Unilateral sustainability and trade measures are increasingly shaping global trade practices, particularly within the European Union. Regulations like the Renewable Energy Directive (RED) and the European Union Anti-Deforestation Regulation (EUDR) impose specific requirements on imported goods to promote environmental sustainability.

While these regulations are designed to advance environmental goals, their legitimacy issues could hinder their success and foster a negative feedback loop. This problem highlights the need for solutions that address both the implementation and impact of these regulations on affected countries and international trade practices.

The project will tackle the legitimacy challenges associated with unilateral trade and sustainability regulations and enhance their long-term effectiveness. It will develop solutions that involve both the regulatory countries and those impacted by the regulations. Additionally, it explores the role of international organisations (IOs) in bridging gaps between these parties.

The project includes econometric impact evaluations to assess the regulations’ effects, online survey experiments to gauge stakeholder perspectives, semi-structured interviews for in-depth insights, and focus groups to explore the broader implications. The research focuses on EU regulations due to their prominent role in sustainable trade, and examines Brazil as a key trade partner with significant interests in forest conservation and biodiversity.

This research will provide insights into improving unilateral sustainability regulations and integrating them more effectively into global trade practices. By addressing legitimacy concerns and examining the role of international organisations, the project will support the development of more inclusive and effective policies that advance both environmental sustainability and fair trade.