A New Frontier? Consumer Protection in International Trade Agreements

Abstract

In this article, I discuss how preferential trade agreements have started incorporating consumer protection provisions, in deviation from the traditional practice of leaving consumer protection to domestic law. The article first outlines the traditional frontier between consumer law and trade law. After describing two models for incorporating consumer protection provisions — in chapters on e-commerce or in a dedicated consumer protection chapter — the article explores whether this is a welcome evolution or an instance of trade agreements overstepping. I argue that a rationale exists for including consumer protection in trade agreements due to the growth of cross-border business-to-consumer transactions and the need to align regulations to the scope of the problem. However, the institutional structure around consumer protection in trade agreements must be improved to make this successful.

Keywords: consumer protection, trade law, Free Trade Agreement between the United Kingdom and New Zealand

JEL Classification: K32, K33