmonization in various border measures at the national, regional and international level. We will 
have to guarantee different sustainable solutions and access to the necessary technology.  
2.201.   Ecuador has shown consis tent leadership in the fight against plastic pollution in various fora. 
Ecuador is a member of the INC to work on an international binding treaty to end plastic pollution 
and, from December 2023, will be in charge of this negotiation process , which is curr ently under the 
charge of Peru.  
2.202.   Ecuador is a proud coordinator of the Dialogue on Plastic Pollution (DPP) , which consists of 
76 co -sponsors. I would like to thank Morocco and China for the report and the Secretariat for the 
work they have done to back up t he technical work. As mentioned, th ere have to be "concrete, 
pragmatic and effective contribution of trade to the global response to end plastic pollution ". 
2.203.   As mentioned by Australia, the UK and Jamaica, we must seek to improve cooperation and 
contribution s across the multilateral system . We have been working together with UNCTAD, the BRS 
Secretariat, UNCTAD, WCO,  the World Wide Fund for Nature ( WWF), TESS, the World Economic 
Forum ( WEF), the World Business Council  and other partners on a number of aspects.  
2.204.   The FAO has just shown important work on agricultural plastics  and, in addition, there are 
advances in the area of human health at WHO so we should be able to move forward to advance our 
Declaration and actions towards MC13.  
2.205.   Finally, I will not be repeati ng what my Australian colleague said regarding the vision for  
MC13, but I would like to call upon one and all  during this Trade and Environment Week  so that we 
can have a report when it comes to the current state of play of the INC negotiations and also th e 
trade dimension thereof and a report on the various guides that have been adopted in the area of 
plastics pollution. This was a very major breakthrough announced last month and many people have 
been working very hard to bring this forward.  
2.2.2   Trade and Envi ronmental Sustainability Structured Discussions (TESSD)  
2.206.   The representative of Canada , on behalf of the Coordinators of the Trade and Environmental 
Sustainability Structured Discussions (TESSD) , delivered the following update on the TESSD 
discussions : 
2.207.   It is a pleasure to be here to provide an update on the two latest meetings. In the March 
meetings, at the Working Group on Trade -Related Climate Measures, Members heard a presentation 
on carbon measurement standards and measures designed to l ead to a reduction in carbon emissions WT/CTE/M/78  
 
- 27 - 
 
  in the iron and steel sector.  Several Members took the floor to discuss implications of the proliferation 
of carbon measures, the importance of cooperation, and challenges faced by developing countries.  
Members had an  exchange on the development and implementation of trade -related climate 
measures.  
2.208.   In the Working Group on Environmental goods and services, Members heard from the 
Secretariat, LONGi Green Energy Technology Co. Ltd, and the International Solar Alliance.  
2.209.   Members then had a discussion about goods and services relevant to the solar energy 
industry. Members also took the floor to discuss bottlenecks and barriers to dissemination 
environmental goods. Some Members highlighted the need to expand the proportion of renewable 
energy and highlighted trade barriers. The International Solar Alliance presented on promoting 
access to and deployment of solar energy technology in developing countries.  
2.210.   In the Working Group on Circular Economy – Circularity,  Members discussed the role that 
trade and trade policies played in national strategies and policies to promote circularity in batteries. 
Some Members stated that trade played a key role in creating opportunities for battery recycling, 
and that trade policy could promote the  circular economy of lithium batteries to reduce the pressure 
on resources and the environment. Members also emphasized the need for focusing on upstream 
sectors like design for better traceability.  Presentations were given by the OECD, the National Trade 
Board of Sweden, Glencore and Contemporary Amperex Technology Co. Limited (CATL), Secretariat.  
2.211.   In the Working group on Subsidies, the presenters were the Food and Agriculture 
Organization, Paraguay, Brazil, and the EU. Members heard presentation s by the Fo od and 
Agricultural Organization on environmental effects of agricultural subsidies, and Paraguay spoke to 
good agricultural practices and programs under paragraph 12 of Annex 2 of the Agreement on 
Agriculture.  Brazil and the European Union presented their  experiences in promoting environmental 
sustainability in agriculture.  
2.212.   In the Working Groups of 10-11 May, the Working Group on Trade -Related Climate Measures  
heard presentations related to fertilizer production , including presentations from the Internatio nal 
Fertilizer Association, the OECD, and the WTO secretariat.  
2.213.   Members heard about carbon footprint and decarbonization pathways of fertilizer production, 
including ongoing initiatives, policies, and technologies.  They also heard about trends in fertilizer  
trade and approaches to and challenges with the measurement of emissions.  Members had an 
exchange on the development and implementation of trade -related climate measures and reviewed 
a document summarizing member practices in policy development.  
2.214.   The Working Group on Environmental Goods and Services  considered w ind energy and 
hydropower with presentations by Ernst & Young  and UNCTAD . Members discussed the significance 
of trade in goods and services for wind energy and hydropower projects. Members also highlighted 
challenges including supply chain bottlenecks and barriers such as inadequate transportation 
infrastructure, global supply c hain disruptions, technical regulations, and financing challenges for 
MSMEs . Facilitators presented a draft analytical summary of the discussions from the previous 
session  and Members had an opportunity to discuss.  
2.215.   In the Working Group on Circular Economy – Circularity , presentations on solar and wind 
energy were given by the Smart Prosperity Institute, IRENA, and Ørsted. Members heard about the 
trade -related circular economy aspects of wind and solar energy and about how to facilitate trade 
and develop reg ional eco systems for circular innovation, investment, and scale economies needed 
for the viability of recycling.  
2.216.   Ørsted presented its activities on circularity of wind energy projects and related trade 
aspects along its strategic circularity pillars  – design and supply chain (minimizing input material, 
increasing secondary inputs); late -life strategies (repair, reuse, lifetime extension); and resource 
recovery (increasing recyclability).  Members also heard an update on the exercise to map key trade 
aspects  of a circular economy . 
2.217.   Finally, the Working Group on Subsidies  considered subsidies related to transition to low -
carbon  econom ies with presentations by the IISD, China, the EU, and Canada.  Members shared their WT/CTE/M/78  
 
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  experiences on subsidy design, including envi ronmental effects and trade impacts in the design and 
implementation of such subsidies.  
2.218.   Looking forward, we expect to send a convening notice for the next plenary session.  As 
always, our plenary sessions are open to any Members  and we encourage all Members , whether or 
not co -sponsors , to come and hear in greater detail what Members have been discussing.  
2.219.   Following this update, some delegations made  the following comments.  
2.220.   The representative of the United Kingdom  delivered the following statement:  
2.221.   The UK woul d like to thank the coordinators, Canada and Costa Rica, and all the other 
co-facilitators of the informal TESSD working groups for their excellent work so far this year in 
convening a series of informative and productive sessions . 
2.222.   The UK has been active i n the informal working groups, with a presentation at the March 
session showcasing a new approach to building evidence around environmental goods and services; 
contributions on agricultural and industrial subsidies; and highlighting how standards and 
international decarbonisation efforts can promote low -carbon  trade.  
2.223.   We would like to draw Members ' attention to some recent papers that the UK has tabled 
under the Environmental Goods and Services  (or EGS) workstream, noting also that there is overlap 
with the circular economy workstream too.  
2.224.   One of these papers features examples from solar photovoltaic ( PV) module manufacturing 
and one paper on the lifecycle of an offshore wind farm (with accompanying annex) contains a 
summary of analytical work on value chain analysis for these important renewable technologies.  
2.225.   We believe this analysis will help us better understand: which goods will be most important 
to help us achieve environmental objectives and what services enable them;  what barriers are 
limiting the  dissemination or uptake of trade in these goods; and  what steps can be taken to alleviate 
these barriers.  
2.226.   This analysis should help  better understand the links between goods and services;  identify 
relevant non -tariff barriers for input and intermediate pr oducts;  and consider ways to expand 
existing developing country participation in these value chains.  
2.227.   The March non -paper also contains ideas on how the TESSD working group on Environmental 
Goods and Services can be organi zed to help build our shared eviden ce base, orienting ourselves on 
agreed environmental objectives and sub -sectoral areas of the environmental economy.  
2.228.   We would encourage Members to share these papers with their relevant experts in capitals, 
who might find these insights useful when thinkin g about nascent issues at the intersection of trade, 
industrial, and environmental policies, as well as capacity building and investment. We would 
encourage Members to share their ideas for how to further build and deepen our evidence base on 
this topic. T hey are uploaded unrestricted to the WTO documents portal under documents 
INF/TE/SSD /W/23 , INF/TE/SSD /W/26 , and INF/TE/SSD /W/26/Add.1 . For any Members interested 
in discussing in further depth, we are always happy to do so.  
2.229.   The Ambassador  of Chile delivered the following statement:  
2.230.   In relation to TESSD, we would like to thank the various speakers for their important reports 
and the value of the opportunity that the initiatives have  provided to exchange experiences and 
visions on relevant issues in the relationship between trade and sustainability.  
2.231.   In this  sense, we believe that the thematic sessions that have been held within the 
framework of the informal working groups have allowed us to deepen our understanding of the 
different aspects related to trade in respect of these matters.  
2.232.   We c onsider the role of  this Committee as a forum for ongoing  dialogue on trade and 
environmental matters  and we find it extremely valuable when it comes to  the collaborative work WT/CTE/M/78  
 
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  that has been carried out  in this initiative. The inputs that have been made  in these dialogues can  
undoubtedly help to strengthen the work in this Committee and with them promote areas of 
cooperation and possible mandates to deepen said work. Chile has consistently participated and 
hopes to continue contributing to both the dialogues and the work of th e Committee , so count on 
our support for this.  
2.233.   The representative of the Russian Federation  delivered the following statement:  
2.234.   As regards the TESSD, we have already mentioned multiple times on various occasions that 
these discussions lack transparency and inclusiveness. If the discussions truly aim to achieve 
tangible results, there is no place for a selective attitude to the Participants, which our delegation is 
facing at the TESSD.  
2.235.   Along with that, I would like to remind Costa  Rica and Canada that we have  informally 
submitted a few written questions regarding substantive elements of the pre -plenary meeting that 
took place in October 2022, but received no feedback . 
2.236.   Concluding my remarks, we urge the coordinators to ensure inclusiveness of the work 
conducted  within the framework of this initiative . 
3  MEMBERS' SUGGESTIONS AND PROPOSALS  
3.1  Report on CTE Chair's consultations  
3.1.  The Chair reported on the two consultations he conducted after the March CTE. In April, he 
met some 20 Members bilaterally and last week he organized an informal small group consultation 
with Members submitting proposals on improving the functioning of the CTE to hear their views on 
the next steps for their submissions.  
3.2.  The Chair shared some emerging common trends from the April bilateral cons ultations. First, 
recognizing the important function of the CTE as a unique forum to exchange information on 
trade -related environmental measures, as stated in the MC12 outcome, Members expressed their 
interest and willingness to try thematic discussions o n a wide range of topics, including those that 
are of particular interest to Developing Members and LDCs.  
3.3.  Second, to support the thematic discussions, the idea of a Q&A mechanism was explored with 
a healthy caution that: (i) no Member should be targeted; a nd (ii) that there should not be any 
duplication with other similar processes taking place in other Committees.  
3.4.  Third, as per the CTE's relationship with others, be it either other international organizations, 
other WTO Committees, or TESSD/DPP/FFSR, more interactions were regarded as useful, although 
"how" to be more interactive in an efficient yet substantive manner was a key question that remains 
to be explored.  
3.5.  These were the three main outcomes from the April consultations.  Following the constructive 
bilateral consultations, the Chair was encouraged to hold another set of consultations on 
7 June – this time with those Members who put forward their written ideas and presentations: China, 
Colombia, EU, India, South Africa, United Kingdom, and Paraguay.  
3.6.  The Chair thanked these Members for putting serious thought and resources into the issue of 
revitalizing this Committee.  
3.7.  The purpose of such an informal small group meeting was to collectively pave a way to seek 
synergies among the various proposals and idea s on the table. The Chair noted that he was pleased 
to find commonalities among approaches. He found positive agreement on the idea of having an 
open-ended meeting for reflection, at a technical level and in a suited format, before the summer 
break.  WT/CTE/M/78  
 
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  3.2  Consid eration of recent proposals and next steps 
3.8.  The Chair opened the floor to those Members who had put forward the proposals. He noted 
that South Africa had recently joined India's written submission, hence, the document had been 
recirculated under JOB/TE/78/Rev.1 . Furthermore, the United Kingd om had submitted a new 
communication on 1 June titled "Revitalizing the Committee on Trade and Environment"  and China 
had submitted a communication, JOB/TE/81 , in connection with its written proposal . 
3.2.1   China (WT/CTE/W/251  and JOB/TE/81 ) 
3.9.  The representative of China  delivered the following statement:  
3.10.   It is my pleasure to give a brief introduction on China's communication of "Further Elaboration 
on Dedicated Multilateral Discussions on the Trade Aspects and Implications of Certain 
Environmental Measures".  
3.11.   In March 2023 ，China submitted a proposal for dedicated multilateral discussions on certain 
environmental measures that have a significant impact on trade pursuant to the MC12 mandate. On 
the basis of this proposal, the communication further elaborates on some of China' s specific ideas 
for implementing the outcome of the MC12 and for dedicated multilateral discussions, taking EU's 
CBAM as an example.  
3.12.   The EU CBAM is the first border carbon adjustment measure with global impact introduced by 
a major WTO member. It extends the EU -ETS to imported goods, by way of imposing a surcharge 
on imports based on their associated carbon emissions, at a price determined by the EU -ETS. Such 
kind of measures will have a significant impact on international trade and merit dedicated discuss ions 
under the CTE pursuant to the MC12 mandate. For further elaboration, We propose the dedicated 
multilateral discussions should be along the following perspectives:  
1. The basic operating mechanism, focusing on the underlying methodologies.  It is 
method ologically challenging to attribute carbon emissions by facilities to different types of 
products in a fair and reasonable way. The complexity of the EU -ETS further exacerbates this 
challenge. In this regard, academics in China identified several high -level issues, including the 
delimitation of system boundaries of the production processes and the criterion to include 
precursors, the methodology for calculating free emission allowance for CBAM products (for 
illustration, see Appendix 1). Another fundamental  issue relates to the so -call "carbon 
leakage". How to objectively quantify such risks and properly distinguish their effects from 
that resulted from economic development, energy transition and other structural or cyclical 
elements?  
2. The policy design, f ocusing on elements of implementation.  An in -depth 
information -sharing could be useful. In addition to the multiple elements and steps, the 
complexity of the policy design lies also in the need to bridge different regimes, including the 
coordination of the  CBAM with the EU -ETS, and the interface between the EU regime and other 
members' emission control regime in the process of its extra -territorial application. In 
interfacing different measures in different jurisdictions, issues that remain to be discussed 
multilaterally include: how to reflect principles such as transparency, cooperation, 
proportionality and trade facilitation in the CBAM regulation and its implementing acts.  
3. Environmental effects, focusing on the contribution of the measure to the intended 
environmental objectives.  For example, information could be shared on CBAM's 
contribution to the EU's obligation under the Paris Agreement in general and, more specifically, 
to its nationally  determined  contributions (NDCs).  
4. Trade impacts, focu sing on the overall impact on international trade and potential 
impact on developing countries. Academics in China have done some exploratory 
researches on channels of its trade impact. For detailed information, please refer to the online 
access in the com munication documents. The research preliminary findings indicate 
two channels of trade impact: firstly, the level of carbon price, that is, members that have 
lower domestic carbon prices will likely face higher carbon tariff; secondly, the export 
structure , that is, members that export a greater share of carbon -intensive products will likely WT/CTE/M/78  
 
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  face stronger shocks. The trade impact of the CBAM can be measured in two steps. The first 
step is the micro -economic and sectoral impact, an analysis based on the poli cy design of the 
measure. The second step is the macro -economic and global impacts, an analysis based on 
modelling. In addition to increasing costs to EU downstream sectors, preliminary studies 
suggest that the extra -territorial economic costs of the CBAM are mainly borne by developing 
countries. Furthermore, should an exclusive carbon club be formed along with the CBAM, the 
output and welfare of developing countries could incur greater losses and the global trade 
could experience a notable decline, leading  to greater trade distortions and global inequality. 
These major policy issues need to be further discussed at the WTO.  
5. Inclusiveness, focusing on how the measures could be implemented in a more open, 
non-discriminatory and non -arbitrary manner.  The UNFCCC explicitly states that 
"measures taken to combat climate change, including unilateral ones, should not constitute a 
means of arbitrary or unjustifiable discrimination or a disguised restriction on international 
trade." In the case of the CBAM, we think some questions remain to be discussed.  
3.13.   We note that the EU intends to launch a global information campaign and are looking forward 
to in-depth multilateral exchanges with the EU in the subsequent EU law -making process. We also 
would like to encour age Members to join the discussion.  
3.14.   As trade and environment measures become increasingly intertwined, more environmental 
measures could arise. These environmental measures may have a significant impact on international 
trade, supply chains, development an d climate change, and should be the subject of dedicated 
multilateral discussions. In light of this, it is suggested that:  
3.15.   Firstly, dedicated multilateral discussions be held with respect to specific environmental 
measures that could significantly impact t rade;  
3.16.   Secondly, discussions should be carried out in a structured manner, covering 5 parts at the 
initial stage, i.e. the basic operating mechanism, various elements of policy design, environmental 
contribution, trade impact and the inclusiveness of the me asures;  
3.17.   Thirdly, when topics have been identified, members implementing the measures are 
encouraged to submit written reports that include information related to the 5 parts above; and 
members affected are encouraged to submit pertinent questions or studie s along similar dimensions. 
A working program would be set up to facilitate such dedicated multilateral discussions.  
3.18.   Finally, I would like to thank the EU for its informative presentation about the Green Deal this 
morning and we are looking forward to the seminar on Wednesday. We consider the CTE as a 
platform to enhance transparency and inclusiveness for Members to share information and have 
discussions. We hope that the discussions at the CTE will be informative, evidence -based and 
well-structured with th e view of enhancing, understanding and promoting cooperation.  
3.2.2   United Kingdom (WT/CTE/W/252)  
3.19.   The representative of the United Kingdom  delivered the following statement:  
3.20.   It is my pleasure to present the paper by the United Kingdom on revitalizing the CTE. Trade 
has a powerful role to play in tackling the triple planetary crisis of climate change, biodiversity loss 
and pollution  and, as outlined in the recent World Trade Report, improving the ambition and 
effectiveness of climate and environmental action requi res greater international trade cooperation 
at the WTO.  
3.21.   This starts at the CTE, which is our main hub for promoting common understanding on the 
trade and environment nexus. It is vital that we get these discussions right – time is only ticking on 
the envir onmental crises we face.  
3.22.   For that reason, the UK submitted a paper, inspired by other Members ' papers and our 
discussions in March . The paper focuses on h ow we can revitalise the deliberative function of the 
CTE to make it work for all Members  (document nu mber W/252). The  paper contribute s to and align s WT/CTE/M/78  
 
