Australia will join the push to ramp up free trade of environmental goods.
Efforts were kick started at the World Economic Forum in Davos, Switzerland overnight.
Australia, Canada, China, the European Union, and the United States are among the countries that will be involved in negotiations.
Trade Minister Andrew Robb said the development would benefit Australian businesses and innovators in the long run.
He said working to eliminate tariffs on environmental goods provides a way to "do the right thing" for the planet.
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The green sector includes goods and services related to reducing air pollution, treating waste and producing wind and solar energy.
US Trade Representative Michael Froman said the world trades about $US1 trillion ($A1.14 trillion) in such goods every year.
