This text examines the relationship between economic competitiveness and environmental protection in European Union policy. A team of academics and practitioners from the fields of law, political science and economics explore how this fear of a competitive disadvantage from high environmental regulatory standards has shaped the development of EU environmental policy. Exploring policy options which have been used in the past to reconcile competitiveness with environmental protection, the authors examine options which can offer a viable foundation for constructing the next generation of EU environmental policies. A range of international case studies addresses agreements and policies, including those dealing with ozone layer protection, pesticide exports, shipping climate change, agriculture, development assistance, and the environmental dimension of GATT/WTO.