Distance Beyond Geography: Understanding the Determinants of Sustainability Commitments in PTAs
Abstract
This paper investigates the factors that influence the inclusion of social and environmental provisions in Preferential Trade Agreements (PTAs), paying particular attention to their level of enforceability. Although prior research has largely addressed the effectiveness of these provisions and their implications for trade, the underlying drivers of their adoption remain insufficiently explored. To fill this gap, I construct an original dataset that captures the degree of enforcement of sustainable development provisions, using a lexical analysis approach that avoids normative assumptions and enables consistent cross-agreement comparisons. The empirical analysis relies on a probit model applied to a panel of country pairs over time. The results suggest that greater political and social distance between partners is associated with a lower probability of including high-enforcement provisions. By contrast, differences in economic development and trade integration appear to have no systematic effect. These findings underscore the role of political and normative alignment in shaping the design of sustainability-related trade commitments. The paper thus offers a new perspective on how relational asymmetries condition the negotiation and content of trade agreements.