In the global value chain, Free Trade Agreements (FTAs) play a critical role. In the meantime, these are upsetting the global environmental equilibrium. Not only is global trade increasing at a rapid pace, but global industrialization, which is linked to trade and regional economic development, has resulted in serious degradation of the environment. As a result, this research aims to provide a broad overview of the major issues surrounding economic relations between environmental and trade policies and basic concepts of free trade and their subsequent impact on the environment. Such a review is required due to the stresses that the rapid pace of globalization is exerting on the environment and trade. The data is collected through various secondary sources such as law journals, newspapers, magazines, books, etc. The data analysis yields conclusions, and the necessary recommendations are made. When Free Trade Agreements are between solely developing or developed nations, there is no aggregate environmental harm but when developed and developing countries reach an agreement on trade, however, overall environmental quality suffers as a result of higher Greenhouse Gases emissions.