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  with a wider effort on WTO reform, and complement s the proposals on improving the operations of 
WTO bodies as presented by the UK and 17 other co -sponsors at May 's General Council.  
3.23.   The paper f irstly proposes  that we should consider practical steps to improve efficiency and 
inclusivity, including through the use of more detailed annotated agendas, e Agendas , and agenda 
closing dates.  
3.24.   To maintain a steady rhythm of meetings and help Members  plan in advance, the UK also 
suggests defining a forward look of meetings at the start of each year, or perhaps at the end of the 
previous year, that should be consistent from year to year. Papers should be submitted well in 
advance, and guiding questions could be used to fram e more discussion -based agenda items.  
3.25.   Most importantly, we should try to improve the quantity and quality of genuine dial ogue and  
back and forth discussion with more rigorous analysis of emerging policy and evidence. We want to 
move beyond surface -level st atements into something deeper and more useful for Members . 
3.26.   This could start with 'thematic sessions ' alongside the regular meetings of the CTE – modelled 
for example on the TBT thematic sessions. Rather than a checklist, these could be generally framed 
against some common aims such as:  minimi zing trade frictions on environmental trade ; identifying 
best practice at national and international level ; considerations for distributing support in a fair and 
equitable way ; and unlocking trade in the green industries of the future ; among others . 
3.27.   The discussions should be thematic and constructive rather than litigating against specific 
measu res Members are taking. S ome ideas for future thematic sessions could include:  sustainable 
supply chains and biodiversi ty; use of environmental subsidies ; approaches to carbon leakage ; the 
circular economy ; and building climate -resilient economies . These are some initial suggestions and 
we would w elcome Members ' views on these topics, including on what the first potential session  
could be . 
3.28.   We should also be leveraging expertise from other fora, including through closer join -up with 
other WTO bodies – inviting experts to speak and possibly doing joint sessions between the CTE and 
other committees.  
3.29.   Finally, we must make bette r use of expert stakeholders, who can provide impartial and 
objective views on the trade and environmental impacts of certain trends and measures, and 
generally provide commentary and analysis to enrich discussions.  
3.30.   We would welcome further discussion amon gst Members , and we hope that it complements 
some of the other suggestions put forward by Members  at the March CTE.  
3.2.3   Paraguay  
3.31.   The representative of Paraguay  delivered the following statement:  
3.32.   I take the opportunity to join other delegations in congratulatin g you for your first formal 
meeting as Chair of this important Committee and to express our full support.  
3.33.   Regarding Paraguay's proposal, we did speak on our submission in the last formal meeting of 
the Committee and we plan to circulate it shortly. Our proposal aims to enhance participation of 
developing and least developed countries in this Committee's work, particularly those with limited 
human resources such as our own, reducing the burden of making submissions on its measures and 
limiting consultatio ns to those submissions made by other Members.  
3.34.   The proposal seeks to create a similar mechanism to the Q&A mechanism that exists, for 
example, in the Committee on Agriculture, which is aimed at facilitating experience -sharing. We 
would like to underline th at this does not necessarily need to have a negative connotation; on the 
contrary, these shared experiences can provide tools for the design and implementation of 
environmental measures with an impact on trade. Although many of the measures that we could 
discuss or about which we could have questions are already discussed in other Committees, each of 
these Committees has a specific approach which is distinct from the environmental approach that is 
the focus of this Committee. For example, in Agriculture, en vironmental programmes notified given WT/CTE/M/78  
 
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  the requirements of the A greement on Agriculture are seen from a trade -distortion and production -
distortion perspective instead of their positive or negative environmental repercussions.  
3.35.   We would also like to point out  that we believe that these possible Q&As that may be a part 
of this Committee in principle do not require a new mandate, given that they fall within existing 
agenda items, be it paragraph 32(i) of the Doha Ministerial Declaration or the Transparency of Trade 
Measure s, which is item 4 of the CTE work programme.  
3.36.   Nonetheless, we will circulate a proposal that outlines a mechanism with deadlines for 
submitting questions that provides sufficient time to Members who are to reply to gather the 
information and to have responses ready for the meetings and possible follow up.  
3.37.   We again apologise for not having a proposal ready to circulate but I think this is a good 
example of the burden on small delegations to try to actively participate in our dis cussions. Thank 
you and we will circulate the document soon.  
3.2.4   Colombia (RD/CTE/221)  
3.38.   The representative of Colombia  delivered the following statement:  
3.39.   Thank you to the delegations of China and India for their submissions. I will make a statement 
on these sub missions later in this meeting, but I will now speak to our own submission.  
3.40.   In a changing world, we face global challenges that require a joint approach. Climate change, 
biodiversity loss , and pollution threaten our planet and its capacity  to support life.  It is time to act 
and to harness the opportunities before us . This Committee is one such opportuni ty. 
3.41.   International trade plays a fundamental role. It can drive economic growth, foster innovation, 
and improve the quality of life for people around the worl d. However, it must also be compatible 
with the environment and our commitments to sustainable development.  
3.42.   Given the urgency of the climate crisis, several governments are exploring trade policies with 
climate objectives. These measures are legal hybrids,  based on climate law, environmental law and 
international trade law, as well as the principles of public international law and internationally agreed 
sustainable development commitments. This is where our proposal comes into play. 
3.43.   It is important to consi der these principles simultaneously and consistently  when designing 
and implementing trade -related climate measures , as mentioned by China and India – principles 
such as that of cooperation, and that of common but differentiated responsibilit ies, among oth ers. 
So it is worthwhile having a discussion about these. This gives us the opportunity to build a future 
where trade and the environment work in harmony.  
3.44.   In the side event that we will host this Wednesday at 16:30 pm, we will have the participation 
of lead ing academic experts from Africa, the Caribbean and Europe, who will share their vision on 
the principles of environmental law and their relationship with trade. These academics are part of 
an international group of experts established to identify well -established and recognized principles 
in international law that are relevant to both climate change and trade. Their knowledge and 
perspectives will help us to understand how to move towards a low -carbon  and green economy.  
3.45.   Findings derived from this discussio n will allow us to address more constructively and 
consistently all the measures that are discussed, including a number of them discussed here today. 
We should also move towards a mandate of voluntary guidelines for policymaking, which should be 
taken into  account by all Members.  
3.46.   It is in this world where we have an opportunity to take a bold step towards a sustainable 
future  – a future where  trade and the environment come together for the benefit of present and 
future generations.  WT/CTE/M/78  
 
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  3.2.5   European Union (WT/GC/W/864)  
3.47.   The representative of the European Union  delivered the following statement:  
3.48.   I will try to be brief given that we have already presented  our proposal at the March meeting 
and it has also been discussed in a broader context of the General Council, because our proposal 
looks at reinvigorating the liberation function of the WTO as a whole and focuses on several areas. 
Environment is only one of them.  
3.49.   Just to briefly give a few bullets on the key proposals in our paper: one is to reinforce the 
liberation function of the CTE through more transparency and dialogues on the policy measures that 
Members are taking. When we speak about this, it is ab out engaging in the early stages of 
development and sometimes, for example, during a discussion or comparison of several Members 
tackling the same environmental problem, we could actually see what the different choices are that 
Members are taking.  
3.50.   A second  part of our proposal includes more thematic discussions. We have heard there is a 
lot of interest in that area of work that this Committee would like to take. From our perspective, we 
have put forward some ideas of what thematic areas would be. For the EU , we believe that one of 
the discussions that could be put forward is the discussion on methodologies for calculating carbon 
content of internationally traded goods. We saw interest in that in the context of our CBAM proposal, 
but the idea here is that the  more international cooperation we have on these methodologies the 
least fragmentation you are going to have in the future. So we see a merit in this Committee 
discussing this topic.  
3.51.   We would also like to see more discussions on positive and negative effec ts of subsidies on 
the environment. We also see an interest in having more interaction between the different 
Committees, as we think has also been highlighted by the UK. For example, the TBT Committee is 
one of those that has been mentioned most by other M embers.  
3.52.   Another important element of our proposal is that we want to make sure that developing 
countries are participating in this dialogue in the Committee , but that we are cautious about their 
capacities to take part . So we would of course also be happy to hear from their perspective how we 
could actually help with their participation in this Committee. I think that summarizes the key 
elements of our proposal and we are happy to hear views on how to take it forward.  
3.2.6   India and South Africa (JOB/TE/78/Rev.1 ) 
3.53.   The representative of South Africa  delivered the following statement:  
3.54.   Our joint submission raises pertinent issues. The links between trade and environment are 
multiple, complex and important, and a core dilemma is ensuring stricter environmental rules are 
not unilateral and do not create competitive disadvantages, or negatively affect countries. Currently, 
what we are witnessing is that the growing pressure for new rules and agreements that meaningfully 
consider sustainable developme nt and trade is challenging multilateralism at the WTO.  
3.55.   We note that some Members are adopting unilateral trade measures in the guise of addressing 
environmental concerns. Several such measures are highlighted in the submission. The climate 
agenda should n ot be used to advance protectionist economic interests nor to limit foreign 
competition.  
3.56.   Unilateral trade measures undermine the basic principles of common but differentiated 
responsibility and equity. Unilateral trade measures can also have distortive eff ects on international 
trade and restrict the market access of developing countries and LDCs in developed countries. In 
addition, unilateral measures can have an adverse impact on economic and social development and 
poverty eradication in developing countri es, diminishing their prospects for development. 
Furthermore, the use of WTO -incompatible trade measures will simply lead to a change in trade 
patterns with no significant reduction on emissions, will lead to tit -for-tat trade restrictions, and may 
lead to  justified WTO -legal retaliation by affected countries.  WT/CTE/M/78  
 
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  3.57.   Given the importance of global environmental challenges, this is an opportune time for the 
CTE to invigorate the necessary political will amongst Members to discuss these more difficult 
environmental issues and concerns raised in the submission and discuss them in a manner that fits 
countries' needs and priorities, and this includes discussions taking place within a sustainable 
development framework that better suits the long -term interests and needs o f developing countries.  
3.58.   The following principles we believe should underpin the discussions:  
i. A global response and global cooperation is essential to respond to the challenges of 
climate change.  
ii. Measures to address climate change must be founded on and res pect the principles of 
Common but Differentiated Responsibility (CDBR) and polluter -pays.  
iii. Trade measures to address climate change should not be unilateral, arbitrary or 
discriminatory.  
iv. They should not constitute new forms of protectionism or be designed t o create new 
competitive advantages for just some Members.  
v. To safeguard development and strengthen the legitimacy and effectiveness of global 
responses requires a common commitment to subject such measures to multilateral 
dialogue that takes into account t he interests and concerns of all WTO Members, 
especially developing countries.  
3.59.   Chair, we look forward to further engaging on this submission.  
3.60.   The representative of India delivered the following statement:  
3.61.   I will speak about India's paper first and then com e back with comments on other papers.  
3.62.   We thank the WTO Members hip for the staunch support on the ideas presented in this paper 
in the last CTE meeting as well as in the various bilateral engagements. We now welcome South 
Africa as a co -sponsor for this pap er. The growing engagement on this paper reflects the common 
sentiment in the WTO that environment measures should not be used as trade -limited non -tariff 
barriers.  
3.63.   The ideas that we see coming up in this domain pose three key risks.  Firstly, if WTO Member s 
continue to enact their own environment - and climate -related regulations, it may lead us to the path 
of trade fragmentation. When there are multiple border carbon adjustments or forestry -related 
legislations in place, often not compatible or equivalent a nd characterized by new bureaucratic 
requirements specific to each version, there is bound to be trade disruption.  
3.64.   Secondly, the worst impact of these measures will fall upon the very groups  that the 
proponents of such measures seek to protect in other WTO  discussions. The MSMEs who may actually 
be exempt under some national legislations from following these measures will now be subject to 
onerous paperwork and procedural requirements while exporting to the markets implementing 
adjustment measures. This sit uation is a double whammy in that it is a breach of national treatment 
and it is also highly trade -restrictive in design. Women, who form a large part of the agricultural 
workforce , will be negatively hit due to the various proposed trade -restrictive measu res related to 
deforestation and other measures like the use of  maximum residue levels ( MRLs) for environmental 
goals.  
3.65.   Thirdly, all environment measures should take into account the principles of common but 
differentiated responsibility and respective capabilities. These principles are part of settled 
international environment law. We look forward to the view of proponents  of environment -related 
trade measures to explain how this is being factored in.  
3.66.   The following delegations  made comments  on the proposal documents . WT/CTE/M/78  
 
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  3.67.   The representative of Congo , on behalf of the African Group , delivered the following 
statement:  
3.68.   The African Group thanks all Members  who have made submissions under this agenda item. 
These ideas translate Members' willingness to advance the work of this Committee, in accordance 
with paragraph 14 of MC12 Outcome Document . 
3.69.   Regarding the EU's communication, the Afr ican Group takes note of such communication and 
it understands that sustainable development is important and that it includes environmental 
protection. However, it must be carried forward in a multilateral fashion, consistent with the 
respective needs and concerns of countries at different levels of economic development.  
3.70.   The African Group welcomes the suggestions made by the EU to promote transparency 
through deliberations on trade -related climate measures within the CTE.  
3.71.   The Group believes that it is impor tant to note that the issues discussed , and likely to be 
pursued in the short and medium -term within the framework of the CTE, could have considerable 
repercussions  for developing countries. It therefore welcomes the EU's suggestion  to offer technical 
assistance to developing countries and LDCs to help them better participate in the discussions . 
3.72.   This Committee must therefore work on matters of importance for developing countries, 
where environmental pressures continue to increase and can limit  market access  for these countries.  
3.73.   As to India and South Africa's submission, the African Group takes note of the communication 
from these two countries and it shares the concerns expressed, particularly on the fact that 
environmental measures that are unilaterally applied harm exporters in developing countries and 
LDCs.  
3.74.   The best way to advance discussions on sustainable development at the WTO is to fully respect 
not only th is Organization's  rules but also the concepts, principles and commitments undertaken in 
other fora . 
3.75.   This is why the African Group considers t hat this doc ument highlights the  fundamental 
principles, such as the principle of C ommon but Differentiated Responsibilities  – a principle that our 
Group has always defended in this Committee, as well as its application.  
3.76.   The representative of Kenya , on behalf of the A CP Group , delivered the following statement:  
3.77.   I make this intervention on behalf of the ACP Group  and take this opportunity to congratulate 
you on your assumption of the captaincy of the CTE ship . 
3.78.   The ACP Group is looking forward to the policy and expert -led discussions that will follow 
during this WTO Trade and Environment week, bringing together a wide variety of speakers ranging 
from governments, international organisations, and civil society. These discussions must be 
encouraged in view of reinvigorating  the work of the CTE. The complexity of tackling the triple 
planetary crisis of pollution, biodiversity loss and climate change requires input, engagement and 
collaboration among all stakeholders to clearly identify the contribution of trade, more particul arly 
the WTO in addressing the crisis. Governments and countries alone cannot single -handedly provide 
all the answers and solutions to the most pressing issues.  
3.79.   We hope to be able to draw insights from the various panel discussions that will be conducted 
during the Trade and Environment Week. In particular, the Organisation of African, Caribbean and 
Pacific States ( OACPS ) and the European Union will be hosting a joint panel on 15 June on "Balancing 
environmental and climate change mitigation measures and su stainable development efforts ". 
3.80.   We wish to underscore the need to prioritize human welfare on the path to achieving 
sustainable development. We must bear in mind that , albeit powerful, trade constitutes but one 
element in the toolkit available to policymak ers. As our colleagues, India and South Africa highlight 
in their communication, financial assistance, technology transfer and capacity building are equally 
important elements in supporting developing and least developed countries to achieve their goals WT/CTE/M/78  
 
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  under the Paris Agreement. We need to preserve the delicate balance of rights and responsibilities 
that have been carefully and painstakingly crafted in existing environmental and trade law regimes.  
3.81.   We take note of the constructive suggestions made by the EU  in their proposal to foster 
transparency through deliberations on trade -related climate measures within the CTE.  Such 
discussions would encourage much needed cooperation and provide an opportunity for trading 
partners to be able to comment on proposed mea sures prior to their entry into force. Here we would 
encourage framing the discussions not only as addressing measures that are beneficial or harmful 
to the environment, but also their impact on development and more specifically on prospects of 
achieving s pecific Sustainable Development Goals (SDGs). Indeed, we must be mindful that while a 
particular trade -related climate measure may be designed in a way that achieves one country 's 
environmental objectives, it may produce unintended consequences for trading  partners such as 
increasing compliance costs in relation to licenses, certifications, standards for key export related 
products linked to agricultural goods.  These must be handled in a manner to mitigate the trade 
impact while at the same time take proact ive steps to achieve our common objectives.  
3.82.   We welcome the EU 's constructive suggestions to offer technical assistance to developing and 
least developed countries to help them better participate in the deliberations within the CTE. Such 
assistance could be  of value in supporting environmental agencies on the ground in developing and 
least developed countries to articulate the value and evidence related to their environment protection 
efforts. It is particularly important to support mutual recognition of env ironmental practices and 
especially take into consideration the historical efforts of developing and least developed countries 
in promoting environmental conservation.  
3.83.   Indeed, there is a need to support developing and least developed countries gather data and 
create models on their environmental conservation efforts that predate contemporary discussions 
given that benchmarks established today do not capture the full picture of the historical impact of 
economic activity in developing and least developed coun tries. For instance, some developing 
countries already put in place land conservation to promote biodiversity back in the 1960s. Such 
efforts need to be recognized in today 's discussions, but in the absence of solid data gathering 
systems it is more difficult to convey the value of such action.  
3.84.   With regard to the conduct of thematic discussions, the format and substance would need to 
reflect the priorities and needs of developing and least developed countries. We would welcome the 
appointment of a fac ilitator to ensure that the views expressed by our Group are reflected in those 
discussions.  
3.85.   The ACP Group will revert back on a possible menu of themes of interest to us. As a 
preliminary consideration, we see value in identifying ways to unlock green ind ustries of the future 
as highlighted by the United Kingdom. Here we would call for facilitating access to key technologies 
in doing so as noted by India and South Africa. Synergies could be created in the discussions on 
trade and technology transfer.  
3.86.   We se e merit for the entire Membership to engage in discussions on principles and parameters 
to guide our deliberations within the CTE.  Such principles can support us in framing discussions in a 
balanced manner, while providing a common reference to address exi sting and emerging trade -
related environmental policies. We look forward to the views and suggestions of Members in 
articulating a way to deepen the dialogue on this fundamental dimension of our work.  
3.87.   The representative of the Russian Federation  delivered the following statement:  
3.88.   I also would like to thank the delegations which have tabled their proposals and to provide 
brief comments to some of the considered documents. As regards the paper of China, we believe 
that its implementation would improve the wor k conducted at this Committee through structuring 
and guiding ongoing discussions dedicated to the so -called environmental trade measures. 
Conceptually, we do support the efforts taken by China.  
3.89.   However, I would like to emphasize that the definition of tra de-related climate or 
environmental measures has not been identified or agreed by Members yet. Moreover, a great 
number of unilateral measures are doubtfully contribute to the achievement of their declared 
environmental purposes while having a clearly prot ectionist measures.  WT/CTE/M/78  
 
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  3.90.   Overall, we find the proposal helpful in finding a common understanding on how to address 
climate -related challenges, the ways to promote sustainable trade , and how to avoid negative 
economic impacts followed by their implementation. We  continue to study its elements in detail.  
3.91.   As regards the EU 's paper, I note hereby that , while the WTO should play its role and 
contribute to combating climate change, the path and measures listed in the communication such 
as the CBAM or regulation on def orestation -free products are not appropriate. Those measures 
mostly aim to protect domestic economic operators from external rivals so that the EU could increase 
competitiveness of the domestic industries . These measures may undermine the multilateral trad ing 
system and have a negative impact on sustainable supply chains and traditional trade flows.  
3.92.   In its communication, the European Union stated that it is planning to continue providing 
information at the regular CTE meetings regarding pieces of legislatio n implementing the Green Deal 
for enhancing transparency. Indeed, we appreciate openness and intention to be transparent in this 
field. However, the actions proposed by the EU are nothing but an attempt to confuse Members in 
order to justify breaches of th e WTO rules while ignoring the effective instruments which would not 
be harmful to trade and could be applied instead.  
3.93.   We believe that the measures mentioned in the EU document should be scrutinized at the 
market access related WTO working bodies, includin g the CTG and the Committee on Market Access , 
in the first place. T he trade-restrictive nature of these trade policy instruments and their potential 
incoherency with the principles and provisions of the global arrangements on combating climate 
change, incl uding the UNFCCC and the Paris Agreement, unfortunately do not allow us to define 
them as measures aimed at protection of the environment.  
3.94.   Regarding the paper tabled by India and South Africa, the document, in major, is centred  
around the measures implemen ting the European Green Deal, but we do believe that t he problem 
is much deeper.  
3.95.   First, following the example of the EU, one Member has launched the internal procedures to 
develop and further implement its own border carbon adjustments under the pretext of  tackling 
carbon leakages, despite the fact that globally this issue has not been confirmed yet neither 
scientifically nor from the economic perspective.  
3.96.   Second, some other Members have made a decision to apply import -substitution subsidy 
policies in order  to eliminate the competition from their external rivals and to deploy domestic 
capacities for the production of electric vehicles and alternative energy.  
3.97.   Third, the situation mentioned above will lead to nothing but aggravating the fragmentation 
of trade policies, which will not improve but undermine the Multilateral Trading System.  
3.98.   As regards the UK 's document, we consider it a generally interesting contri bution, but still 
have to consider how to comment on it. 
3.99.   First, the UK recommends to consider defining a forward look of meetings at the start of each 
year and tabling papers for discussion in advance. We believe that these recommendations are 
excessive an d ineffective due to the rapid development of the climate agenda. Besides, it looks like 
imposing additional procedural obligations to be taken by Members , which does not seem to 
acceptable, at least now.  
3.100.   Second, as regards the use of guided questions, I would like to note  that this endeavour  
may just duplicate the work carried out at the Trade Policy Review.  
3.101.   Third, the promotion of substantive engagement on trade and environment issues in the 
CTE, the UK encourages us to launch dedicated them atical session s on various environmental 
aspects. I would like to remind everyone that some areas for possible discussions at those sessions 
suggested are beyond the competence of the WTO and will just duplicate the work conducted by 
other international or ganizations. Besides, t he definition of other points, such as green subsidies, 
requires to be further identified before we may proceed with any dedicated deliberations on this 
topic. Regarding carbon leakages, dear colleagues, I have already provided my co mments on this 
issue, which are completely relevant to the UK 's document, as well.  WT/CTE/M/78  
 
