Green Due Diligence as a New Form of Protectionism — The Conflict Between Sustainable Trade and Human Rights

Abstract

The global shift toward sustainability has transformed environmental due diligence from a voluntary corporate practice into a regulatory instrument of international trade. This paper critically examines how Green Due Diligence requirements, introduced under the guise of promoting sustainable trade, may function as a new form of protectionism that disproportionately burdens producers from developing countries. Through a legal and policy-based analysis, the study explores the tension between environmental objectives and human rights obligations, particularly the right to development and economic self-determination. It argues that while sustainability standards aim to ensure ecological accountability, their extraterritorial application often reinforces structural inequalities and limits market access for vulnerable economies. The paper further evaluates the implications of European Union due diligence legislation and similar frameworks, questioning their compatibility with World Trade Organization principles and international human rights norms. Ultimately, it proposes a balanced model of sustainable trade governance that reconciles ecological responsibility with social justice, advocating for a human right–based approach to green regulation through Human Rights Due Diligence. This approach seeks to prevent sustainability-driven protectionism while ensuring equitable participation of all nations in the global green economy.