Press Release

18 December 2006
For immediate release

More information about the Friends of the Earth Europe Trade campaign


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Flaws in Mandelson's new green approach

Increased trade liberalisation is not the best path to fight climate change - Friends of the Earth Europe

Brussels, 18 December 2006 - Friends of the Earth Europe today welcomed the contribution of EU Trade Commissioner Peter Mandelson in the global efforts to tackle climate change, but highlighted loopholes in his proposals to link trade and climate change.

In a podcast speech and a message to 45,000 subscribers [1], Mandelson argued that trade policy can play a role in the global fight against climate change, by widening and opening global markets in key climate-friendly technologies, both at the WTO level and in the new EU bilateral trade agreements. Friends of the Earth Europe welcomed Mandelson's approach, but points out that his parallel objective of increased trade liberalization may conflict with quickly distributing these technologies and building up green industrial capacities in developing countries.

Sonja Meister, Climate Campaigner at Friends of the Earth Europe, said:
"Lower tariffs could reduce the prices of goods like solar panels and wind turbines, enabling them to be distributed further. But this will not be enough. Industrialised countries have to show more responsibility than just pushing for more market access and strengthening intellectual property rights. They have the obligation to enable poor countries to choose climate-friendly development paths through providing finance and technology transfer."

Mandelson's speech is in line with the new 'external competitiveness' strategy of the European Union, which promotes a far-reaching market access agenda for European companies [2]. Today, the EU is a world leader in 'green' technologies like solar panels and wind turbines. Increasing market access for these products is therefore a clear 'offensive interest' for the Union. In this context, Mandelson proposes to bring down national 'protectionist' measures such as border tariffs and restrictive public procurement markets.

Friends of the Earth Europe stresses that market access should not go unqualified. This means that goods or services produced in an environmentally-friendly manner should receive privileged treatment in international trade. Today, this is not possible under current WTO rules, based on the principle of 'non-discrimination' for 'like products'. These rules should therefore be reformed. These should then also allow for changes in the tax systems.

This is stressed by Charly Poppe, Trade Campaigner in the environmental NGO network:
"The international trade regime needs a fundamental overhaul. Tackling climate change means changing the international governance system and giving internationally-agreed environmental rules precedence over trade rules".

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For further information, please contact:

Charly Poppe, Trade Campaigner at Friends of the Earth Europe:
Tel: +32.2.5420189, Mobile: +32.485.534193, Email: charly.poppe@foeeurope.org

Sonja Meister, Climate Campaigner at Friends of the Earth Europe:
Tel: +32.2.5426100, Mobile: +32.484.975107, Email: sonja.meister@foeeurope.org

Rosemary Hall, Communications Officer at Friends of the Earth Europe:
Tel:+32.2.5426105, Mobile: +32.485.930515, Email: rosemary.hall@foeeurope.org

NOTES:

[1] EU Commissioner Peter Mandelson's speech

[2] The Commission has set new directions for its external trade policy in the Communication 'Global Europe - Competing in the World' published on 4 October 2006. This strategy on 'external aspects of competitiveness' contains a post-Doha vision and sets out new policy targets such as new and far-reaching bilateral trade agreements with EU's key trading partners, stronger intellectual property rights, and better access to other countries' public procurement markets. This plain de-regulation agenda in favour of European business contradicts EU's objectives in the field of sustainable development and poverty eradication:

http://ec.europa.eu/trade/issues/sectoral/competitiveness/global_europe_en.htm


Friends of the Earth Europe campaigns for sustainable and fair societies and for the protection of the environment,
unites more than 30 national organisations with thousands of local groups
and is part of the world's largest grassroots environmental network, Friends of the Earth International.