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Articles

Vol. 60 No. 1 (2026): Prawo i Więź

Coordinating Environmental Standards and Trade Competition: European Union Legal Approaches and Implications for Vietnam

DOI:
https://doi.org/10.36128/hywrjs40
Submitted
5 December 2025
Published
19 February 2026 — Updated on 17 April 2026
Versions

Abstract

The increasing integration of environmental protection into global trade governance has resulted in structural tensions between sustainability standards and competitive market conditions. While environmental regulations aim to address climate, biodiversity, and pollution challenges, they may simultaneously raise production costs, restrict market access, and generate perceptions of green protectionism. The European Union (EU) has developed an advanced legal framework to reconcile these tensions by integrating environmental considerations into competition law, trade policy, and regulatory governance. This paper examines the main sources of conflict between environmental standards and trade competition and analyses the EU’s mechanisms for regulatory coherence, proportionality, and differentiated obligations. On this basis, it explores implications for Vietnam as the country implements new-generation free trade agreements and strengthens its domestic environmental governance. The study argues that coordinated legal frameworks, transparent procedures, impact assessments, and institutional cooperation are essential tools for balancing environmental ambition with economic competitiveness. The findings contribute to the broader discussion on how developing economies can navigate sustainability transitions without undermining their strategic trade interests.

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