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  3.102.   As for leveraging expertise from other fora, we consider it acceptable, but speaking about 
the external organizations, the cooperation should be conducted with those whose a ctivity affects 
the scope of obligations of the WTO Members . 
3.103.   The representative of Colombia  delivered the following statement:  
3.104.   Based on the documents submitted by the E U, South Africa and India, Colombia, the UK and 
China, we acknowledge that the various p roposals coincide with several points of convergence that 
address the intersection between trade and the environment. These documents reflect the 
importance of addressing global challenges and seeking multilateral solutions to promote sustainable 
developme nt and environmental protection.  
3.105.   First, we highlight China's proposal on its proposal for discussions dedicated to the trade 
aspects and implications of certain environmental measures. This proposal highlights the need for a 
deep and constructive dialogue to improve understanding of these measures and to tackle the 
specific concerns of Members . In this sense, we understand that there is convergence with 
Colombia's own document given that  both documents emphasize the importance of guaranteeing 
the legality o f environmental measures as well as their conformity with WTO rules and other 
international environmental law.  That is particularly with regards to transparency and other topics.  
3.106.   Turning now to the document of South Africa and India on the transfer of technology and 
the role of intellectual property , we see this being an important nexus with trade. Without turning 
the Committee into a place for litigation, we would like to see how this can make a more sustainable 
use of trade and how intellectual propert y can play a fundamental  role in finding  sustainable solutions 
as well as  strengthening the capacity of developing countries when it comes to tackling  
environmental challenges.  
3.107.   Third, we see value in the suggestions put forth  by the UK to improve the functioning of the 
CTE. In this regard, the proposal to define a consistent annual program of meetings, and particularly 
the advance d circulation  of documents and using  guiding questions for the topics of discussion, as 
well as th e holding of thematic and informal sessions, are all practical steps that could  help us to  
improve the inclusivity and efficiency of the functioning of the Committee. These suggestions are 
also aligned with the efforts proposed by Colombia in its document.  In among the areas of discussion, 
we could highlight the importance of the general application of measures aiming to address the 
environment, subsidies, carbon leakage, and the circular economy, amongst others.  
3.108.   Finally, we also agree with the E U's proposa l to strengthen the Committee's deliberative 
role. Th is proposal include s the issue of the design of measures in the work of the Committee. We 
recognize the relevance of analysing not only the objectives of environmental measures but also , as 
set out in th e paper , the implementation and effective use of these measures. In this regard , we see 
more points of convergence with the Colombian document, notably cooperation and technical 
assistance, as extra points of convergence to be understood a s being applied i n a manner consistent 
with the commitments of international environmental treaties.  
3.109.   All of this is evidence that the re vitalization of the Committee is already underway as shown 
by the excellent leadership of the Ambassador of Ecuador , Ambassador Valencia.  
3.110.   The representative of Canada  delivered the following statement:  
3.111.   Canada would like to thank you, Chair, for undertaking consultations early in your leadership 
on this important topic. We look forward to collaborating with you and Member countries to address 
common issues at the nexus of trade and the environment.  
3.112.   Canada supports enriching and intensifying dialogues within the CTE. Our commitment to 
these efforts is demonstrated through our active role in the establishment of TESSD. Our primary 
objecti ve remains to enhance the effectiveness of the CTE for all Members . 
3.113.   In response to the papers, we find the active participation of Members  in proposing ways to 
advance the CTE's work highly encouraging. Discussions on proposed trade -related environmental 
policies are indeed beneficial, provided that the format is agreeable to all. We fully support the 
suggestion s for thematic sessions, making these sessions as interactive as possible.  WT/CTE/M/78  
 
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  3.114.   Regarding observer engagement within the CTE, we would like to see this e lement of the 
agenda become more relevant to the CTE discussions. In our opinion, the models implemented by 
the TESSD and the DPP provide valuable frameworks, as they invite international organizations to 
provide updates directly related to the discussion topics. As the CTE delves deeper into specific 
issues, we are open to observer interventions that directly support these discussions.  
3.115.   The representative of the European Union  delivered the following statement:  
3.116.   The EU would like to express its gratitude to Ambassador Valencia, the Chair, for providing 
a debrief on the consultations held with Members . It is crucial that this Committee reaches a shared 
understanding on how the WTO can contribute to the fight against climate change and environmental 
degradation . 
3.117.   The EU has shown its commitment by leading efforts to incorporate environmental language 
in the outcome document of MC12. The MC12 statement emphasises the Committee's role in 
advancing the trade and environment agenda. For the WTO to remain relevant in the multilateral 
context, it is imperative that we demonstrate that the trade community is aware of the global 
environmental and climate emergency that affects us all. If the WTO is unable to respond to the se 
challenges, there is a serious risk of the eros ion of the system and loss of credibility.  
3.118.   To achieve this, it is essential that we set aside our differences and seek common ground 
for progress. We are delighted by  the increased engagement of the Membership, and see an 
increasing number of written submi ssions. Of course, we acknowledge that the papers submitted by 
Members  reflect their perspectives and contribute to the dialogue. However, not all of them are 
focused on finding commonalities. Some papers target the policies of specific Members  using 
quest ionable arguments that we have already addressed in the March meeting and will not repeat 
today.  
3.119.   I would like to stress that climate change is the civilizational challenge of our time  and 
addressing the climate challenge is obviously not something that the EU can do on its own. Effective 
domestic policymaking will be essential if we want to deliver on the Paris Agreement commitments. 
The key question is not whether to act but how to design policies that are WTO -compatible and 
minimi ze negative spill -over effects  and h ow we  will work with our partners to address their concerns 
and help in the implementation process.  
3.120.   As stated in the EU  submission, we believe that this Committee offers a platform for 
transparency and early engagement, allowing Members  to discuss their environmental policies in the 
design stage and to seek feedback from others.  
3.121.   I would like to share a few observations  on China's proposal circulated over the weekend . 
We are still analysing and may come back with further remarks. The EU believe s in dialogue and 
engagement with trading partners on our climate policies. This is why we have provided extensive 
transparency and engagement on the EU Green Deal measures, including CBAM. In the case of 
CBAM, we have updated this Committee throughout the  design and legislative process. We 
addressed the concerns in the legislation as long as it allowed us to pursue the climate objectives of 
the policy. We have invited third countries to participate in the expert committee for designing CBAM 
methodologies. We are also organizing a technical session on the legislation on Wednesday. So the 
EU has already been doing quite a lot of engagement on CBAM and is engaging with a very large 
number of countries.  
3.122.   Colleagues in Brussels who are managing all those bilatera l consultations cannot sum up the 
amount of countries that have approached us on the bilateral  level for discussions. The country 
concerned who I am addressing has actually had quite a number of meetings both at a technical and 
political level. This was also made clear during the EU Trade Policy Review last week, that we are 
serious about listening to Members' concerns and we will continue this proactive engagement when 
implementing CBAM.  
3.123.   We would like to see more engagement and dialogue from other WTO Me mbers on their 
trade -related climate measures. However, the Chinese proposal does not seem constructive – if we 
want Members to come and present their measures to the Committee, they need to be able to do 
so on their own terms. Needless to say, that this C ommittee for informal, legal consultations may WT/CTE/M/78  
 
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  backfire as it may paradoxically impact Members' willingness to be transparent on their own 
measures. Finally, we would like to invite China to provide more transparency and engagement on 
their policies, for e xample, of support of renewable energy and electric vehicles and we would also 
be interested to hear how Chinese measures impact least developed and developing countries.  
3.124.   Let me turn to the new paper circulated by the UK, the ideas of which we can broadly support. 
The paper is in line with the EU submission that aim s at improving the deliberati ve function of the 
CTE on global environmental challenges. Let me highlight a few elements.  
3.125.   We have observed a significant convergence among Members  regarding the nee d for 
thematic discussions. In our view, this approach offers a way forward to address key topics of 
interest to the majority of Members . We would like to encourage the Chair to gather proposals for 
thematic discussions from the Members  and explore the pos sibility of establishing a rolling calendar, 
serving as a workplan for the upcoming meetings. While we have identified methodologies to 
calculate embedded emissions as one of the potential topic s in our deliberations paper, we are open 
to engaging on other  subjects that are of interest to Members . This could be environmental ethics 
and trade impacts or incentives, plastics, green technologies, circular economy, and waste trade, 
among others.  
3.126.   To ensure effective organi zation and preparation of thematic sessi ons, we propose the 
following: a short policy paper describing the topic and providing guiding questions for discussion s 
to be distributed by the Secretariat , for example,  no later than six weeks before the meeting  so that 
Members can prepare. We recommend  conducting these thematic sessions in an informal manner, 
alongside the CTE meeting, to facilitate the participation of external speakers from academia, 
business, and civil society. Observers and international organi zations could also play a valuable role  
in these meetings, particularly on topics relevant to their areas of expertise.  
3.127.   It may be useful to have agreed principles for the conducting of such a thematic session to 
ensure an enabling environment for experience -sharing and constructive dialogue. If  Members 
agree, we could invite the WTO Secretariat to prepare a proposal.  
3.128.   In addition to thematic discussions, we recognise the need to address practical aspects to 
improve the work of the Committee. Early distribution of agendas, particularly annotated o nes, and 
Members ' papers can assist all participants in preparing for the meeting and fostering informed 
exchanges. Swift distribution of reports would facilitate reporting back to capitals , especially for 
smaller delegations.  
3.129.   The EU remains committed to e nhancing the work of this Committee and suggests that the 
Chair submit a report to the General Council outlining the suggestions put forward by the Members  
for improving the Committee's work. This report could include a proposed workplan for the thematic 
discussions as an annex.  
3.130.   To conclude and to remind everyone, we have two sessions this week on CBAM and 
Deforestation, plus a joint event with the ACP countries.  
3.131.   The representative of Uganda , on behalf of the LDC Group , delivered the following 
statement:  
3.132.   The LDC Group thanks you , Chair,  for the report of your consultations and takes note of it. 
We are delighted to see the importance attached to the work of this Committee within the WTO. The  
work of the CTE is certainly a priority for the LDC Group.  
3.133.   With regard to item 3.B, the LDC Group commends Members  who have made proposals. In 
the MC12 outcome document, Ministers noted "the Committee on Trade and Environment as a 
permanent forum for dialogue among Members on the relationship between trade and en vironmental 
measures ". 
3.134.   The LDC Group is therefore of the view that the dialogue in question must be guided by the 
principles of international environmental law and WTO law, such as common but differentiated 
responsibility , the precautionary principle , the polluter -pays principle , and the principle of 
non-discrimination , among others. In addition to these principles, international cooperation must WT/CTE/M/78  
 
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  play a key role because environmental problems are global problems that deserve global solutions. 
Thus, environm ental measures should not be used as disguised non -tariff measures to restrict trade 
and for protectionism. Members must ensure that the environmental aspects of their trade policy 
are compatible with WTO rules.  
3.135.   To fuel the dialogue within the CTE, we are also in favour  of the Committee continuing to 
invite experts and institutions to do presentations on topics that are of interest to its work and to 
the WTO in general. Experts as well as in institutions could share information and help the Committee 
better  understand the impact of certain environmental measures on trade. The LDC Group invites 
the Committee to consider how the transfer of green technology, on mutually agreed terms, could 
affect  climate change mitigation and adaptation and ultimately on trade  and development. We are 
working on a communication in this area  and we will revert in due course . 
3.136.   The representative of Australia  delivered the following statement:  
3.137.   I thought that I would begin by echoing a point that my Canadian counterpart made online , 
which is that Australia  too is quite buoyed by the conversation that we are having here  and the deep 
engagement from the  Membership in how we can best use this Committee  to advance towards 
shared goals and commitments . I am confident that every Member that has taken the floor today 
under this agenda item and indeed  in all the papers that have  been presented express ed this 
principle – that there is a need for trade to address environmental challenges.  
3.138.   In that manner, we welcome the recent papers by C hina, India and South Africa, Colombia, 
the EU, and the UK and indeed the ideas presented by Paraguay on trade and environment issues.  
We look forward to reading a contribution from them when they have the opportunity to share one 
with us, and don't worry we understand the challenges mentioned of the capacity of a small mission.  
3.139.   We agree with others that there is merit in reinvigorating discussions at the CTE and we 
need to have more in-depth discussions on the nexus of trade and climate, including on appro aches 
to carbon leakage. We are also keen to reinvigorate the CTE and build on the current momentum of 
Members ' interests in addressing these urgent problems.  
3.140.   We thank all Members for their paper s and strongly support the sentiment that multilateral 
cooper ation is a key part of the solution to environmental problems. We need to continue working 
with international partners on multilateral efforts related to climate change, including at the WTO, 
to maximi ze consistency with trade objectives.  Australia believes that trade is, and must continue 
to be, part of the solution to environmental problems , as other Members have reiterated today . 
3.141.   The transparency elements of China 's proposal c ould provide the opportunity to address the 
nexus between environment an d trade in the CTE  and we thank them for their proposal . The list of 
elements that they have identified could be used to set up a pro forma for how Members should 
conduct presentations or what they should address  that could be most useful to a CTE audience . 
3.142.   We a gree that these discussions will enhance inclusiveness through the open and 
constructive exchange of views on different regulatory approaches in response to environmental 
problems. We  would welcome further discussion with China on how it f oresees these proposed 
discussions on environmental measures being carried out and we are conscious of not duplicating 
the work of the CTE with the work of other bodie s and indeed  other dispute bodies.  
3.143.   With regards to Colombia, we welcome its initial  propo sal highlighting the intersection of 
development in issues related to trade and environment. We are c ommitted to working with in the 
existing mandate and other existing mandates to ensure  the concrete actions  can see support for 
developing countries as we t ackle the challenges of the environment.  We look forward to engaging 
further  at the side event organized by Colombia for this CTE with the Forum on Trade, Environment 
and the SDGs  (TESS) . 
3.144.   Australia is committed to the CTE as the key multilateral body focus ed on trade and 
environment, and we welcome the paper  by India and South Africa's to reinvigorate discussions in 
the CTE.  WT/CTE/M/78  
 
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  3.145.   We also see the Trade and Environmental Sustainability Structured Discussions (TESSD) and 
the Dialogue on Plastics Pollution (DPP) as playing key roles in this space  of how we can advance 
discussions here at the WTO.  We are conscious of the importance of tackling carbon leakage and we 
understand why Members are pursuing policies , including trade policies,  to combat th at issue. 
Australia is also committed to exploring multilateral and plurilateral solutions to carbon leakage.  
3.146.   We welcome the UK proposal on improving the functioning of the CTE, including both its 
efficiency and inclusivity through procedural reform. We support your proposal to include thematic 
discussions and leveraging the expertise of expert stakeholders and various WTO bodies.  We agree 
that TESSD 's workstreams could support the thematic discussions of the CTE to ensure discussions 
are complementary  but note that w e do need to manage the reality that not all Members of the WTO 
are members of the plurilateral environmental initiatives.  
3.147.   On the EU proposal, we have discussed this with the EU many times including in this forum 
and we strongly support many of the suggest ions also made by the EU and have commented on 
these in the past , including in this fora. We agree that transparency is critical, we support the concept 
of thematic discussions and many of the ideas raised in the EU paper  for reinvigoration , including 
strengthening the deliberative function.  
3.148.   Stepping back just a moment from all those individual papers, we t hink if you take the 
compilation of the ideas together and look at them as a body you will actually see that there are 
strands within each of them that a re related and that overlap with one another and that multiple 
suggestions go down a similar track.  It is absolutely necessary that we continue to have the 
discussion o f how the CTE can most effectively engage on these issues so as to inform and influence 
trade policy in a manner that is inclusive  and including  the other important WTO principles, such as  
the development dimension. However,  we cannot spend forever discussi ng how we can best  utilize 
and structure our discussions – at some stage we need to mov e the 'how' into the 'do' and we need 
to take the ideas that are expressed, where we agree on them, and use them as a path forward so 
that we can begin to m ore concretely work to utilize trade to support our goals  collectively . 
3.149.   The representative of India delivered the following statement:  
3.150.   In this intervention, I will cover the comment s on the other papers. We welcome the EU view 
of bringing the TESSD to  the CTE . This position is also in line with the MC12 Ministerial mandate, 
which recognizes the CTE as t he appropriate forum for these discussions. We also acknowledge the 
bilateral engagement with the EU in the first EU -India Trade and Technology Council held last month 
in Brussels.  
3.151.   On the UK paper, we continue to study  submitted by the UK paper  in capital . There are 
several ideas presented in this paper  and our preliminary view on two of these ideas is:  First, the 
thematic sessions may be useful to discuss specific topics of common interest to Members . Second, 
from the themes proposed by the UK, resilient s upply chains and building climate -resilient economies 
seem interesting.  
3.152.   In fact,  this allows me to make a marketing pitch as,  in the Trade and E nvironment Week 
events, India has organized a session on 13 June, which features an international organization , the 
Coalition for Disaster Resilient Infrastructure (CDRI). We are working to build capacity and thought 
capital in this space through engagement with CDRI, mainly focusing on helping Small and 
Vulnerable Economies and Small Island Developing States  (SIDS) . 
3.153.   We thank Colombia for their comments on our paper . Colombia has also raised relevant 
ideas for better working of the CTE and the fair use of environmental measures.  
3.154.    We thank China for its new submission . Capital is still reviewing this very detailed pap er, 
which was only received recently. Finally, we look forward to receiving Paraguay's submission and 
engaging with them on their views . 
3.155.   The representative of the United States  delivered the following statement:  
3.156.   The United States thanks Colombia, India, So uth Africa , and the EU for presenting on their 
papers a gain and for Paraguay for previewing its paper. We also t hank China for its presentation WT/CTE/M/78  
 
