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Trade agreements and sustainability : exploring the potential of global value chain (GVC) obligations

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Harrison, James (2023) Trade agreements and sustainability : exploring the potential of global value chain (GVC) obligations. Journal of International Economic Law . ISSN 1369-3034. (In Press)

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Abstract

This article investigates the potential of GVC-orientated sustainability provisions in regional and bilateral trade agreements (FTAs). Such provisions impose social and environmental obligations directly onto GVCs, as opposed to creating obligations for governments. The theoretical potential of GVC provisions are examined and the concepts of effectiveness and legitimacy are introduced as values by which to assess them. Four recent sets of provisions are then scrutinised. These are (1) palm oil sustainability standards from the Indonesia-EFTA FTA (2) hen welfare standards in the EU-Mercosur Association Agreement (EUMAA) (3) a stipulation of a minimum average wage for the automobile industry in the US-Mexico-Canada Agreement (USMCA) and (4) enforcement of collective bargaining and freedom of association directly against factories, also in USMCA. All of these provisions are found to have significant deficiencies. At the same time, it is argued that three different governance models underpin them, namely (1) third party certification schemes, (2) domestic regulations of one of the parties and (3) bespoke arrangements created for the FTA in question. The article therefore considers the potential and drawbacks of each governance model in terms of their effectiveness and legitimacy as well as alternative and complementary commitments including unilateral measures and subject-specific trade agreements.

Item Type: Journal Article
Subjects: H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HF Commerce
K Law [Moys] > KC International Law
Divisions: Faculty of Social Sciences > School of Law
Library of Congress Subject Headings (LCSH): Business logistics, International economic relations, International trade -- Law and legislation, Commercial treaties, Foreign trade regulation
Journal or Publication Title: Journal of International Economic Law
Publisher: Oxford University Press
ISSN: 1369-3034
Official Date: 2023
Dates:
DateEvent
2023Published
7 November 2022Accepted
Status: Peer Reviewed
Publication Status: In Press
Reuse Statement (publisher, data, author rights): This is a pre-copyedited, author-produced version of an article accepted for publication in Journal of International Economic Law following peer review. The version of record [insert complete citation information here] is available online at: xxxxxxx [insert URL and DOI of the article on the OUP website].
Date of first compliant deposit: 15 November 2022
RIOXX Funder/Project Grant:
Project/Grant IDRIOXX Funder NameFunder ID
SRF21\210223Leverhulme Trusthttp://dx.doi.org/10.13039/501100000275
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