COMMISSION STAFF WORKING DOCUMENT EXECUTIVE SUMMARY OF THE EVALUATION of the impact of EU's agreements on key environmental aspects, including the climate
Date: 2025-12-19
Institutions: Directorate-General for Trade and Economic Security, European Commission
Subjects: EU growth strategy, climate change policy, common commercial policy, economic growth, green economy, international trade, investment, sustainable development, trade agreement (EU), trade relations

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   EUROPEAN COMMISSION  Brussels, 19.12.2025  SWD(2025) 434 final  COMMISSION STAFF WORKING DOCUMENT  EXECUTIVE SUMMARY OF THE EVALUATION  of the impact of EU's agreements on key environmental aspects, including the climate {SWD(2025) 433 final}  
 
 
Trade agreements signed by the European Union include dedicated provisions on Trade and 
Sustainable Development (TSD), including on environmental and climate issues. In its 2021 
Trade Policy Review, the European Commission announced that it would carry out an ex-post 
evaluation of the impact of the EU’s agreements on key environmental aspects, including the 
climate. The  Commission  tasked  a  contractor  with  a  qualitative  study,  and  the  results  were 
published in February 2025.  

The evaluation assessed trade agreements containing comprehensive TSD chapters. At the time 
the  study  was  commissioned,  eleven  such  agreements  –  applying  to  trade  with  19  partner 
countries – had been concluded and ratified by the EU. The evaluation focused on a sample of 
eight  countries  (covered  by  seven  agreements):  Canada,  Costa  Rica  and  Honduras  (same 
agreement), Georgia, Japan, Peru, Singapore, and Viet Nam. The evaluation also provided 20 
case studies.  

The  evaluation  focused  on  five  key  cross-cutting  parameters  related  to  the  environmental 
objectives of the agreements: (i) ratification and implementation of multilateral environmental 
agreements  (MEAs);  (ii)  promotion  of  regulatory  cooperation;  (iii)  non-regression  in 
environmental  protection  and  standards  within  partner  countries;  (iv)  dissemination  of 
environmental goods and services (EGS); and (v) building of multilateral alliances related to 
climate and the environment between the EU and partner countries within relevant international 
fora.  

This staff working document summarises the findings of the evaluation and presents the views 
of the Commission services on the analysis.   

The Commission services consider that the environmental and climate provisions in EU free 
trade agreements (FTAs) contribute positively to the environmental policy and sustainability 
efforts of its trading partners. They help reinforce existing commitments, can encourage the 
adoption  of  additional  environmental  protocols  and  play  a  limited  but  supportive  role  in 
ensuring compliance and enforcement.  

EU  trade  agreements  serve  as  platforms  for  intergovernmental  exchange,  regulatory 
cooperation,  and  dialogue  on  climate  and  environmental  policies. The  agreements  facilitate 
regulatory  cooperation  through  TSD  committees,  transparency  provisions,  and  economic 
incentives. 

FTAs also contribute to alliance-building, supporting informal and multilateral cooperation on 
biodiversity, climate, circular economy, and deforestation. While direct connections between 
the agreements and these alliances are difficult to establish, the FTAs provide mechanisms for 
collaboration and sustainable policy alignment.  

Trade in EGS supports the diffusion of green technologies and sustainable production methods. 
EGS trade helps economies transition towards sustainability by promoting renewable energy, 
circular economy models, and eco-friendly technologies.  

Importantly,  there  is  evidence  that  EU  FTAs  have  led  to  improvements  in  environmental 
standards in partner countries While external factors often shape environmental policies more 

 
 
than FTAs themselves, the absence of a "race to the bottom" suggests that these agreements 
provide a stable framework for sustainable trade practices. 

The Commission services agree with the evaluation that environmental clauses in EU FTAs are 
effective, efficient, coherent, and relevant. Overall, the inclusion of environmental provisions 
in EU FTAs has been a success.