- 44 - 
 
  and we will be reviewing its paper,  so we will hold comments for future deliberations. Finally, we 
thank the UK for its recent submission on revitalizing the CTE and for its presentation.  
3.157.   Similar ly to Australia, we  found a number of the ideas not only in the UK paper but in the 
other papers  discussed in March promising for supporting revitalization of the CTE, and for improving 
the overall deliberative function of the CTE.  
3.158.   Reflecting on those previously circulated and presented papers, we note there is a common 
interest in thematic discussio ns at the CTE. The United States is supportive of incorporating thematic 
presentations to strengthen our deliberations and understanding of relevant policy matters here in 
the WTO, although we do not share an interest in outlining proscriptively how Member s should 
present on policy matters.  
3.159.   The United States is supportive of a forward -looking planning process for setting meeting 
calendars and identifying thematic discussions well in advance, which would assist with more robust 
engagement by Members.  
3.160.   Early p lanning would allow capital -based officials time to identify subject matter experts 
within their governments, and an annual planning calendar would allow Members to bring forward 
emerging or timely environmental issues,  and as well could account for the sc hedule of multilateral 
environmental agreement meetings taking place in a given year.  
3.161.   Taking a lesson  learned from the TESSD and the other informal dialogues, we see value in 
bringing outside stakeholders to present during the CTE meetings on topics of int erest relevant to 
our deliberations on trade and environmental measures. This outside perspective is valuable  not 
only to further benefit Members ' understanding of challenges in the multilateral trading system but 
also to identify practical solutions.  
3.162.   Looking forward to next steps, we suggest that Members may wish to identify, in 
consultations with the Chair, where we can start to reconsider our approach to the work in the CTE. 
There are some concrete suggestions in the many papers that have been circulated  which are 
straightforward, for example a calendar, and  then there are other ideas raised by Members that 
could benefit from additional technical discussions.  
3.163.   Notably, r ather than waiting for MC13, Members should start working with the Chair as soon 
as pos sible to integrate for example the planning process into our work in the CTE, and to begin to 
lay the groundwork for a forward -looking approach to planning the meeting calendar.  
3.164.   We can use these upcoming meetings to try out some of these ideas in real time, and to see 
if the proposals that we have come up with fit our needs and discussions in the CTE. We firmly 
believe that we need to promote an experimental or 'try it and see ' culture  – part of r eform also has 
to be learning to be more flexible and more adaptive in real time. For most of these procedural 
suggestions, there is no reason why we can not just start trying it and then evaluate the benefits 
based on actual experience.  
3.165.   Two additional points to note. When it comes to presentations, we do not see that Members 
need a proscribed set of instructions for what points should be covered under the thematic 
deliberations. We appreciate the interest in a common structure but believe that Members are able 
to exercise their discretion to determine what they believe is appropriate and necessary information 
to include in the course of discussing trade and environment . 
3.166.   We are also concerned that brin ging the concept of common but differentiated 
responsibili ties into this space is not helpful to our work here in the WTO nor will it help to advance 
discussion and understanding of the relationship between trade and environmental measures. We 
look forward to engaging further and continuing t o work to revitalize the deliberative functions of 
the WTO.  
3.167.   The representative of the Kingdom of Saudi Arabia  delivered the following statement:  
3.168.   The Kingdom of Saudi Arabia would like to thank your Excellency for updating the Committee 
on your consultations with Members . Special thanks go to China, Colombia, EU, India and WT/CTE/M/78  
 
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  South  Africa , and the United Kingdom for their useful proposals which will be  assessed in the capital 
attentively.  
3.169.   The Kingdom of Saudi Arabia would like to draw the attention that in MC12, our Ministers 
recognized the global environmental challenges including climate change and other natural disasters, 
loss of biodiversity and pol lution and highlighted the important contribution of the multilateral 
trading system to promote the UN 2030 Agenda and its Sustainable Development Goals.  
3.170.   It goes without saying, improving the deliberative function of the CTE will enhance the 
effectiveness of our discussions in the CTE, encourage further information sharing and best practices 
on measures related to trade and environment, and enable Members  especially developing and LDCS 
to better address trade -related aspects of these global environmental ch allenges.  
3.171.   Chair, in a very brief and preliminary manner, I would like to welcome and highlight some 
interesting points in the 5 proposals before us today . 
3.172.   We agree with our distinguished colleagues. In order to promote an open trade system that 
allows for effective, non -discriminatory and coherent sustainable trade with environmental goals, 
our deliberations on trade and environment matters should target more transparency, inclusiveness 
and development oriented.  We also agree that striking a balance between  environmental 
considerations and trade considerations should be one of our deliberation priorities.  
3.173.   Trade policies designed to achieve environmental objectives should be consistent with the 
fundamental principles and basic rules of the WTO, taking into ac count the priorities, and needs of 
developing countries and LDCs.  
3.174.   The Kingdom reaffirms the importance of providing Special and Differential Treatment for 
developing Members  and LDCs in order to help their transitions, including through Aid -for-Trade and 
capacity  building support for the production and trade of goods and services that are respectful of 
the environment, through the development, deployment, dissemination, and transfer of 
environmentally sound technologies towards a more resource -efficient and  sustainable development.  
3.175.   WTO Members  shall avoid unilateral measures and agree to discuss climate change at the 
multilateral level and should be guided and adhere to the principle of equity and CBDR -RC in the 
light of different Members ' national circumsta nces and the nationally determined contributions. Such 
measures not only violate the rules of the WTO and undermine multilaterally negotiated rights and 
obligations of Members , but also constitute means of arbitrary or unjustifiable discrimination or a 
disguised restriction on international trade.  
3.176.   We also agree with the view that initiatives relating to industrial decarbonization, or green 
hydrogen, are being considered by various bodies under the United Nations. Such initiatives should 
be the way to solve the environment and climate change problems, rather than formation of "carbon 
clubs", which will lead to fragmentation of multilateral efforts.  
3.177.   To conclude, we believe that international trade cooperation and policy dialogue can enhance 
the predictability of trade measures related to climate change. Through policy dialogue in the CTE, 
Members  can improve the collective understanding of how trade interacts with climate adaptation 
and mitigation strategies.  
3.178.   In this vein, we see value in conducting thematic di scussions and encouraging further 
engagement and input from international organizations , academics, businesses, NGOs and think  
tanks.  
3.179.   The representative of Brazil  delivered the following statement:  
3.180.   Thank you for your earlier report on your very helpful rou nd of consultations , in which we 
were pleased to take part. We hope that today's report can give us an outlook to help pave the way 
for a contribution to MC13 and we would also like to convey our appreciation to the Members 
presenting  proposals  today.  WT/CTE/M/78  
 
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  3.181.   My remarks now will address both agenda items 3.B and 3.C . In the last few months, we 
have witnessed a significant number of new valuable submissions to address the nexus between 
trade and the environment. Among these, we would like to highlight documents RD/CTE/221 , 
WT/CTE/W/251  and JOB/TE/78 , presented by Colombia, China and India, respectively. From our 
perspective, the dynamism shown by the large number of proposals speaks to a few undercurrents 
of our discussions here at the CTE.  
3.182.   First, there is growing interest in finding ways for the WTO to contribute to their g lobal 
response to environmental challenges and particularly the climate crisis. Second, there is strong 
awareness that if we are to make an effective contribution and avoid undermining the MEAs there 
needs to be a harmonious and mutual support ive rapport  between our work here and the work 
conducted in environmental fora such as the UNFCCC. In that sense, the principle of Common But 
Differentiated Responsibilities and Respective Capabilities (CBDR -RC) has been identified as a 
cornerstone to allow for an incl usive net  zero transition. Third, there appears to exist significant 
concern on the risks posed to both the international trade and environmental regimes by unilateral 
measures undertaken by some Members and justified on the pretence of environmental goals . 
Fourth, countries appear to be converging on the understanding that there needs to be a reinforced 
multilateral treatment of these measures.  
3.183.   Trade is an underlying force of global efforts to mitigate climate change and, unfortunately, 
that also means tha t unilateral measures can hamper our progress and lead to the fragmentation of 
both trade and climate frameworks and undermine the process that we do have in place to curb 
climate change.  
3.184.   Later today, we will hear the UNFCCC Secretariat brief us on the pre parations for COP28. On 
that occasion, I would encourage everyone to take a moment to reflect on a few questions, for 
instance, if a country has been working to meet their NDC goals with national strategies and then is 
forced to address entirely different externally decided conditions to access some of the largest 
markets in the world, how do you believe that might impact the implementation of current 
environmental commitments as well as new negotiations? What is the value of discussing 
commitments within t he UNFCCC if some of the largest economies in the world leverage their market 
unilaterally and alter the balance of rights and obligations for everyone ? Rather than adopting an 
extraterritorial approach of trying to extract specific measures from other Mem bers, we would 
encourage each country to respond to climate urgency by focusing on its own potential for positive 
action, in particular, the fulfilment of the long -outstanding commitment made by the developed 
countries to mobilize USD 100 billion yearly in  climate financing could prove pivotal not only to create 
conditions for us to achieve the goals of the Paris Agreement but, even more, to build trust in a 
multilateral environmental regime and enable us to potentially work towards more ambitious 
outcomes.  
3.185.   In light of that, we believe that all proposals presented by developing countries to the CTE 
have significant merits that, as has also been underscored by other Members, could supplement 
each other. Colombia highlights the need for identifying principles to inform the adoption of 
trade -related climate measures; China's proposal puts forward a structured process to allow for 
more substantial discussion of those measures; and India identifies the risks posed by unilateral 
protectionist measures as well as po sitive contributions that CTE work could make to address specific 
interests of developing countries.  
3.186.   Reflecting on possible outcomes for MC13 on trade and sustainability, we see potential for 
our work to advance based on the different proposals by finding synergies and points of common 
understanding to integrate the work between these three fronts. The result, we believe, will enable 
us to deliver robust commitment to both the multilateral trading system and the MEAs as well as to 
the mutually supportive an d harmonious rapport between these two regimes.  
3.187.   The representative of New Zealand  delivered the following statement:  
3.188.   Thank your Chair for your earlier report on your consultations, for conducting those 
consultations, which we were pleased to take part in, and to all the delegations that have put forward 
proposals written and foreshadowed today. There is clearly a lot of interest and a lot of support and 
energy going into revitalizing the work of the CTE and that is something that we champion.  WT/CTE/M/78  
 
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  3.189.   Just four points on that. There has been quite a lot of discussion about the proposal to have 
thematic discussions and that is one that New Zealand would support and in terms of seeking to 
make those as interactive as possible. In that regard, secondly, we can see s ome value in seeking 
to structure those thematic sessions and our dialogue in those, however, we do also agree that this 
should not become a straitjacket to presentations or become an interrogation of particular measures 
or particular Members. We do not th ink that that would be as productive in terms of an interactive 
dialogue, so we are very much in the mode of seeking to make it efficient but also productive and 
interactive and inclusive.  
3.190.   Thirdly, there have been a number of practical proposals about the functioning of the 
Committee. Those seem to us very sensible and we also support the idea of working in collaboration 
with other bodies, in particular, where those other bodies are working on concrete steps that support 
the objectives in this Committee. Fi nally, we have noted your proposal that we continue to do some 
informal discussions and meetings to reflect on these before the summer break. Our sense too is 
that there are some areas where there is a degree of commonality emerging and that, if we can tal k 
further on those over the coming period, that could help us to identify them and we can get on with 
putting them into practice as soon as possible.  
3.191.   The representative of Singapore  delivered the following statement:  
3.192.   Singapore would like to join others in congratulating you on your chairmanship of the CTE 
and Singapore looks forward to working closely with you in this Committee. I also thank you for 
updating the Committee on your consultations  taken over the last few m onths . 
3.193.   On this agenda item, I would like to  express our appreciation to China, Colombia, EU, India, 
South Africa and the UK for their proposals, and the ideas articulated by Paraguay earlier . These 
have really allowed us to revitalize discussions here at t he CTE.  
3.194.   Each of these proposals contain valuable ideas on how we can structure the CTE's work going 
forward. A common strand across these proposals is the idea of having thematic discussions. 
However, I note that there may be some differing views as to the  themes which Members would like 
to discuss. In this re spect, I think the Chair's idea of holding an informal discussion before the 
summer break would be useful to drill deeper into this issue.  
3.195.   Singapore agrees that thematic discussions would be a useful w ay to structure our work and 
we remain flexible on the specific themes to be discussed. That said, we would like to underline that , 
in order for our discussions to be productive, the se discussions should be objective, fact -based and 
inclusive. We should also bear in mind that our objective here is to deepen our understanding on 
the relationship between trade and environment, in order to promote sustainable development. In 
this regard, the UK's proposed idea of guiding questions will be useful in focusing ou r discussions.  
3.196.   As the UK's proposal is also the newest one on the table, I would like to add our voice of 
support for the practical suggestions on how we can further improve the procedural aspects of CTE 
meetings, including through e Agendas and tabling pap ers for discussion earlier so that Members 
have time to consider and discuss them more deeply.  
3.197.   The paper  also rightly points out that the environment agenda at the WTO is growing and 
there are capacity constraints for smaller delegations like my own. As su ch, I think it will also be 
important to bear this in mind when considering the organisation of other i nformal meetings and  
maybe it would also be useful to  find ways to streamline work across the CTE and the other 
environmental initiatives.  
3.198.   The representa tive of Norway  delivered the following statement:  
3.199.   My delegation would like to thank the Chair  for the debrief on your consultations. We would 
also like to thank the EU, Colombia, China, India , South Africa, and the UK for their written 
communications , as w ell as Paraguay for its intervention. These contribute to the discussion on how 
to strengthen the CTE as the central multilateral forum for trade and environment.  
3.200.   Norway would support steps that can enhance transparency, information exchange and 
policy dia logue. As commented by others, there are some elements of convergence  between the WT/CTE/M/78  
 
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  submissions . Several communications highlight the concept of thematic discussions. Such sessions 
could , in our view , dig deeper into issues that are of a complex nature. As far as such issues span 
the responsibilities of other WTO bodies, thematic discussions could also include outreach to and 
cooperation with other relevant committees.  
3.201.   Trade -related environmental polic ies are not developed in a vacuum, and must take into 
consideration also other issues, not least the development interests of developing and least 
developed Members. At the same time, there is need for ambition in this work if we want to 
strengthen the rol e of trade as an engine for environmental sustainability. There has to be a balance 
between this issues. Thematic discussions should strengthen the dialogue at both the technical and 
political levels, and increase the understanding of what constitutes effe ctive trade -related measures 
for the environment. On the other side, we should avoid that they become an arena for Specific 
Trade Concerns or one -sided critique against specific Members. A forward -looking plan for such 
sessions could contribute to a good b alance of future thematic discussions.  
3.202.   Finally, while we fully support the principles of Common But Differentiated Responsibilities 
and Respective Capabilities (CBDR -RC), we would like to underscore that we must be careful as to 
how we refer to these princ iples in the WTO. The UNFCCC and the Paris Agreement are two different 
agreements, and the texts in those agreements are carefully balanced in a different context. They 
cannot be imported directly into the WTO in the way that some delegations, in our view,  maybe 
seem to imply. This may merit further discussion.  
3.203.   Norway looks forward to further efforts to enhance the work and functioning of the CTE . 
3.204.   The representative of Switzerland  delivered the following statement:  
3.205.   Switzerland thanks China, the UK , India , South Africa and Colombia for their documents. We 
support a reinvigoration of this Committee and we believe it is time to advance the environmental 
sustainability agenda and the  trade discussions . The MC12  outcome document says so . We have a 
number of issue s before us and the next stage for  Switzerland  is to find convergence among all of 
these proposals.  
3.206.   To achieve our environmental goals, various political actions are necessary. International 
trade plays a major role in domestic decisions in terms of climat e change mitigation and it can also 
contribute to the resolution of climate and environmental challenges, as well as sustainable 
development for every country. Regarding current domestic climate policies, they are unsurprisingly 
diverse and heterogeneous. For example, domestic economies specialize in various  industries and 
they lead to different standards of living and governments have different political and fiscal 
constraints and different circumstances.  
3.207.   Therefore, we believe it is essential that this Committee not only focus on environmental 
measures such as the CBAM but on trade  measures related to environmental sustainability. We 
believe that the UK submission is relevant vis-à-vis the various issues proposed . We also support 
the EU's proposal to have a report and an annex with a number of items . We support the idea of 
active  engagement  by all WTO Members on the various issues selected. Transparency play s a 
growing role in our discussions.  
3.208.   Switzerland has already expressed its willingne ss to hold thematic sessions . The request to 
discuss trade-related climate measures (such as CBAM)  is strong and we su pport this discussion . 
We feel that it is important for e ach Member to discuss its proposals constructively. We would like 
to recall that,  as part of the TESSD initiative, a working group is de voted to this t opic with the 
expertise of a number of parties and experts. This group is  enriching the discussion related to 
measures towards reducing emissions. The working group has examine d these matters from a 
sectoral point of view. The re have also been exchanges on the implementation of climate measures 
related to trade. TESSD can  bring this information and this work as part of this Committee to other 
Members . 
3.209.   Finally, we would like to share an ob servation related to the Common But Differentiated 
Responsibility principle. We believe that each legal instrument has its own principles,  as a result  of 
its own historical negotiations, and that these principles cannot be imported into other legal context s, 
in this case , the WTO.  WT/CTE/M/78  
 
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  3.210.   Switzerland believes that the principle of Common But Differentiated Responsibility is specific 
to each agreement  and, in the context of climate change, th is principle stems from the 
Paris Agreement. We therefore do not agree with  a horizontal application of th is principle to trade 
agreements.  
3.211.   The Ambassador of Chile delivered the following statement:  
3.212.   My delegation would like to thank you for your report and for identif ying elements to consider 
for the future work of th is Committee, as well as the documents that contribute to reflection s on 
how best to  use this forum that, as stated in the MC12 outcome document , constitutes a  permanent 
dialogue forum for trade and environment  matters in this Organization.  
3.213.   As I indicated in  my previous intervention, it is important for us to discuss a number of  areas 
of work, the challenges that we face , and how trade can contribute . This will open the necessary 
cooperation stages, as found in the recently adopted ministerial declaration. Fo r this, we must  
establish a timeline  for the work of this Committee in order to  determine which environmental 
challenges trade can contribut e to addressing. These discussions  could take place in regular 
Committee sessions as well as in informal thematic se ssions.  
3.214.   We could also explore the possibility of having deeper relations with other committees and 
bodies to discuss cross-cutting issues, as well as with the informal environmental initiatives, so that 
this Committee can strengthen its dialogue and co operation towards m ore sustainable trade with 
clear rules for all Members . 
3.215.   The representative of Türkiye  delivered the following statement:  
3.216.   We also thank all Members that put forward proposals. In general, we support the idea of 
thematic discussions and having  multilateral dedicated discussions on trade and environment 
matters. We also support the idea to establish an understanding on parameters and principles that 
should frame the discussions and policies related to climate measures with trade impact.  
3.217.   Since me asures applied to combat climate change that have a trade impact are hybrid in 
nature, they must meet the principles and rules set both by international environment and trade 
law. In our view , these include : multilateral collaboration to ensure effectivene ss, coherence and 
avoid fragmentation ; Common But Differentiated Responsibilities and Respective Capabilities to 
ensure equity and effective combatting of climate change ; and n on-discrimination , proportionality,  
and not imposing unnecessary restriction s on trade , to count just  a few.  
3.218.   We are open to discuss these in detail in the CTE in formal or informal formats.  We also look 
forward to the discussions this week, including on CBAM , where we will have the opportunity to 
further convey our concerns and ask questions.  
3.219.   The representative of the Philippines  delivered the following statement:  
3.220.   We would like to thank the Members who have put forward proposals to strengthen the work 
of the Committee. A s we have previously ment ioned, the Philippines supports pursuing a "positive " 
trade agenda on sustainability and where we would see more time and resources devoted to how 
the Organization can support just energy transitions, particularly for developing countries . This could 
be ac hieved by examining  trade -facilitative measures , good regulatory practices , linkages between 
trade financing and climate financing , and the diffusion  of relevant technologies.  
3.221.   As we have previously said, we are supportive of thematic sessions , pursuing 
cross-Committee coordination , and increasing the involvement of stakeholders such as the private 
sector. We would also see value if the Committee could agree on a set of thematic sessions for a 
calendar year. We are broadly supportive of the ideas set out in the UK 's WT/CTE/ 252 
communication and , while we note that the proposed themes  it has set out, we would also 
recommend the inclusion of border carbon adjustments, green industrial policy  and access to 
technology  as additional and complementa ry themes. We also welcome China 's revised 
communication, which has set out five key considerations that could help frame  these  thematic 
discussions.  WT/CTE/M/78  
 
