“Trade Is A Friend And Not A Foe Of The Environment”

The World Trade Organization acknowledged that some limits on trade may be needed to ensure it protects the environment, reports The Los Angeles Times.

”WTO case law has confirmed that WTO rules do not trump environmental requirements,” the global commerce body said. “Trade is a friend and not a foe of the environment,” said WTO Director-General Pascal Lamy

Border tax agreements are proposed as a way to ensure countries don’t move high energy production to countries that refuse to sign into the carbon trading programs. WTO will also examine the governments,who fund domestic green industries,if they should be allowed under these global trade rules. The organization wants to make sure these governments are funding its industry for the right reason, and not trying to protect domestic companies from international competition.

Recently, the U.S. and the European Union filed a complaint with WTO because China claims it shouldn’t export its domestic steel, chemicals and other raw materials for the sake of the environment.

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