Navigating the Evolution of Labor Provisions: Comparative Insights from China, the US, and the EU in Free Trade Agreements

Ruiqi Yang () and Han Luo
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Ruiqi Yang: University of International Business and Economics
Han Luo: University of International Business and Economics

Journal of the Knowledge Economy, 2024, vol. 15, issue 3, No 44, 11128-11160

Abstract: Abstract In the dynamic landscape of international trade, labor provisions within Free Trade Agreements (FTAs) have emerged as a pivotal intersection of trade liberalization and labor rights. This study delves into the historical development, motivations, and consequences of labor provisions, with a particular focus on China’s evolving role. Drawing on comprehensive analyses, this research uncovers a significant shift in the prioritization of labor standards by major global economies, notably the United States (US) and the European Union (EU), within their respective FTAs. The study highlights the theoretical implications of this shift, offering valuable insights into the adaptability and potential refinement of labor provisions in diverse contexts. Moreover, it underscores the policy implications for negotiators and policymakers, advocating for a tailored approach to labor standards that considers the unique circumstances of individual countries, particularly developing nations. The recommendation to fuse labor and environmental clauses into sustainable development chapters within FTAs provides a pragmatic blueprint for fortifying the applicability and enforceability of labor standards. By integrating labor and environmental considerations, FTAs can foster more holistic and harmonious trade relationships, ultimately contributing to a more equitable and sustainable global trade landscape.

Keywords: Labor provisions; Free Trade Agreements (FTAs); China-EU Comprehensive Agreement on Investment (CAI); Sustainable development; International trade; Labor standards (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s13132-023-01550-z

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