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  3.222.   The representative of Paraguay  delivered the following statement:  
3.223.   I would like to speak on  the proposals m ade by other Members. We can classify these 
proposals into two groups: some proposals are more formal on the Committee's daily work and some 
are more substantive and may be discussed in a number of formats, one of which could be dedicated 
sessions.  
3.224.   With re spect to the formal proposals on this Committee's daily work, one of the few 
advantages of Paraguay's small delegation is that a delegate covers several committees, which 
allows us to have first -hand knowledge of the work conducted in other committees. In this case, for 
example, I would like to recall the work undertaken in the CTG and its subsidiary bodies. Each 
subsidiary body of the CTG itself identified a series of measures, many of which could be 'reforming 
by doing' and a few are cross -cutting, some w ith budgetary repercussions for instance that would 
require formal measures or they should be escalated to another level.  
3.225.   Since I participate in some of these groups, I can point out a number of issues for you. One 
is the use of eAgenda, which could help u s draft minutes, as long as what Members upload to 
eAgenda does not replace in the minutes the actual interventions spoken in the room, unless the 
Member requests that their longer statement be included. It would also facilitate small delegations 
who may n ot be in the room to follow the issues as well as meeting preparation providing a voluntary 
(of course) opportunity to upload statements before the meeting.  Yearly planning of meetings would 
also be useful since it would allow for better preparation and if  we can also prevent overlapping 
meetings as much as possible it would be better. Of course, I understand that given the crowded 
agenda at the WTO this is almost impossible. Nonetheless, it would be important to have advance 
planning especially if the numb er of meetings of the CTE expands, given the possibility of holding 
thematic sessions.  
3.226.   The use of e -registration for email lists. In the case of Paraguay, we had one case where we 
had to switch email addresses which entailed a number of communications to v arious parts of the 
Secretariat, not just environment, but in fact each of the committees to have it be updated in email 
lists. This could be done automatically through e -registration and could save a lot of time.  
3.227.   These are just some specific improvements in the functioning of the Committee that could 
be useful in practice. In this category, we would include our prior proposal for Q&A.  
3.228.   Under substantive proposals, we agree with the issues discussed by other Members so far 
and we would be willing to discuss them, as well as other issues that may arise. We highlight the 
specificity of the CTE, which lies in the environmental aspect of measures. These measures can be 
discussed in other committees but none of these other committees has the specific mandate of 
evaluating the environmental impact of such measures. So another topic for a thematic session could 
be methodologies for measuring the environmental impact of trade -related environmental measures, 
which could eliminate trade -offs with other environmental or sustainable development elements as 
well as their trade repercussions.  
3.229.   These were just some quick ideas for consideration of this Committee.  
3.230.   The representative of China  delivered the following statement:  
3.231.   China would like to thank Colombia, South Africa, th e UK, the EU and India for presenting 
on their papers. We also appreciate all the comments on China's proposal.  
3.232.   We would like to clarify that China's proposal is not directed at the EU or any other Members. 
We noticed that, besides EU, a number of other WT O Members are also considering border carbon 
adjustment measures, trade policies are increasingly being used as policy tools to achieve 
environmental objectives. The hybrid nature of such measures increases policy complexity and 
causes further complication s by way of spill -over effects, which will have a significant impact on 
international trade and merit dedicated discussions under CTE pursuant to the MC12 mandate.  
3.233.   We appreciate that the EU will have a seminar on CBAM this Wednesday, and we are looking 
forward to exchanging views and joining the discussions with the EU.  WT/CTE/M/78  
 
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  3.234.   We also propose that any trade policy made as a tool to achieve environmental targets could 
be discussed under the WTO in an informative, evidence -based, well -structured way, with the view 
of enhancing understanding and promoting cooperation. As such, multilateral discussions could 
contribute to the capacity building of WTO Members on coping with cross -cutting issues of trade and 
environment, promote coherence of policy objectives in di fferent areas, and strengthen the 
functioning of the CTE. They could also enable the WTO to play a better role in promoting the 
UN 2030 Agenda and the SDGs in economic, social and environmental dimensions insofar as those 
issues relate to WTO mandates and in a manner consistent with the respective needs and concerns 
of Members at different levels of economic development, as mandated by MC12.  
3.235.   Finally, I would like to share that China will hold a seminar on "Energy Transition and the 
Role of Trade Policy" tom orrow at 11:15am and we welcome all interested Members to join us.  
3.236.   The Chair  gave an update on the current state of affairs . 
3.237.   I will now present a summary of what  I, as Chair of this Committee , am considering at this 
time. So, taking into account the  presentations that have been made in this session and my 
conclusions from the consultations held in April with Members in general, and in the first week of 
June with the countries that have submitted proposals in particular, I appreciate, first of all, th at 
there is interest among Members  of the Committee to carry out an exercise of thematic or dedicated 
discussions, that is, specialized discussions on issues or topics of interest for the mandate of the 
CTE. 
3.238.   Secondly, from the written proposals that the CT E has received, I find that there are various 
relevant ideas on how these thematic discussions should be conducted ; that is to say, on the 
procedure that should be followed in general, regardless of the specific topics that are to be dealt 
with in each the matic discussion session. It seems that the procedure should comprise issues related 
to the presentation of reports or documents, the level and format of meetings, the design of a n 
eventual  Q&A mechanism, etc. I identify various bridges of contact between the proposals, which 
can help us to agree on a set of procedural matters.  
3.239.   Thirdly, I recognize in the written submissions one or more specific themes or topics that 
are proposed to be considered in the thematic discussions. This leads me to conclude that t he CTE 
must decide on what issues to discuss and on a program me or schedule  of work. There is nothing 
to prevent the thematic discussions from deliberating, in each session, more than one issue or topic, 
but this should also be agreed upon when identifying  the themes and designing the work program me. 
3.240.   Having in mind what I just mentioned, I intend to convene, in the first instance at a technical 
level and before the summer break, to an open -ended informal meeting in order to reflect on the 
points that I just  highlighted.  
3.241.   That meeting, which may take the form of a retreat, will ideally help us to reach an 
understanding on the procedure, topics, and work program me to launch a series of thematic sessions 
at the CTE in an inclusive, transparent and productive way . 
3.242.   That concludes my understanding of the current state of affairs. Are there any delegations 
with questions or comments on my intervention at this point?  
3.3  Discussion on possible CTE contributions to MC13  
3.243.   The representative of Costa Rica  delivered the follow ing statement:  
3.244.   Costa Rica joins the congratulatory messages for your appointment as head of this important 
committee, Chair, and we are here to help you find c onsensus and come to a meaningful, concrete 
outcome at MC13.  
3.245.   In this regard, Costa Rica would lik e to express its interest in the document resulting from 
MC13 containing clear, ambitious but realistic language, and encompassing the divergence of ideas 
in this room, that is, a substantive agenda for trade being a tool to tackle the climate crisis.  WT/CTE/M/78  
 
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  3.246.   To this end, Chair , we call for consultations before the summer break and necessary action 
after the summer that will lead us to prepar e the ground so that we can come to language that will 
reflect the interactive  role that trade can play in climate  action.  
3.247.   We must not allow another opportunity to slip by and another Ministerial Conference 
outcome that misses the opportunity  to comprehensively underline  the importance and relevance of 
international trade as a tool in assisting us out of this crisis.  
3.248.   My delegation  seeks to have a substantive paragraph in the outcome  document . We believe 
this to be realistic and will be high impact , allowing us to follow and to continue the commitment we 
have made in Costa Rica  building bridges . 
3.249.   The representative of Kenya, on behalf of the ACP Group , delivered the following statement:  
3.250.   Heavily indebted developing and least developed countries face tough economic choices in 
relation to promoting the welfare of their citizens, protecting the environment and promoting 
devel opment.  
3.251.   The ACP Group will hold internal consultations on contributions for MC13 as we proceed with 
the work of the CTE under the MC12 direction.  In the meantime, we offer a few preliminary 
comments and observations.  
3.252.   There is a need to capture these cross -cutting issues in a manner that reflects the policy 
landscape and complex reality.  In particular , there is a need to allow developing and least developed 
countries to promote food security and energy security in the prevailing difficult geopolitical contex t. 
3.253.   Here the CTE could work towards proposing a standalone paragraph in a Ministerial 
Declaration that highlights the steps that are being taken by those mainly responsible for the climate 
problems, support to developing countries in need and LDCs, the trad e-related impact of standards 
and measures put in place, in particular which at the same time, reduce any trade and environmental 
impact on developing countries and LDCs.  
3.254.   The representative of  the Maldives  delivered the following statement:  
3.255.   Since this is t he first time I am taking the floor, I would like to congratulate you Ambassador 
Valencia on assuming the chairmanship of this important Committee. We are confident that under 
your able leadership we will be able to progress on trade and environment issues  and we look forward 
to working with you.  
3.256.   As we prepare for the 13th Ministerial Conference of WTO to be held in Abu Dhabi next year, 
it is pertinent to start the discussion now on concrete, pragmatic and effective outcomes on CTE and 
other environment -related matters.  
3.257.   The Maldives is inextricably tied with the ocean. An effectively protected ocean is essential 
for the health of planet Earth and all its inhabitants. In this regard, the Maldives welcomes the recent 
landmark agreement on a text for a legally binding treaty to protect marine biodiversity in areas 
beyond national jurisdiction. This historic achievement will no doubt reinforce efforts to protect 
marine resources in line with the 2030 Agenda for Sustainable Development.  
3.258.   The Maldives, being a large ocean state, has implemented several measures to safeguard 
our island ecosystems, and instituted measures for the sustainable use of environmental and marine 
resources. To ensure sustainable use of our natural resources, the government of Maldives pl ans to 
declare 20% of Maldivian seas protected by 2030. This plan is in line with the worldwide initiative of 
the Global Ocean Alliance to protect at least 30% of the global ocean as Marine Protected Areas 
(MPAs) by 2030. To ensure environmental protection , including the preservation of marine life, as 
well as guaranteeing that the areas are utilised in a sustainable manner, three atolls in the Maldives 
have been declared as Biosphere Reserves. Additionally, protected status has been granted to 103 
species of birds, 14 marine species and black turtles as well as dive sites, mangroves and some 
ecologically significant islands. We believe trade can play a synergistic role in promoting the health 
and sustainability of the marine environment and development of t he blue economy.  WT/CTE/M/78  
 
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  3.259.   The Maldives is one of the few nations that has a strict policy on preventing all forms of net 
fishing and is committed to sustainable pole and line fishing methods that we have become renowned 
for and have been practicing for centuries. I t is imperative that global trade practices within the 
rules-based system incentivise sustainably sourced marine products in order to protect the 
environment, prevent biodiversity loss, and promote economic growth.  
3.260.   Before I conclude, may I once again thank  the chair for initiating dialogue on outcomes for 
MC13 related to trade and environment. We stand ready to work with WTO colleagues to further the 
Trade and Environment agenda and in particular in finding ways to promote goods that are produced 
or sourced  sustainably in order to enhance the potential of the blue economy through trade.  
3.261.   The representative of Uganda , on behalf of the LDC Group , delivered the following 
statement:  
3.262.   Chair, the LDC Group welcomes the discussion on possible CTE contributions to MC1 3. At 
this level, the group can offer  preliminary comments and intends to come back later with proposals 
on this question.  
3.263.   The CTE's contribution to MC13 should take into account the needs of developing countries 
and in particular LDCs with regard to the impact of climate change on oceans and seas, loss of 
vulnerable ecosystems, land degradation, melting glaciers and the continued rise in global 
temperatures. We are aware that the pace of climate change is much faster than anticipated, as 
evidenced by,  among other things, a disproportionate degree of economic loss, damage to critical 
infrastructure and disruption of basic services in LDCs.  
3.264.   In LDCs, investments in adaptation and mitigation to the effects of climate change are 
inadequate to meet needs. Th is contributes to disrupting the way of life in some of our countries by 
exposing them to food insecurity, malnutrition, water stress, water quality deficit and scarcity, soil 
degradation, loss of biodiversity, coastal erosion, sea level rise, population d isplacements.  
3.265.   The damage caused to economic infrastructure affects the already deficient productive 
capacities of LDCs and their ability to produce goods and services to meet their needs and to 
participate in international trade.  
3.266.   The CTE's contribution to MC13 should refer to SDG13, in particular target 13b which 
recognizes the need to: "promote mechanisms for raising capacity for effective climate 
change -related planning and management in least developed countries and SIDS, including focusing 
on women, you th and local and marginalized communities ". 
3.267.   It should also take into account the provisions of the Paris Agreement, in particular 
Articles  8 to 11, which provide for the means to be provided to developing countries, and in 
particular to LDCs, to deal with the consequences of climate change through putting in place 
adequate financial flows, a new technological architecture and an improved capacity building 
framework.  It is important that technologies developed are not made to create more difficulties for 
LDCs to obtain those technologies and equipment.  Special provision must be made for LDCs.  
3.268.   The representative of India delivered the following statement:  
3.269.   Chair, the ministerial mandate of MC12 contained in the paragraph 14 of the Outcome 
Document , WT/MIN(22)/24 , stated that the multilateral trading system had a role to play in 
promoting Sustainable Development Goals in its economic, social, and environmental dimensions, 
in so far as they relate to WTO mandates and in a manner consistent with the respective needs and 
concerns of Members at different levels of economic development. The ministers also reaffirmed the 
importance of providing relevant support to developing country Members, especially LDCs, to 
achieve sustainable development, including through tech nological innovations. Finally, the ministers 
noted the role of the CTE as a standing forum dedicated to dialogue among Members on the 
relationship between trade measures and environmental measures.  
3.270.   We believe that it is important to act on this MC12 manda te to discuss proposals on how 
developing countries, including the LDCs, can achieve sustainable development accounting for their WT/CTE/M/78  
 
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  respective needs and concerns, effectively an acknowledgement of the principle of common but 
differentiated responsibility and  respective capabilities.  
3.271.   In our view, the Members  should focus on harvesting the gains from the MC12 mandate 
rather than looking at specific outcomes for MC13 in the area of Trade and Environment. It is critical 
that previous ministerial mandates are not ignored and words are translated into actions, so that 
the importance of these mandates is not undermined from one ministerial to another.  
3.272.   The representative of the United Kingdom  delivered the following statement:  
3.273.   For the WTO to maintain its influence  and relevance in the international rules -based system, 
it must respond to the most important issue of our time: the existential threats of climate change, 
biodiversity loss and pollution. The subsequent work of WTO bodies must reflect this urgency.  
3.274.   The UK see s three broad categories that fall under this. First: Improving transparency in 
trade -related environmental measures and facilitating communication and information sharing 
between decision -makers in the trade, finance, industry and environment space. This ties closely 
with improving the deliberative functions of the WTO.  
3.275.   Second: Converging around best practices and methodologies  – creative thinking is needed 
to ensure that the emerging policy tools, which will be vital for achieving our green transition, ar e 
designed to be consistent with WTO rules whilst advancing sustainable development. The WTO can 
play a role in convening the relevant experts and supporting and endorsing progress being made in 
other fora.  
3.276.   Third: using trade policy to advance environmenta l objectives – trade can help remove 
barriers and facilitate the uptake of critical goods, services and technologies that we need for the 
low-carbon  and nature positive transition. We are open -minded about the sorts of actions and 
commitments – voluntary o r otherwise – that this might eventually include, but we note some 
progress is already underway across the Organization.  
3.277.   Throughout, we need to ensure as a priority that developing country voices are adequately 
represented, and their unique needs addressed . This might involve looking more closely at climate 
adaptation and resilience or thinking more creatively about differentiated commitments, capacity 
building, or trade -related support can be used for climate goals.  
3.278.   In terms of MC13 outcomes specifically, we would suggest that the launch of a new, 
revitalised CTE and workplan at MC13 would be a good starting point. As mentioned previously, the 
multilateral deliberative function is our foundation, so it is important we get these discussions right. 
An ambitio us chair 's statement, alongside a new workplan should aim to address the categories of 
work mentioned above and reiterate our shared objectives on addressing environmental challenges 
through trade & sustainable development.  
3.279.   WTO Members  should aim to agree a Ministerial Outcome Document that contains strong 
language on environment and climate change, building on the language agreed at MC12 to reflect 
the urgency of these crises and more clearly draw the link to the role of trade and the WTO. The UK 
is ready to contribute to this process in any way helpful.  
3.280.   These are just some high -level ideas, but we look forward to further discussion with Members 
on what a good outcome at MC13 might look like.  
3.281.   The representative of Japan  delivered the following statement:  
3.282.   Japan's statement refers to agenda items 3.A. -C. together. First, Japan appreciates the 
Chair's efforts to conduct consultations and the initiative to move forward this important discussion. 
Japan also thanks China, Colo mbia, the EU, India, South Africa and the UK. and also Paraguay. for 
their proposals. Japan is scrutinizing the proposals. I believe that, with these discussions, the CTE 
is being reinvigorated already and I think that this discussion is very important and  very challenging.  
3.283.   Turning to MC13, g iven that MC13 is effectively only six months away, excluding summer 
break and Christmas vacations, it may not be realistic to expect tangible results in the form of an WT/CTE/M/78  
 
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  independent CTE document. However, based on the environmental para graph  of the MC12 outcome 
document, we hope that some progress will be made in the MC13 outcome document that will reflect 
the CTE discussions.  From this perspective, it would be beneficial to hold a thematic sessions by the 
end of this year  as the Chair suggested . 
3.284.   The representative of Canada  delivered the following statement:  
3.285.   Canada fully supports the CTE's effo rts to seek language in the MC13 Ministerial Statement 
demonstrating continuing and further commitment of Members  to advancing solutions to our 
collective, global environmental crises. Canada is committed to working with the CTE to develop 
language that re flects the WTO 's efforts to address these crises and recognizes the challenges still 
ahead.  
3.286.   The representative of Egypt  delivered the following statement:  
3.287.   Allow me to make three main points . Firstly, all Members  agree that there is a need to 
strengthen the  work of the CTE to be more relevant to the current developments in the field of trade 
and environment and to respond to Members  interests and concerns. All papers presented show 
convergence on this point and this is something that we should build on.  
3.288.   Secondly, we believe that the CTE should focus on topics that are in line with its mandate, 
while taking into consideration the diverse interests and needs of Members , especially developing 
countries and LDCs.  
3.289.   Having said so, Egypt is of the view that the CTE could contribute to MC13 by:  
i. Examining the trade -related aspects of environmental measures and their impact on 
market access, as well as discussing the relation between environmental requirements 
and market access, while developing ideas on how to prevent "green protectionism" 
and "unilateral measures " and promote "win -win" situations, especially for developing 
and least developed country Members . In this regard, we share the concerns identified 
in the India and South Africa paper (JOB/TE/78/Rev.1).  
ii. Underst anding the complex interlinkages between trade -environment -development, 
and how this could be better reinforced. This would mean setting principles that guide 
our action on these three issues. Here, we welcome the paper made by Colombia 
(RD/CTE/221). This would mean also discussing topics that are of interest to 
developing countries, such as the role of trade in achieving adaptation and resilience, 
as well as the role of trade in advancing capacity building, technology transfer and 
climate investments in de veloping countries.  
iii. Discussing how to better ensure synergy between what we discuss in WTO and what 
we discuss in other international environmental fora, while respecting the principles 
enshrined in these fora, especially the principles of equity and CBDR.  This synergy is 
indispensable, in order to avoid fragmentation and working in silos.  
iv. Discussing the potential for a reinvigorated  work programme that could address the 
relationship between the provisions of the multilateral trading system and the 
requirements for environmental purposes relating to products, such as standards and 
technical regulations, packaging and labelling  and the ir implications on market access 
opportunities for developing and least developed countries.  
3.290.   Chair, there is a need, in MC13, to build on the mandate we had previously from our 
minsters, we would also agree on a set of guidelines and principles that should  guide our discussions 
on trade and environment in WTO in the period to come, with priority given to the concerns and 
interests of developing and least developed countries. These principles and guidelines would allow 
us to better understand how to deal wit h the interlinkages between trade, environment and 
development and to work collectively on the basis of a common and solid ground agreed by all.  
3.291.   Chair, establishing the discussions to support developing countries and LDCs to avoid the 
negative repercussion s of unilateral trade -related environmental measures on their market access WT/CTE/M/78  
 
