Negotiation of Environmental Goods Agreement - Consultation Document

INTRODUCTION

Hong Kong is participating in the negotiation for the Environmental Goods Agreement (EGA) among some World Trade Organization (WTO) Members. This note provides background information on the negotiation, and invites suggestions from interested parties with a view to assisting the Hong Kong Special Administrative Region (HKSAR) Government in formulating its position in the negotiation.

BACKGROUND

On 24 January 2014, Hong Kong, China joined 13 other WTO Members(Note 1) to announce a plurilateral initiative to liberalise trade in environmental goods (EGs) with the goal of eliminating tariffs on EGs. The negotiation for the EGA was formally launched on 8 July 2014. The negotiation will build upon the commitment by the 21 member economies of the Asia-Pacific Economic Cooperation (APEC) to reduce tariffs on a list of 54 products by 2015, and will explore additional products. The negotiation will also attempt to address non-tariff issues relevant to the liberalisation of trade in EGs.

The participants have agreed that the plurilateral agreement will take effect only when a critical mass of WTO Members participate in it, and that the benefits of the agreement will be extended to all other WTO Members on a most-favoured-nation (MFN) basis.

KEY ELEMENTS TO BE COVERED IN THE NEGOTIATION AND VIEWS SOUGHT

The negotiation will be structured along a number of specific categories of EGs. Product lists for tariff reduction/elimination on the following categories will be developed -
  1. Air pollution control
  2. Solid and hazardous waste management
  3. Clean and renewable energy
  4. Wastewater management and potable water
  5. Environmental monitoring, analysis and assessment equipment
  6. Other environmental categories including -
    1. Green buildings
    2. Natural resources protection
    3. Cleaner or more resource efficient technologies and products / energy-saving and environmentally preferable products
    4. Heat and energy management
    5. Noise and vibration abatement
    6. Natural risk management
    7. Recycled materials / resource-recyclable devices
    8. Remediation and cleanup / remediation of contaminated soil and groundwater
    9. Waste minimisation
    10. Other environmental products
We intend to participate actively and constructively in the negotiation for the EGA. To assist us in formulating our position in the negotiation, we welcome suggestions on relevant EGs of significant trade/economic interest to Hong Kong which we should seek to include in the EGA for tariff reduction or elimination, as well as any views on non-tariff measures/practices adopted by the other participants of the negotiation that pose difficulties to Hong Kong traders of EGs.

CONCLUDING REMARKS

As Hong Kong applies no tariffs on goods, we have no difficulty in meeting any obligation to reduce or eliminate tariffs on EGs, while our export trade and the business community will benefit from tariff reduction or elimination on EGs by our trading partners. The reduction or elimination of tariffs on EGs may also lower the cost of those products, which can be conducive to their wider use and to environmental protection generally.

Interested parties are invited to provide their views and suggestions in the form attached. The completed form can be sent in by mail, fax, or e-mail not later than 9 October 2014. For enquiries, please contact Mr Joseph Wong at 2398 5417.
Mailing address: Multilateral Division
Trade and Industry Department
17/F, Trade and Industry Department Tower
700 Nathan Road
Kowloon

Fax Number:

2390 7479 / 2789 2491

E-mail address:

mdiv1@tid.gov.hk

Trade and Industry Department
The HKSAR Government
17 September 2014

(Note 1)
The 13 WTO Members are Australia, Canada, China, Chinese Taipei, Costa Rica, the European Union, Japan, New Zealand, Norway, Singapore, South Korea, Switzerland and the United States.
2025-01-22
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