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Trade-related environmental measures are on the rise, leading to an increase in trade disputes concerning environmental issues. Yet, the World Trade Organization (WTO) has not been successful in providing a comprehensive trade agreement on environmental goods and services. Moreover, its once-praised dispute settlement system is in crisis. To remain a salient and relevant international trade regime, the WTO needs to redefine its role and adjust its tools to address the new challenges arising from climate change. In this paper, we examine the strengths and limitations of the WTO in addressing trade-related environmental measures. In particular, we analyse discussions at the Committee on Trade and Environment (CTE), negotiations involving the Environmental Goods Agreement (EGA) and Fisheries Subsidy Agreement (FSA), and previous trade disputes concerning environmental measures. We also assess the WTO’s cooperation with other international organizations. Based on our findings, we offer suggestions on how to reform the WTO to meet the needs of the climate change era.