Rethinking of an EU just sustainable trade policy and the Italian case study

This project maps the EU’s trade approach, objectives and instruments with a view to shaping a new sustainable trade policy, using Italy as a national case study. As the international trading system comes under mounting pressure from unilateral actions, great-power rivalry and the accelerating impacts of climate change, the EU must fundamentally rethink its trade policy. Central to this rethinking is a deeper integration of the trade-climate nexus – in particular, a clearer understanding of the co-dependence on embodied emissions embedded in trade relations – in order to advance climate, economic and industrial objectives in tandem.
Italy offers a compelling case study in this regard. Deeply integrated into the global trading system, Italy has a strong track record of emissions mitigation in key industrial sectors, most notably steel. This experience holds broader relevance for the EU’s external agenda: Italy’s ambitions to lead EU-Africa relations through the Mattei Plan make it a particularly instructive example of how domestic industrial strengths can inform and reinforce climate-aligned diplomacy.
The project brings together research, policy dialogue and capacity-building activities to develop concrete policy recommendations for the evolution of the EU trade framework and for the Italian context specifically.

Funding: European Climate Foundation