Bilateral and Regional Economic Rules and Regimes

Abstract

This chapter canvasses the roles and nature of bilateral or regional economic treaties, and their potential implications for sustainable development. It then moves to analyse, firstly, whether and how, in bilateral and regional economic treaty texts, States provide exceptions in trade and investment treaties to prevent economic rules from constraining the regulatory flexibility of the Parties for social and environmental purposes in the field of sustainable development. Second, it discusses how States establish prescriptions and permissions for cooperation to resolve environmental and social problems that could be exacerbated by the bilateral or regional economic treaty, strengthening domestic laws and supporting efforts to mitigate potential environmental and social impacts. Third, it considers whether and how States agree permissions and prescriptions to liberalize trade and investment in specific economic sectors that they agree will contribute to sustainable development, encouraging technologies and industries prioritized in other international treaties on sustainable development.