Demystifying the Sustainable Development Chapter in the EU-Vietnam FTA

When trade and environment are jointly considered, relaxing environmental standards can nurture economic growth. Among several instruments to balance trade and the environment, free trade agreements (FTAs) have been increasingly employed. This is particularly a priority policy of some developed countries when negotiating FTAs, other non-commercial commitments are conditioned for granting market access to goods from developing countries. Using Chapter 13 of the European Union and Vietnam free trade agreement (EU-Vietnam FTA) as a case study, this article argues that the EU’s model of sustainable development is either a trade-off to gain market access for Vietnamese goods, or a meeting point between the EU’s priority policy and Vietnam’s internal need of addressing trade and sustainability. We further suggest that the sustainable development chapter in the prospective ASEAN-EU FTA, which would share great similarities with that in the EU-Vietnam FTA, could be agreed upon when the EU’s perspective meets ASEAN’s internal needs. EU-Vietnam FTA, EU FTAs, sustainable development, Vietnam’s internal needs