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  and the achievement of their sustainable development should be at the heart of the process and 
should therefore be the core, not to say 'most sacrosanct ' contribution this committe e could offer to 
MC13 and to the MTS as a whole.  
3.292.   The representative of the United States  delivered the following statement:  
3.293.   As we have noted previously, the United States supports the role of the CTE as the relevant 
standing body in the WTO to discuss and deliberate on key trade and environment issues.  
Revitalizing the CTE is an outcome that we strongly support, and one that we  are prepared to work 
together with other WTO Members to deliver.  
3.294.   Revitalization could come in a number of forms, and we  have heard ideas expressed by some 
Members, which are worth exploring.  We stand ready to engage with Members on these and other 
ideas.  
3.295.   Some Members have expressed interest in discussing options to re -energize discussions of 
the CTE.  We believe we should focus on refo rm by doing and "trying out " procedural ideas that have 
been proposed by Members.  
3.296.   The MC13 agenda has a number of outcomes that it must deliver on. Rather than developing 
additional MC13 deliverables, Members could start doing the work now and arrive at MC 13 with a 
vision for a revitalized CTE that we can present to our Ministers to demonstrate our ability to work 
together and reform by doing.  
3.297.   The United States supports finding a pathway forward to make the work of the CTE more 
relevant to addressing and di scussing current trade and environment challenges.  
3.298.   The representative of Australia  delivered the following statement:  
3.299.   Australia believes that trade is, and must continue to be, part of the solution to 
environmental challenges  and the climate crisis. In tha t light, we  want to see outcomes at MC13 
that demonstrate the multilateral trading system 's role in encouraging environmentally sustainable 
policies.  
3.300.   The reality is, Chair, that given the triple planetary crisis and the severe situation that our 
environment finds itself in, that the WTO is an international institution that has a responsibility and 
needs to engage with the environmental challenges . 
3.301.   We welcom e Costa Rica 's suggestions on the need to enhance the MC13 outcome document 
and we need to ensure that trade responsibility and capacity to support our response to 
environmental challenges is appropriately reflected in that document. We a ctively support th e work 
of the CTE as the key multilateral body.  
3.302.   Reinvigoration of the CTE discussions is of course an important stepping stone  and, as my 
counterpart from Japan has already identified, the discussions certainly do seem to be reinvigorated 
already. As my US  colleague has said, we also support the approach of reform by doing.  
3.303.   Australia would support an a mbitious statement  at MC13, with ambitious commitment s and 
recognizing the need for trade to respond.  A number of the ideas  that were mentioned in today's 
discussion warrant serious consideration , including : considering enhancing t ransparency and 
understanding  the implications  of trade -related environment measures; the development or greater 
understanding of best practices  in trade -related environment measures; supporting among Members 
the uptake of such approaches ; and of course deepening our understanding of the r elationship 
between trade -related environment measures and the development  dimension  is also critical.  
3.304.   We would also note that the CTE is not the only body where discussions regarding trade and 
environment and outcomes at MC13 are being discussed and we welcome the am bitious e fforts 
elsewhere to address these problems . WT/CTE/M/78  
 
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  3.305.   The representative of Thailand  delivered the following statement:  
3.306.   My delegation is of the view that the role of the CTE and the mandate we have under this 
Committee is more crucial than the years before.  We are here at the WTO and under this Committee 
to ensure that trade and sustainability are compl ementary to each other.  
3.307.   Within the current situation, we are aware that trade  is facing direct consequences of climate 
change and environmental pollution. Sup ply, transport and distribution chain infrastructure are likely 
to become more vulnerable to disruptions due to climate change  and ocean habitats can be 
endangered by plastic pollution , which will affect directly millions of peoples ' livelihoods and food 
production capabilities.  
3.308.   In this connection, in principle, for the MC13 outcome document, we can reiterate the role 
of the WTO in building a multilateral framework for international trade that encourages ecological 
sustainability. Moreover, we have seen man y developments in the plan of action from the TESSD 
and DPP groups. My delegation believes  that this can be the highlight of the work of the WTO in 
promoting stringent environmental policies to tackle climate change and environmental pollution.  
3.309.   Moreover, w e have witnessed from the WTO Environmental Database that many 
environmental policies and measures have been put in place for implementation at the local, 
regional, national and international levels.  Therefore, the work of the CTE should be highlighted as 
a venue for discussions on the impact of those environmental trade policies and measures and the 
WTO principle of free and fair trade. Besides that, the CTE could play  a further role in encouraging 
and promoting the more advanced economies to provide resou rces and institutions for 
less developed partners in order to strengthen their capacity building and environmental regulations.  
3.310.   Lastly, my delegation looks forward to further discussion s towards a  successful outcome in 
MC13.  
3.311.   The representative of the Europ ean Union  delivered the following statement:  
3.312.   I will try to be brief , because I think th at there were already a lot of ideas put forward and 
we have already made some remarks in our previous intervention . The European Union of course 
would support the language on environment in the M C13 Declaration , as we were leading that 
process for the MC12 Ministerial Declaration.  
3.313.   If we do have that language, we would also welcome language that goes beyond simply 
recognizing environmental challenge s that we are facing and actually has some concrete examples 
on how the trade community can contribute . In that sense, we could support some of the ideas of 
reinvigorating this Committee by doing things and maybe , as mentioned previously, having a report 
from the Chair of what ha s been done and also a vision of what could be done in the future . As we 
mentioned , there could be a list or a plan of thematic sessions for discussion, attached to that report . 
3.314.   In addition , I think if we really want to be serious a nd try to find some language for the 
declaration, we need to step aside and make sure that we are looking for convergenc ies and not 
bringing very contentious issue s on the table because we are not going to be able to address  them. 
Of course , we would welco me a discussion on this in the future , as suggested by the Chair , and we 
would be happy to participate in that.  
3.315.   The representative of South Africa  delivered the following statement:  
3.316.   Paragraph 14 of the MC12 outcome  document recognises global environmental challenges 
including climate change and related natural disasters, loss of biodiversity and pollution. This 
paragraph must be read together with the CTE mandate and Work Programme outlined in the Doha 
Ministerial Declaration. As we move towards MC13, we ne ed to be practical, pragmatic, and 
reasonable. Given the importance of global environmental challenges, this is an opportune time for 
the CTE to refer to its mandate and work programme and to review any progress it has made to 
date in terms of its mandate.  Where there has been no progress, it must be understood why and at 
MC13 the Membership should be informed accordingly.  WT/CTE/M/78  
 
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  3.317.   Now is also the time for the CTE to invigorate the necessary political will amongst Members 
to move forward on the more difficult enviro nmental issues based on the CTE mandate and work 
programme, and in a manner that fits countries ' needs and priorities, and this includes discussions 
taking place within a sustainable development framework that better suits the long -term interests 
and needs of developing countries.  
3.318.   The CTE should not be used as a platform for the discussion of non -mandated issues. Nor 
should it be used to expand the potential for the use of environmental measures to restrict market 
access of goods from certain countries. Inclusion of non -mandated issues in the CTE means an 
expansion of the mandate and effectively a cha nge in the work programme.  
3.319.   Environmental issues should be discussed based on the CTE mandate and work programme. 
The importance of the climate agenda is acknowledged, but it is equally important to note that issues 
being debated and likely to be pursued in  the short - and medium -term in the CTE could have 
far-reaching implications for developing countries.  
3.320.   There is a need to better understand the links between growth, trade, and the environment. 
The relationship between trade, development and the environment  is complex and not well 
understood. There is limited understanding of the role international trade plays in fostering economic 
growth and only a limited understanding of how international trade and growth affect the 
environment.  
3.321.   There is also a need for t he CTE to engage in issues of importance to developing countries.  
For instance, the role of trade in adaptation, how developing countries deal with harmful impacts of 
environmental related trade measures imposed by some countries, and how to ensure better 
synergies between discussions under WTO, UNFCCC and other MEAs. Environmental policies are 
evolving rapidly and increasingly will affect developing countries ' market access significantly.  
Measures like capacity building, technology transfer financial and t echnical assistance, should be 
strengthened to ensure that they are adequate and fit for purpose for developing countries to allow 
them to meet the incremental costs arising from global environmental issues.  
3.322.   Importantly, WTO seminars and discussions on the environment under the CTE must be 
balanced if we are to make inroads, including balanced views based on institutions and pane llists 
invited to address the issues. Otherwise, this risks polarization of the discussions which is not helpful . 
We need a Member -driven process that takes into account the interests of all Members.  
3.323.   These are important issues that must be addressed and remain of critical importance to a 
developmental agenda of the CTE.  
4  MULTILATERAL ENVIRONMENTAL AGREEMENTS AND WTO – CTE WORK PROGRAMME 
ITEMS 1 AND 5  
4.1  United Nations Framework Convention on Climate Change (UNFCCC)  
4.1.1   Briefing by t he United Arab Emirates on COP28 preparations  
4.1.  The representative of the United Arab Emirates  delivered the following statement:  
4.2.  COP28 of the Unit ed Nations Framework Convention on Climate Change will be held in Dubai 
from 30 November to 12 December later this year under the Presidency of the United Arabs Emirates.  
4.3.  COP28 brings the world together at a critical moment for global transformative climat e action. 
Situated in a region where heat is extreme and fresh water is scarce, the UAE has long viewed 
climate change as a challenge that must be overcome.  
4.4.  As a regional leader in the energy and sustainability sectors, the UAE has grown and diversified 
its economy, creating knowledge, skills, and jobs for its young people, while contributing practical 
solutions to a global problem that affects us all.  
4.5.  To deliver on its ambitious agenda, COP28 will be inclusive, transparent, pragmatic, and results 
oriented . COP28 at UAE will be a milestone moment when the world will take stock of its progress WT/CTE/M/78  
 
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  on the Paris Agreement. This first Global Stock take (GST) will provide a comprehensive assessment 
of progress since adopting the Paris Agreement.  
4.6.  This will help align efforts on climate action, including measures that need to be put in place 
to bridge the gaps in progress. The COP28 UAE Presidency will work to ensure that the world 
responds to the GST with a clear plan of action.  
4.7.  In this regard, let me also provide you with a few highlights of the COP28 UAE Presidency's 
program which is under preparation.  
4.8.  The Conference will begin on 30 November and it will be followed by a World Climate Action 
Summit with the participation of Leaders from 1 -2 December.  Thereafter, there  will be thematic 
days that highlight the action areas which the UAE would like to progress.  
4.9.  The thematic days and their sequencing is still under consultation but I am pleased to inform 
you that the UAE has proposed a "Trade Day".  This will be the first t ime that trade has been 
highlighted as a specific theme at a COP.  
4.10.   We hope to highlight the role of trade as an essential part of the solution to climate change 
and enabler of climate -smart growth, including supply chain decarbonization, greening and 
resilience. As we develop this program me, we are consulting relevant international organizations , 
including the WTO Secretariat.  
4.11.   Other proposed themes for the COP28 UAE Presidency include: health, food and water 
systems, finance, just energy transition, industry , gender, youth and cities.  
4.12.   The proposed program me can be found on our website (www.cop28.com ) and it is open to 
comments from all stakeholders. We expect to publish a final progra mme towards the end of June.  
I encourage you take a look at our website for more information and the UAE will endeavo ur to keep 
you updated on developments as the year progresses, especially with respect to "Trade Day".  
4.13.   Thank you for your attention and I wish you successful discussions for the CTE and Trade and 
Environment Week 2023 . 
4.1.2   Briefing by t he UNFCCC on COP28 preparations  
4.14.   The representative of the UNFCCC  delivered the following statement:  
4.15.   Good afternoon, distinguished delegates, ladies and gentlemen. Let me start with a reference 
to the outcomes of COP27 in Sharm  El-Sheikh. As expected, COP27 focused on strengthening the 
implementation of climate action under the Convention and the Paris Agreement and did deliver a 
package of decisions, incl uding the Sharm  El-Sheikh implementation plan that reaffirmed parties' 
commitment to full implementation of the Paris Agreement. Some specific outcomes really stand out 
as landmark achievements, such as the decision to create a loss and damage fund. This d ecision 
represents a significance step towards addressing the pressing concerns about loss of damage. I 
would also like to note the call for a reform of multilateral development banks  (MDBs) and 
international financial institution (IFIs) , which was an exce ptional ly impactful outcome of the 
Conference . 
4.16.   The outcome s of COP2 7, along with the outcomes of COP26 in Glasgow,  have shaped the 
course of i nternational climate change process this year . Now we are at our regular mid -year 
conference period where negotiat ions and other meetings are conducted in the framework of our 
Subsidiary Bodies. T his will be followed  by the next COP28 in Dubai under the lead ership  of the UAE 
Presidency . 
4.17.   For that Conference , the broadly anticipated highlight relates to the so -called gl obal stocktake 
under the Paris Agreement. In Dubai, the first ever two -year long stocktaking process will conclude  
with the final, political phase of the process . By its mandate, the stocktake should assess collective 
progress towards achieving the goals o f the Paris Agreement , inform Parties of the next generation 
of NDCs  to be submitted in 2025, and announce international cooperation on climate action . This WT/CTE/M/78  
 
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  assessment will be underpinned by the technical phase of the process, the so -called Technical 
Dialogue, which is about to conclude now in Bonn during the session of Subsidiary Bodies . 
4.18.   The outcomes of the stocktake  will include the final report of the Technical Dialogue, the 
recommendation to be formulated on the basis  of high-level events at COP28, and a formal decision 
of the Conference. This may be complemented by a political declaration should Parties consider that 
addition useful and feasible.  The form at and content of the outcomes are being considered now 
under the lead of the c urrent and incoming COP Presidencies  (that is, Egypt and the UAE)  and this 
process will become more and more in tense as we get closer to COP28.  
4.19.   We expect that the stocktake will show insufficiency of the c urrent effort s despite  the clear 
urgenc y. In that r espect , the conclusion of the stocktake at COP28  is a major opportunity for 
"correcting the course", through technical assessment  and political signals on the need for enhancing 
action across all areas : mitigation, adaptation, lo ss and damage , means of imp lementation and 
action by non -Party stakeholder s. This opportunity must not be missed.  
4.20.   That said, we should also not forget that the conclusion of the third global stocktake is not 
the only meaningful outcome of COP28  – there will be many others . Implement ation of climate 
action is a complex, multi -facet process, and a good conference should address a large variety of 
issues in order to move implementation forward. For COP28 , issues relating to loss and damage , 
just transition , adaptation, mitigation , and f inance are expected to stand particularly high on the 
agenda . 
4.21.   Briefly, f or loss and damage , the landmark decision at COP27  on a fund  must be followed  by 
COP28 with an agreement on various modalities of the fund to make it operational . Along with the 
completion of the operational arrangement s for the Santiago Network on loss and damage , this 
would make the international climate change regime fully fit for purpose for addressing loss and 
damage  – a tangible , major outcome . 
4.22.   At COP 28, we sho uld also complete the work on the global goal on  adaptation, along with the 
solid methodological framework . This must strengthen adaptation efforts at all levels  – local, national 
and regional  – and under pin the planning and implementation of adaptation ac tions. 
4.23.   On mitigation, the ongoing m itigation work programme will need to be assessed at COP28  
with a view to making the program me more efficient and more impactful  in the light of the urgent 
need to address the emissions gap, as highlighted by our flagship  NDC synthesis report s. At the 
current June session , we are having a number of important events relating to this work program me, 
including a global dialo gue and investment -focused events . 
4.24.   On finance , which has always been a critical issue  at COPs , the long-outstanding goal on 
mobilizing  USD 100 billion of c limate finance annually should be achieved by 2023 as reported by 
developed countries in Glasgow. While full finance data for 2023 may not be available by the time 
of COP28 , a credible indicatio n of progress will send a strong positive  message . The same can be 
said about a success in ambitious replenishment of the Green Climate Fund and good progress in 
the doubling of adaptation finance. We will also see at COP28 how the important discussions on  new 
goals for climate finance and on making financial flows consistent with the objectives of the Paris 
Agreement evolve and how the international financial system responds to the call for reform, which 
was so prominently made at COP27.  
4.25.   COP27 formally est ablished a work programme on a just  transition  but its substantive content  
– like scope, modality  and timelines  – still need s to be developed . The negotiation s on these critical 
details have just started here in Bonn. T he growing importance of just transit ion reflect s the 
understanding that it is critical to engage whole  society in climate action and that no one should be 
left behind in this process . We hope that COP28 will deliver well on this key issue as well.  
4.26.   All in all, t he international climate change  process remains a ctive and challenging in 2023 . I 
am sure that upcoming COP28 will make its contribution to strengthening that process further, to 
respond better to the pressing challenge of climate change.  WT/CTE/M/78  
 
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  4.1.3   Briefing by the OECD on its work on the Inclusiv e Forum on Carbon Mitigation 
Approaches (IFCMA)  
4.27.   The representative of the OECD  delivered the following statement:  
4.28.   So I want to take the opportunity to first thank you for the invitation to present this on the 
new major project that we are doing at the OECD , which is called the Inclusive Forum on Carbon 
Mitigation Approaches (IFCMA).4 
4.29.   The IFCMA is designed to basically help countries with identifying what is going on in the 
world on the efforts around the world to reduce greenhouse gas emissions.  
4.30.   It consists of three parts. The first part is facilitating data and information sharing. We are 
doing this by taking stock of mitigation policy instruments in all member countries of the IFCMA and 
also estimating the effects of these policy instruments on emi ssions.  
4.31.   The second pillar is about enabling mutual learning to set up dialogues etc. with countries and 
to help inform future policy decisions in countries around the world. Basically, the idea is hopefully 
that countries see what works in other countries and what is going on in other countries and then 
they can use that to their advantage.  
4.32.   The third part is providing a platform for inclusive multilateral dialogue. The IFCMA 
membership is not the same as the OECD membership. Obviously, members do not have e xtra rights 
or anything, all countries have an equal footing in the IFCMA. The IFCMA is there just to provide 
information and to provide a platform. It is not intended as a standard -setting body and it is not 
intended as a forum to rank country policies. W e will not say in our project which policies work better 
than other policies, which ones are more effective or cost -effective, or anything like that, we are 
just there to provide this information on measures that are currently being taken.  
4.33.   It is organized in two modules. The first one is to undertake a stocktaking and mapping of 
mitigation policies, using a new methodology and new technology of how to basically organize 
different policies that exist, using a clarification system and then mapping the policie s to their 
greenhouse gas emissions to basically identify the share of emissions that are covered by the 
instrument. This will help with the improved comparability of policies and compl ements and supports  
the work conducted under the UNFCCC . We are in cons ultations with the UNFCCC to ensure that we 
are not having any annoying overlap and that we compl ement and support their work.  
4.34.   The second modu le of the work is assessing the impact s of the policies on emissions , so this 
relies on reviewing methods for how to assess changes in emissions  and a pplying a common 
methodology or a common approach across countries . We take a domestic approach , so we estimate 
the effect of domestic individual policies or policy packages in some cases in reducing domestic 
emissions.  We are  also adding to that a review of methodologies for comp uting carbon  intensity, 
mostly at the sector of the individual goods rather than broad -based carbon intensity measurement 
by sector.  
4.35.   There are a few c ross-border aspects that I thought would be n ice to highlight here today 
because , even though this is a domestic assessment of domestic effects of domestic policies for 
individual countries, of course, the international context is always there , so there is an impact of 
domestic  action on internationa l markets for goods , such as energy , and, in principle , there is also 
an effect through international trade  on foreign emissions. Now, what we are d oing is we are not 
reporting on the changes in foreign emissions for the simple reason that we cannot calcul ate the 
changes in foreign emissions until we have done  the scenario a nalysis of the effects of policies in 
basically all of the major trading partners . So the effect s of foreign emissions may be there, but we 
cannot assess them until we have a broad base of countries covered in our analysis . We are taking 
this in a step -by-step approach and we are starting off  with a few pilot countries where we try to 
calculate the effects of the emissions and come up with methodologies and then , in a phase 2 , we 
will app ly these methodologies and apply it to broader IFCMA  membership.  
 
