Abstract
As the World Trade Organization (WTO) takes on more environmental issues and unilateral initiatives by big players such as the European Union entail explicit border measures to address environmental targets, the governance of trade and the environment returns to the forefront of both agendas. We argue that the double move of more coercive trade tools for environmental goals and more soft environmental talks at the WTO won’t deliver the expected change on either the trade or environmental front. Hybrid trade, along with environment agreements such as the Agreement on Climate Change, Trade and Sustainability initiated by New Zealand, seem a more promising option.