In a recent meeting in Brussels, a top European Union official discussed the EU’s new trade policy directions that focus on addressing climate change, economic recovery post-COVID-19, and growing international tensions. The EU aims to promote open, sustainable, and assertive trade policies that prioritize societal transformation towards a greener future.
For the Philippines, which recently announced the resumption of negotiations for a Free Trade Agreement (FTA) with the EU, this could mean aligning with the EU’s climate change objectives. The EU emphasizes the importance of producing goods sustainably to access European markets, particularly in the areas of green goods and services.
The EU’s trade agreements include rules on trade and sustainable development, with a focus on facilitating the green transition and promoting renewable energy. Domestically, the EU has set ambitious targets for climate neutrality and greenhouse gas emissions reduction, signaling a shift towards a more sustainable approach to trade.
While business and export groups are enthusiastic about the potential benefits of the FTA with the EU, cause-oriented groups are cautious. Trade Justice Pilipinas urges transparency from the Philippine government regarding the agreement’s details and its potential impact on working conditions and the economy.
Overall, the EU’s push for an open, sustainable, and assertive trade policy could have significant implications for the Philippines, especially in the context of the FTA. It remains to be seen how this new trade approach will unfold and whether it will contribute to a more climate-resilient economy for the Philippines.