4 The presentation can be found in  document RD/CTE/231 . WT/CTE/M/78  
 
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  4.36.   So, basically, in phase 1, we assess , for a few pilot countries, how to work with this 
methodology, assess their policy instruments , and assess their emissions  change induced by these 
policy instruments and then, in phase 2, we  try to broaden that and continue to refine our 
methodologies . 
4.37.   After the presentation, the following delegation made comments.  
4.38.   The representative of Japan  delivered the following statement . 
4.39.   Thank you for the OECD for giving us the comprehensive presentation regarding the Inclusive 
Forum on Carbon Mitigation Approaches (IFCMA). At the G7 Hiroshima Summit earlier this year, the 
G7 endorsed an appropriate mix of policies, including ca rbon pricing, non -pricing mechanisms, and 
incentives that effectively reduce emissions, noting that these can vary based on country -specific 
circumstances. Japan also strongly supported the OECD's IFCMA in February and , as such, we will 
continue to activel y contribute to the discussions at the IFCMA.  
4.40.   The representative of the OECD  responded:  
4.41.   Japan raised an excellent point. The whole goal of the IFCMA is to not be biased against the 
type of policies that countries do use. We start off from a country -specifi c approach and we basically 
just make a stocktake of the policies that countries are implementing without any prejudice on the 
type of policy instrument that countries are using or suggesting that market -based instruments are 
better than non -market -based i nstruments etc. It is purely to take a stocktake of all types of 
mitigation and mitigation -relevant policies that countries are implementing.  
4.1.4   Update by New Zealand on negotiations towards the Agreement on Climate Change, 
Trade and Sustainability (ACCTS)  
4.42.   The representative of New Zealand  delivered the following statement:  
4.43.   I am delivering this statement on behalf of participants in the negotiations for the Agreement 
on Climate Change , Trade and Sustainability , also known as the ACCTS. The ACCTS  initiative is a 
practical example of how economies can leverage trade r ules and architecture in pursuit of climate 
and broader sustainable development objectives. Since our last update to this Committee in March 
2023, ACCTS  participants have held another round – round number 13 – of negotiations , which took 
place in Geneva in early June . 
4.44.   In our last update to the Committee , we spent some time explaining the value of the best 
practice guidelines, the voluntary eco -labels that we are developing under the Act , and how these 
can help ensure eco -labels to deliver accurate environmental information and do not become 
inadvertent barriers to trade. T he participants are therefore very pleased to announce the conclusion 
of negotiations on eco -labelling, which is the f irst chapter to be concluded under the Act.  
4.45.   The conclusion of these eco -labelling guidelines has added further momentum to the ACCTS  
negotiations and we look forward to being able to share the text with you on this chapter once the 
full agreement has been signed . 
4.46.   For this update today , we wanted to share information on the environmental services chapter 
of the agreement, where there is  also excellent progress underway . When leaders launched the 
ACCTS back in 2019, we were given an instruction to work toward s the establishment of new and 
binding commitment s for environmental services. This recognizes that liberalization of 
environmental services can facilitate the transition to low  carbon economies through encouraging 
the uptake of climate -friendly technologi es and sharing  an environment al expertise between 
different Members , as well as promoting sustainable supply chains  that are essential in the transition 
towards a more resource -efficient net  zero emissions and circular economy.  It can also increase 
competi tion in environmental services , making them cheaper to access and encouraging their use . 
4.47.   ACCTS  participants believe that such benefits are not limited to those sectors recognized in 
the established CPC  94 definition of environmental services . Environmental  challenges and the 
responses to them evolve over time and there are a range of additional services sectors where 
international trade liberalization could significantly contribute to advancing global action on WT/CTE/M/78  
 
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  environmental issues, such as climate change m itigation and adaptation; sustainable use of natural 
resources ; pollution control ; and the protection of biodiversity . 
4.48.   For this reason,  ACCTS  participants have been developing a list of environmentally related 
services to compl ement the existing environmen tal services category . In order to build this list of 
environmental and environmentally related services , the ACCTS  participants have developed criteria 
to guide the creation and future review of such a list , setting out relevant activities that serve 
environmental purposes . They have then applied these criteria to identify particular services across 
a range of sectors that contribute to those environmental purposes, as well as act -outs where 
necessary to avoid capturing services that do not serve those pur poses.  
4.49.   In the work of developing this list, ACCTS  participants have considered existing work in a 
range of international fora and agreements, including from WTO d iscussions during t he Doha Round 
and more recently during technical exchanges in the CT S-SS. W e continue to work to build an 
ambitious list that recognizes the contribution that a range of services sectors and modes can take 
to address environmental challenges . ACCTS participants can then take the final step of undertaking 
binding commitment s in relation to this list . 
4.50.   We hope this work will be of interest to other WTO Members  and in time will inspire further 
action to liberalize environmental and environmentally  related services at a multilateral level.  
4.51.   Looking ahead, ACCTS  participants will continue their negotiations in the second half of the 
year with a view to concluding , during 2023 , across the remaining part s of the negotiation to address 
the liberalization of environmental goods and services and the establishment of disciplines to 
eliminate harmful fossil fuel subsidies as well as the supporting legal and institutional provisions and 
arrangements.  
4.52.   Noting that the ACCTS will be open to other WTO Members able to meet its standards, we 
encourage colleagues to share information on the negoti ations with their capitals and welcome any 
questions. We look forward to providing a further update on our progress at the next meeting of the 
CTE and to sharing the final text of the agreement in due course. We welcome any questions.  
5  ENVIRONMENTAL REVIEWS  - CTE WORK PROGRAMME ITEM 2  
5.1.  The representatives of the Australia and Singapore  delivered the following statement:  
5.2.  It is wonderful to be here today and to be able to talk to you a little bit about what is happening 
with the Singapore -Australia Green Econom y Agreement.5 The Agreement was signed by the Trade 
and Tourism Minister, Don Farrell, and Trade and Investment Minister of Singapore, Gan Kim Yong, 
in Canberra on 18 October 2022. It was signed with the awareness that vast increases in green trade 
and investment would  be required to fund the energy transition. This created real employment 
commercial and partnership opportunities for Australia. It is a leader's level agreement, which offers 
a platform for ongoing work to support both economies' transitions and , at the l aunch , Australia's 
Prime Minister said that the GEA extends well beyond a simple bilateral agreement in trade.  
5.3.  The GEA for Australia is really a new type of framework that we have not done before. It really 
seeks to align ourselves with Singapore on climat e and economic objectives. It is about fostering 
collaboration in green growth sectors while harnessing opportunities that come from the global 
energy transition. The GEA builds on our dynamic and long -standing bilateral relationship with 
Singapore, a key partner for Australia in south -east Asia.  
5.4.  The intended benefits is the increased spread and adoption of environmental goods and 
services – it is actually our largest EGS list ever – and reducing the regulatory burdens and operating 
costs for exporters of e nvironmental goods and services and promoting the development and 
commercialization of innovative green technologies and jointly working with Singapore and 
developing the skills and capabilities that will be needed to drive forward the clean economy.  
5.5.  The c hief negotiators, when they set up this architecture, really thought to enable it to have 
flexibility while also delivering on tangible climate and economic outcomes. So, the framework level 
 
5 The presentation can be found in  document RD/CTE/232 . WT/CTE/M/78  
 
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  is quite broad in scope, it is non -binding but enduring and also clearly articulates governance and 
implementation arrangements to ensure accountability. For example, it is reviewed annual by our 
leaders to ensure implementation and to enable changes to be made.  
5.6.  The negotiators wanted it to be in plain English and unlik e a typical free trade agreement  that 
you might see and to demonstrate a novel approach to cooperation. It has attachments that actually 
cover specific initiatives so, while the umbrella of the GEA is non -binding, as work progresses under 
the initiatives, cooperation such as setting up and enabling regulatory environments for cross -border 
electricity trade between Australia and Singapore, those regulations may become binding.  
5.7.  There are a number of areas of cooperation under those initiatives. The chief nego tiators 
included a set of core and aspirational principles for the agreement based on a shared belief and a 
rules-based system. The Australian government approached the GEA negotiations with a view that 
the WTO system has been fundamental to Australia's pr osperity and security and has underpinned 
our economic progress and stability across the Indo -Pacific. We consider that the challenges of 
climate change present an opportunity for the trading system to come together to support 
frameworks for WTO -consistent  approaches.  
5.8.  We agreed on a number of key areas for cooperation aimed at supporting trade liberalization 
for the clean economy. These include: trade and investment; standards and conformance; green 
and transition finance; and carbon markets. We know that w orking together on international carbon 
markets are challenging but we are very much open to working with international partners to 
harmonize rules and support the development of credible international carbon markets. There are 
also: skills and capabilitie s to grow jobs for the green economy; and engagements and partnerships.  
5.9.  I will shortly turn to my colleague from Singapore to talk a little bit more about implementation 
under the specific initiatives. Under these 17 key initiatives at the moment, of which  our leader has 
recently announced three, implementation has started . The 17 initiatives include an ambitious list 
of 372 environmental goods and 155 environmental services, and work aligning green financing 
frameworks so that we can promote trade and investment in green and transition  projects, work as 
I mentioned to build architecture to facilitate cross -border electricity trade, collaboration between 
Australian and Singaporean SMEs on activities in green growth sectors, and cooperation by our 
AUSTRAD E and Singaporean counterparts, Enterprise Singapore, to promote and facilitate business 
opportunities. These are just some of the initiatives that we have got under the GEA. I will now pass 
to my Singaporean colleague to give a better idea of some of the achievements and progress under 
the GEA.  
5.10.   The representative of Singapore  delivered the following statement:  
5.11.   Thank you, Australia , for covering the background of the GEA. I will just provide some quick 
updates on the implementation of the Agreement at the 8 th Singapore -Australia Annual Leaders ' 
Meeting , which took place in Singapore on 2 June 2023.  
5.12.   Singapore 's Acting Prime Minister Lawrence Wong and Prime Minister of Australia, Anthony 
Albanese , acknowledged the swift implementation of the GEA since its sign ing during the last Annual 
Leaders ' Meeting in October 2022 and noted the good progress made on key initiatives.  
5.13.   Some of the implementation highlights included the Launch of the joint A$20 million Go -Green 
Co-Innovation Program, which provide s grants over a four -year period to drive co -innovation 
between Singaporean and Australian small and medium enterprises to develop green products and 
services. Th is program will start with business matching activities in the lead up to grant applications 
opening later i n 2023.  
5.14.   Second, we also agreed to establish a Green and Digital Shipping Corridor (GDSC) by the end 
of 2025 to help decarboni ze and digitali ze the port and shipping industry, including through 
establishing low and zero -carbon fuel supply chains and digital  solutions to facilitate paperless 
handling between the ports of Singapore and Australia.  
5.15.   Third, we launched a  SGD 5 million Convergence Asia Climate Solutions Design Grant to 
support the design and launch of innovative blended finance solutions that mobil ize private capital WT/CTE/M/78  
 
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  to sectors critical for climate transition and resilience in Asia, such as clean energy, sustainable cities 
and infrastructure, and nature -based solutions.  
5.16.   Other notable implementation updates also included  the agreement to commence ind ustry 
consultations on environmental goods and services in the second half of this year. This will inform 
the periodic review of the GEA 's environmental goods and services list s and will enable new 
environmental goods and services to be added, which will e nable the lists to remain up to date and 
account for technical and technological advances.  
5.17.   Singapore and Australia have agreed to conduct environmentally sustainable procurement 
consistent with our international trade obligations including under the WTO Go vernment 
Procurement Agreement. To advance cooperation in this area of work including in eco -labelling and 
sustainability related schemes, our environment officials met twice in our bi -annual bilateral 
dialogues to pursue areas of common interest including  advancing eco -labelling, reducing 
greenwashing , government reporting on environmental sustainability, and reducing demand and 
extending the life of products.  
5.18.   A joint working group has also been established and is considering a range of issues to develop 
the architecture to enable cross -border electricity trade between Australia and Singapore. The joint 
working group aims to identify issues for inclusion in the cross -border electricity trade architecture 
between both countries , and to enhance regional energ y connectivity. This will build upon existing 
arrangements and also bring together relevant technical and policy experts for information  sharing 
on bilateral electricity trade.  
5.19.   We also embarked on a research -industry partnership with funding over a five -year period 
from each side. The aim of this partnership is to advance projects including those related to lithium 
battery recycling, food waste, and carbon capture, utilisation and storage, just to name a few.  
5.20.   Finally, we organi zed the inaugural Green Skills  Roundtable in May 2023 involving skills, 
training , and employment agencies from Australia and Singapore to share approaches and policies 
on developing the necessary skills and capabilities required in a green economy workforce.  
5.21.   Both sides  jointly delivered eight targeted initiatives and networking receptions for private 
and public stakeholders under our Green Business partnership. This would serve to facilitate potential 
partnerships, including in the hydrogen and agrifood tech sectors.  
5.22.   Lastly, Australian and Singaporean statistical agencies have held six technical working group 
meetings and developed a two -year work plan to collect and compile data needed to measure the 
green economy. The se meetings will involve the discussion of approache s to the collection and 
compilation of environmental -economic data and the sharing of experiences in the use of this data 
for green economy policy decision and reporting requirement s. These discussions will  hopefully  allow 
us to make a valuable contributio n regionally and internationally in the emerging area of 
environmental -economic measures.  
5.23.   If Members are interested in the GEA or any specific area of cooperation, please feel free to 
approach any of us from the Singapore an or Australia n delegation. Otherw ise, further details on the 
implementation progress of the GEA can be found on our respective websites.  
5.24.   After the presentation, the following Members made  the following comments.  
5.25.   The representative of Japan  delivered the following statement:  
5.26.   Japan would like to thank Australia and Singapore for updating the Singapore -Australia GEA. 
If I understand correctly the meaning of the agreement, in which presumably both countries have 
conducted legally binding text -based negotiations, I would like to k now when the two countries 
agreed to start the negotiations and how long it took for them to finalize the agreement . 
5.27.   The representative of  the European Union  delivered the following statement:  
5.28.   From our side, also many thanks to the delegations of Australia  and Singapore for sharing 
this very interesting and important initiative. I have two questions. I see that you have developed a WT/CTE/M/78  
 
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  list of environmental goods and a list of environmental services and we would be interested in 
hearing what criteria you applie d to them and how you define them. The second point of interest 
that it may be interesting to receive more information on is that I saw that you have a working 
group on measuring green economy and data collection. It could be interesting for purposes of ou r 
work to have more information on that.  
5.29.   The representative of the United States  delivered the following statement:  
5.30.   We also would like to t hank Australia and Singapore for your presentation on the GEA. It is 
clear to us  that the GEA is a cross -cutting init iative  and there are numerous cross -cutting trade and 
environmental objectives  that you are seeking to address, but we would like to ask if Singapore and 
Australia have considered presenting  on the GEA  in the Committee on Regional Trade Agreements?  
5.31.   We do note that our work here i n the WTO and in the CTE i s increasingly cross -cutting in 
nature, and suggest that an additional presentation in the CRTA could contribute to awareness and 
help to connect the dots between  the different workstreams that are taking  place h ere at the WTO.  
5.32.   The representative s of Australia  responded : 
5.33.   Thank you very much for the questions. Going to Japan's question first, apologies if I was not 
very clear with the explanation of the timeframe , but the Agreement is very much concluded  and 
the negotiations have concluded. It started with basically Singapore and Australia coming up with a 
vision for what they wanted to achieve and a certain amount of pillars under that and then they sent 
off their teams from their respective countries and i t took about a year to negotiate the Agreement 
and then the Agreement was announced in October 2022. So, the Agreement has been underway 
for about 7 or 8 months.  
5.34.   As for the EGS list and its methodologies, I will have to take that on notice and get back to 
you on that information because that was a different team that was working on that. Similarly, in 
relation to the working group on measurement, unless my Singaporean counterpart has information, 
I think we will just have to come back to you on that one too . My colleague Rhys will be able to 
answer the last question.  
5.35.   Thank you for the engagement and questions on the GEA. We will endeavour to get back with 
further detail on all of those questions. On the specific question about presenting to the CRTA, I 
would  have to double check the text but as far as I know the Agreement is not required to be 
presented because it does not amount to any legally binding obligations between Singapore and 
Australia, but I do know that we have discussed the importance of ensuring  that, where possible, 
we share our experience in the GEA and so we take the point that it could be a valuable opportunity 
to present to the CRTA on that. We will take that under advisement and discuss internally.  
5.36.   The representative of Singapore  responded:  
5.37.   I do not really have anything else to add but just to acknowledge the United States' point that 
we could consider presenting this at the CRTA, we will similarly take this back and see what we can 
do further.  
6  RELATIONS WITH IOS AND NGOS – CTE WORK PROGRAMM E ITEM 10  
6.1  Briefings from Observer organizations  
6.1.1   Briefing by UNCTAD  
6.1.  The representative of UNCTAD  presented its publications on " Trade and Environment Review 
2023" and " Plastic Pollution: The pressing case for natural and environmentally friendly substitutes  
to plastics".6 
 
6 The presentation can be found in document RD/CTE/229 . In addition, a full description of the TER 
2023 can be found he re: https://unctad.org/ter2023 . WT/CTE/M/78  
 
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  6.2.  Today I am going to be presenting the Trade and Environment Review 2023, which was issued 
one week ago on World Oceans Day (8 June). I will just point to key findings because we do not 
have much time, but the full report, as well as the on e on plastic substitutes, will be available to all 
of you on the website.  
6.3.  The first finding is that we started measuring tradeable ocean -based goods and services in 
2018. At that time, the first estimation was 2.5 trillion of global trade. We now have the numbers 
for 2020, a big year of the COVID -19 pandemic, with all the data notified by the Member States, 
and now the value of the ocean economy estimated at 2020 is 1.3 trillion, so basically it went down 
40%. Now, results of the analysis have been that, in  certain cases, especially in the case of 
ocean -based goods, those show more resilience and are now bigger than ocean -based services, for 
the first time since we started recording data. In the case of ocean -based goods, we have an amount 
of 681 billion and  for services it is 128 billion. Of all the sectors, the most important one, the biggest 
one, was high technology manufacturing products for the ocean economy, including inputs needed 
for fisheries, aquaculture activities, cosmetic pharmaceutical marine ba se, as well as for goods and 
energy renewal outcomes.  
6.4.  In this light, we can see that these sectors (maritime transport, high technology, manufacturing 
and cheap support equipment) went up, while exports of marine and coastal tourism service s went 
down deep ly, showing that it was uneven – some even grew during COVID -19 times, while others 
went down . 
6.5.  Looking at the main players in the ocean economy, the EU is the largest, with almost half a 
trillion in export s of wood and services, followed by China with 160 billion  and the United States  with 
84 billion . This is interesting because these are trade flows, these are not national accounts, so it 
does not include the national size of the economy ; it includes what i s traded across borders in good s 
and services . 
6.6.  When we look at developing countries  and the top 10 exporter s of ocean -based goods and 
service s of developing countries, you can see countries like India, Turkey, Thailand, Mexico, etc. 
What is interesting here is not the value of the exports , which rang es between 35 billion to 5 billion , 
it is that all these developing countries ' oceans econom ies are  very diversified . This is not the case 
for the terrestrial economy where many developing countries are mainly  focusing on certain 
commodities and certain products . This is very interesting . We have the data for all  countries, so 
you can also see the top 10 of developed countries , if you are interested , in the Review. But the 
importan t thing is that this diversifica tion is very interesting for resilien ce purposes, including 
COVID -19 and also climate change . 
6.7.  Looking at the growth , in growth terms , of ocean -based goods, we c an see that , even during 
COVID -19 times , the impact o n the ocean economy was very small in goods compared to other 
goods in general ; it only went down in the worst year (2020), 3.2%, which is a very low impact . You 
can even see that , while some sectors went down to 9.5 %, like  fisheries, many sectors or a couple 
of sectors grew, especially seafood processing because consumer behavi our changed from fresh 
products to ready -to-eat products in can s or preparations and also the re was growth in high 
technological manufacture d products for the oceans to implement satellite and offshore m onitoring 
and surveillance during the period of COVID -19, as we could not always have  people doing the se 
activities . So, it is interesting that even during the COVID -19 times , two sectors grew and most of 
them were very resilient against the impacts of the  pandemic.  
6.8.  In the case of services , this is where the problems arose. You have a huge drop of about 70% 
in tourism, but also in maritime passenger s, and that big drop  reduces the total value of the ocean 
economy in 2020, because it is so big  (coastal  and maritime tourism was the biggest of ocean 
economy sectors in 2018  at 1 trillion, so that tells you how big it was). It is starting to recover, but 
very slowly , as from 2021. Interestingly, maritime tran sport and port services recovered very quickly 
even dur ing the worst time of the COVID -19 period  they were one that kept growing and only went 
down about 2 or 3%. This implies that trade and connectivity was very important during COVID -19 
times and in the recovery and also the price of freight  and maritime tra nsport went up dramatically, 
bringing a lot of investment to recover quickly . Freight is coming down now in this year, but at that 
time was essential for th at upward  trend.  WT/CTE/M/78  
 
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  6.9.  Now, every two years we always analyse  two sectors  and, this year, we re dedicated t o two 
specific sector s: seaweed production and plastic substitutes due to the  impact of plastic pollution on 
the ocean . On seaweed production, it is very interesting that from 2000 -2020, the value and volume 
of trade of seaweed and sea weed products tripled . It is a very fast growing sector  and we estimate 
that it may double in less than 10 years . This is a very interesting sector because it has a very low 
ecological footprint  – you do not need f resh water, fertilizer or even land – and it i s human 
resources -intensive especially with women, so it is a very promising green and blue sector for all 
countries to engage  in to produce  foods, cosmetic s, pharmaceutical s etc.  
6.10.   On the issue of plastic substitutes, we have made several presentations already at the DPP. 
Here, basically when we talk about plastic  substitutes , we do not talk about  fossil fuel -based  
polymers, they are not included ; we do not talk about bioplastics, they are not included . We are 
talking about natural products that can substitu te or have the same functions as plastic products 
and are already available in the market . For example, we have the case  of bamboo  and many other 
products are of a circular economy nature such as agricultural waste, but also natural fibres. We can 
also use  minerals such as sand to produce glass etc., so there are many products already available, 
two-thirds are raw materials  and one -third is final products and the total value is 388 billion . To give 
you an idea, this is one -third of the plastic trade, so the re is huge potential to substitute right now 
with current technology, but nevertheless there is a lot of innovation around these products, many 
of which ha ve already been represented in this forum and another fora. 
6.11.   Interestingly,  while there are a lot of difficulties at the multilateral level to get constant 
achievement in many areas, in the ocean economy  and ocean government , it has been very active  
and very fruitful in the last year and a half . We have got the WTO Fisheries Agree ment; the extension 
of the CITES list of appendixes 1 and 2 to more than 40 new marine species ; the agreement on a 
text for a new treaty on biodiversity in areas beyond national jurisdiction ; the loss and damage  fund 
that may be very important for many SIDS; and the second UN Oceans Conference in Lisbon with a 
specific declaration and more than 1 ,200 voluntary commitments . So we have been very active at 
the multilateral level of the ocean economy  and we need to seize the opportunity to see that this is 
a very fruitful multilateral cooperation area . 
6.12.   Going to some additional findings and recommendations coming from the Review, something 
that really surprise d us was when we look at official development assistance for the ocean economy, 
we found out that it is v ery, very low . The official development assistance ( ODA) given to S DG 14 is 
the lowest of all, only 2.9 billion, which is almost nothing for the size of the task and all  the 
commitments we have in that area have been approved just recently last year . The investment gap 
identi fied by the UN in th is case to implement S DG 14 alone is 177 billion, so we are very far away 
with less than 2% of the resources we need . We need to start putting our money where our treaties 
are and we need to start filling these regul atory gaps . The fact that we are getting agreements does 
not mean that they do not need to be ratified , on the contrary, we need to ratify the WTO Agreement 
on Fisheries but also the new treaty on biodiversity beyond national jurisdiction and implement 
them. It is not going to be easy or fast but this is needed if we want to have results.  
6.13.   There are more than 40  or 50  recommendations coming out of the UN Oceans  Conference, 
the fourth Ocean Forum, plus more than 2 ,000 voluntary commitments, and we need to focus on 
getting them done. If not, we will lose all multilateral efforts . This is a high low level but it is a soft 
low level and political will needs to be moved forward.  
6.14.   We need to improve the line and efficiency of ocean policy at the national leve l. We see a lot 
of disconnect between sectors in most countries where we have done analysis . We realize that , 
during COVID -19 and post -COVID -19 times , there ha s been an increased interlinkage between 
regional value chains that have allowed resilience and incre ased value addition at the regional level 
in certain areas , including connectivity but also offshore energy and even security measures, such 
as fighting  illegal, unreported and unregulated ( IUU) fishing . Regional cooperation is essential . 
Finally, there ar e many emerging sectors in the ocean economy that are untapped. The other ones 
that we plan to analyse  in the future are marine bioprospecting and also offshore renewal energy . 
Many of these sectors are market -creating sectors; they are not fully developed , so investment in 
sustainable capacities and output for these sectors could bring win-win solutions to all. In the  plastic 
substitutes report, we identif y more than 242 HS codes from plastic s substitutes that are produced 
in all countries . So all countrie s may find substitutes  in their own market that are naturally based  
and can help us to fight plastic pollution.  WT/CTE/M/78  
 
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  6.15.   I am available for any questions. Outside, there is a nice exhibition on how we are helping 
developing countries to establish their own ocean ec onomy strategies . We started with Belize,  
Costa  Rica and Barbados but we are happy to continue with all willing Member states.  
6.16.   After the presentation, the representative of the European Union  made the following 
comment : 
6.17.   I would like to thank UNCTAD for this thought -provoking report. The EU appreciates that this 
Report can help inform the discussions both within the DPP as well as the negotiations towards an 
ambitious, international legally binding instrument to end plastic pollution. In relation to plast ic 
alternatives, the EU would like to encourage a careful assessment of the alternatives, in order to 
clarify the definitions, identify applications, and establish criteria for such applications. This is 
important to address related issues such as consumer  confusion, or contamination of waste streams, 
as outlined in the EU's policy framework on bio -based, biodegradable and compostable plastics.  
6.18.   The representative of UNCTAD  responded:  
6.19.   We welcome the comments by the European Union. It is interesting to note t hat, in the INC -2 
discussions, the issue of alternative substitutes was on the table and there was great confusion 
between alternatives and substitutes, meaning bioplastics and natural materials. I think this needs 
to be clarified because they are not the same product and they do not have the same effects. In one 
of the documents to the INC already several criteria were put on the table including safe, non -toxic, 
sustainable, affordable, and available substitutes. So, there is already some discussion on the  matter 
in the INC but also in the DPP we can go deeper and try to identify specific criteria that could help 
us to identify the most suitable products for substitution on a natural -based approach.  
6.1.2   Briefing by the World Bank  
6.20.   The representative of the World  Bank presented its recent work on trade and climate change : 
6.21.   It is our pleasure to be here with you today. The WTO has been an incredible ally in the trade 
and climate change forum of discussions and we thought it pertinent to share with you some of the 
outcomes of our ongoing discussions with the WTO and other organizations as well as some of the 
highlights  in our ongoing trade and climate change work program me here at the Bank . 
6.22.   The Bank has been aggressively driving up its agenda on trade and climate chan ge more 
broadly, top of which is financing, and the institution delivered a record USD 31.7 billion in fiscal 
year 2022 to help countries address climate change . At the heart of this agenda is also increasing 
its analytical work, and this is mostly in the form of country climate development reports  (CCDRs) . 
We believe that the challenge for developing countries is they no longer have an opportunity to 
develop first in a high carbon -intensive way  and then clean up and decarbonize later . They need the 
support  today to make investments now to slow a changing climate and enable billions to live safer, 
more prosperous , inclusive  and sustainable lives . So, if they are well -designed and implemented , 
the policies that countries put in place for low greenhouse gas resilient growth could also help them 
address poverty and inequality.  This is our prime focus in the work that we do . 
6.23.   To this end , our forthcoming report , which will be  published in the next month or so , has a 
special focus on the policy considerations that developing countries need to take into account as 
they design the ir NDCs  and the ir National Adaptation Plans (NAPs).  
6.24.   Here, I just want to share some very high -level messages from this upcom ing report . I will 
not go into a lot of detail because of time but also be cause it will be useful to have a broader 
presentation on this, maybe at the next CTE meeting . High -level messages include: what should be 
considered in mitigation and adaptation eff orts? Here, I have three main  things to share with you 
today . The first one i s methane matters. Emission mitigation measures sho uld extend beyond carbon 
to include methane as well as nitrous oxide, otherwise some important implications  for trade and 
emissi ons, especially in GHG-intensive sectors, will get ignored . 
6.25.   Number two : do not overlook low -emission sectors, especially if they are highly traded . So, 
in designing these policies  and regulations  emphasis should also be given to l ow-emission sectors WT/CTE/M/78  
 
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  that a re traded intensively, otherwise a huge part of trade -related emissions will not be covered 
because the y eventually add up. So trade intensity is also very key.  
6.26.   The third one, and  I think that this comes up a lot in various fora, is that trade spreads 
climate-related technology . So, trade as we know is a  key mechanism for the transfer of technologies 
that will help reduce the cost of  adaptation and mitigation . 
6.27.   Our Report comes up with more quantifiable numbers for all of these messages but here I 
just wanted to share the very high -level ones.  
6.28.   What d o these three main things mean for developing countries ? Number one, the low -
GHG transition . We hear a lot about the low carbon transition but, at the B ank, we are trying to 
focus more on low -GHG transition because , as I mentioned earlier, we are seeing methane has  huge 
numbers and of course an even huger impact so we need to take that into consideration. Low -GHG 
transition creates trade opportunities as well a s challenges. Low -income countries will be most 
affected by shifts in c omparative advantages brought about by climate change, but this will also 
bring in new opportunities to diversify away from energy -intensive  sectors  and get in volved in green 
value chai ns. 
6.29.   The second point is new rules equal new burdens , so low -income countries will continue 
needing that technical and financial support to adapt to m ore developed country sustainability 
initiative s. 
6.30.   The third point is that financing the low-GHG transition is manageable . We  do some 
Computable general equilibrium ( CGE) simulations and we see that the amount that will be required  
for this transition is not as heavy as previously thought  (of course, granted , if we see a continuous 
flow of support  coming from de veloped country  nations and, of course, maintaining complementar y 
trade liberal policies ). 
6.31.   A fourth thing is that policies must be practical . We need practical guidance, it is necessary , 
and our Report  provides a very tabulated reform checklist  with policy  and implementation 
suggestion s for governments at the low -income, middle -income and high -income level . 
6.32.   So how  are we going to operation alize these findings ? The World Bank has several instruments  
as many of you WTO Members  would already know.  For example, through development policy 
operations, investment policy lending operations,  etc. But these basically provide a platform to 
support trade policy reform . These instruments can also be used to facilitate technology trans fers or 
to support investment in adaptation and resilience, design an d establishment of standards and 
certification systems for produce rs' carbon content, or sustainable practices in the production cycle . 
These instruments can be designed in such a way that th ey support trade and climate change reform 
priorities.  
6.33.   Now technical assistance and capacity building remains a strong pillar of our work. In this 
regard , we are very proud of our partnerships with the WTO and WEF as we have come together in 
the past year or so t o create the Action on  Climate and Trade (ACT) I nitiativ e. Under this trilateral 
initiative  of the  three organizations , we hope to work with you, WTO Members , to undertake 
country -specific analysis on trade and climate change and work with your capi tals to design and 
implement policies that can help you adapt and mitigate in the coming decades . 
6.34.   We look forward to engaging with you as we have a breadth of  analytical tools and frameworks 
and strategies to aid in this analysis of trade and climate chang e interlinkages at the country level 
and we stand ready to assist country teams as needed. Please feel free to reach out to us.  
6.1.3   Requests for Observer status  
6.35.   The Chair  made the following remarks:  
6.36.   At the March meeting, India supported a request for Observer status from the International 
Solar Alliance. As you know, the consideration of Observership has been dormant in recent years.  WT/CTE/M/78  
 
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  6.37.   The CTE has several other requests on the table that have been pending for many years that 
could also deserve due consid eration. This topic also came up during my April consultations. Keeping 
in mind the views of participants in the consultations, my suggestion at this point is to hold an 
informal consultation at some point before the next CTE meeting to jointly consider ho w to proceed 
with the requests that are pending, including of course the last one by the International Solar 
Alliance.  
6.38.   The representative of India delivered the following statement:  
6.39.   Under this agenda item, we are putting forth a decision on granting Observ er Status for the 
International Solar Alliance (ISA) to the CTE. The ISA has made a formal request towards this end 
contained in document WT/CTE/COM/17 . 
6.40.   The ISA was formed with the joint sponsorship of India and France after COP21. Its mandate 
is to catalyse  global solar growth by helping reduce the cost of financing and technology for solar. 
It aims to create universal and affordable last -mile electricity connectivity towards facilitating 
economic development.  
6.41.   The ISA framework agreement has been signe d by 115 Members . As of end -May 2023, 
93 countries have signed and ratified the ISA Framework Agreement, including most of the 
WTO Members  represented here today in the CTE.  
6.42.   The ISA assembly has India as President and France as Co -President. The 8 Vice -Presidents 
come from four different regions – Tuvalu and Bangladesh from Asia Pacific ; Somalia and Mali from 
Africa ; Venezuela and Dominica from Latin America  and the Caribbean ; and Sweden and Denmark 
from Europe.  
6.43.   The ISA focuses on a singular objective of en ergy transition and , in this regard, it can benefit 
from engagement with the WTO Members hip through dialogues on trade , availability of finance , and 
explor ing possibilities of technological cooperation and capacity building.  
6.44.   We request WTO Members  to suppo rt this cooperation with an environment -focused 
international organization, which is also in line with the mandate contained in paragraph 12 of the 
MC12 Outcome Document , WT/MIN(22)/24 . 
6.45.   The Chair  made the following statement:  
6.46.   Thank you for your statement. As I said, I will proceed with the consultations before the next 
meeting of the CTE.  
7  OTHER BUSINESS  
7.1.  The representative of the United Kingdom  delivered the following statement:  
7.2.  At the March meeting of the CTE, the UK outlined its plan to publish an exploratory consultation , 
which considers a range of potential policy measures to mitigate carbon leakage risk in the future 
and ensure UK industry has the optimal policy environment to decarboni ze. This consultation was 
formally launched on 30 March and is now live, the closing date for responses is 22 June 2023.  
7.3.  Potential policies include a carbon border adjustment mechanism (CBAM), mandatory product 
standards (MPS), and other policy measures to help grow the market for low -carbon  products, as 
well as embodied emissions reporting that could support the implementation of these policies.  
7.4.  The UK is clear that international solutions to carbon leakage still remain the most desirable. 
The OECD 's Inclusive Forum on Carbon Mitigation Approaches is one excellent example of this. 
However, these solutions take time to develop, so whilst continuing to work on them with 
international partners, the UK is considering the immediate steps that are needed to ensure that our 
decarboni zation contributes to a reduct ion in global emissions.  
7.5.  Any policies taken forward from this consultation will need to be consistent with the UK 's 
commitment to free and open trade, upholding WTO rules as well as respecting international climate WT/CTE/M/78  
 
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  change commitments, and taking into consi deration countries ' differing levels of development. The 
key priority for this consultation is to build evidence, improve data gathering and knowledge sharing 
to further understand and mitigate carbon leakage risk.  
7.6.  We are fully committed to this being an o pen and transparent process, and this is why the 
consultation is open to international partners and overseas industry. To help facilitate this, the UK 
will be hosting an informal breakfast session this Thursday, 15 June from 8:30 -9:30am , which will 
run thr ough the consultation 's content in detail and give Members  a chance to ask follow -up 
questions. We encourage you to attend this session and are looking forward to seeing many of you 
there later this week.  
7.7.  The Ambassador of Colombia  delivered the following statement:  
7.8.  This Committee has shown today the potential and the long way to go in its work on trade  and 
environment. Colombia would like to reiterate our congratulations to you for your appointment, 
Chair, and you can count on the support of Colombia in yo ur management of this Committee.  
7.9.  To conclude, I would like to mention that it is imperative that we consider, in a simultaneous 
and coherent way, the agreements achieved at the UNFCCC COP, and the commitments established 
under the Convention on Biodiversit y and the fundamental principles of trade, such as 
non-discrimination and common but differentiated responsibilities. We must pool our efforts and 
work in close cooperation to address these challenges in order to promote a transition to a green 
economy tha t guarantees that the developing world can constructively integrate into that process 
and for the benefit of current and future generations.  
7.10.   For Colombia, the full peace process that we have been ensuring in our country is of foremost 
importance and is bas ed on climate and environmental justice, which is inclusive and multifaceted. 
We have adopted a bold and committed policy programme, but it is only through international 
cooperation and the effective implementation of trade and environment policy that we c an build a 
prosperous and sustainable future for all. This multilateral context is appropriate and is fully suitable 
for doing so. Together, we can make a difference and lay down the foundation for a global economy 
developed in harmony with our natural env ironment.  
7.11.   We reiterate our invitation to the side event hosted by our delegation in collaboration with  
TESS on Wednesday, 14  June on the design and implementation of trade -related climate measures  
and policies.  
8  DATE OF THE NEXT MEETING  
8.1.  The next meeting of the CTE is  scheduled for 11-12 October 2023.  
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  ANNEX 1: ITEMS OF THE CTE WORK PROGRAMME (1994)  
Item 1:  The relationship between the provisions of the multilateral trading system and trade 
measures for environmental purposes, including those pursuant to multilateral 
environmental agreements.  
Item 2:  The relationship between environmental policies relevant to trade and environmental 
measures with significant trade effects and the provisions of the multilateral trading 
system.  
Item 3(a):  The relationship between the provisions of the multilateral trading system and 
charges and taxes for environmental purposes.  
Item 3(b):  The relationship between the provisions of the multilateral trading system and 
requirements for environmental purposes relating to products, including standards 
and technical regulations, packaging, labelling and recycling.  
Item 4:  The provisions of the multilateral trading system with respect to the transparency of 
trade measures used for environmen tal purposes and environmental measures and 
requirements which have significant trade effects.  
Item 5:  The relationship between the dispute settlement mechanisms in the multilateral 
trading system and those found in multilateral environmental agreements.  
Item 6:  The effect of environmental measures on market access, especially in relation to 
developing countries, in particular to the least developed among them, and 
environmental benefits of removing trade restrictions and distortions.  
Item 7:  The issue of e xports of domestically prohibited goods.  
Item 8:  The relevant provisions of the Agreement on Trade -related Aspects of Intellectual 
Property Rights.  
Item 9:  The work programme envisaged in the Decision on Trade in Services and the 
Environment.  
Item 10:  Input to the relevant bodies in respect of appropriate arrangements for relations 
with intergovernmental and non -governmental organizations referred to in Article  V 
of the WTO.  
 
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  WT/CTE/M/78  
 
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  ANNEX 2: DOHA MINISTERIAL DECLARATION PARAGRAPHS  
32. We instru ct the C TE, in pursuing work on all items on its agenda within its current terms of 
reference, to give particular attention to:  
 
(i) the effect of environmental measures on market access, especially in relation to 
developing countries, in particular the le ast developed among them, and those situations in 
which the elimination or reduction of trade restrictions and distortions would benefit trade, 
the environment and development;  
 
(ii) the relevant provisions of the Agreement on Trade -Related Aspects of Inte llectual 
Property Rights; and  
 
(iii) labelling requirements for environmental purposes.  
 
Work on these issues should include the identification of any need to clarify relevant WTO rules. The 
Committee shall report to the Fifth Session of the Ministerial Conference, and make 
recommendations, where appropriate, with respect to future action, inc luding the desirability of 
negotiations. The outcome of this work as well as the negotiations carried out under paragraph  31 
(i) and  (ii) shall be compatible with the open and non -discriminatory nature of the multilateral 
trading system, shall not add to o r diminish the rights and obligations of Members under existing 
WTO agreements, in particular the Agreement on the Application of Sanitary and Phytosanitary 
Measures, nor alter the balance of these rights and obligations, and will take into account the nee ds 
of developing and least developed countries.  
 
33. We recogni ze the importance of technical assistance and capacity building in the field of trade 
and environment to developing countries, in particular the least developed among them. We also 
encourage th at expertise and experience be shared with Members wishing to perform environmental 
reviews at the national level. A report shall be prepared on these activities for the Fifth Session.  
 
51. The Committee on Trade and Development and the C TE shall, within t heir respective mandates, 
each act as a forum to identify and debate developmental and environmental aspects of the 
negotiations, in order to help achieve the objective of having sustainable development appropriately 
reflected.  
 
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