UK-Canada Trade Post-Brexit: Leading with Circular Economy Trade

Abstract

This research explores the viability of and considerations for circular economy international trade, a new international trade concept developed from an established circular economy concept. This work derives insights from literature to initiate a new branch of international trade, augmented by several trade experts’ reviews to ensure the feasibility of the ideas. Academic and practical insights include advice for future trade agreements and suggestions for future international trade research, opening up a new field of circular economy trade. The original 2018 academic research was jointly commissioned by the UK and Canada to consider how to design a trade agreement between the two countries post-Brexit. As of April 1, 2021 and as predicted by our original 2018 work, an agreement, called the Canada-United Kingdom Trade Continuity Agreement (Canada-UK TCA), much like the Comprehensive Economic and Trade Agreement (CETA) between Canada and the European Union is in place to support UK-Canada trade. CETA incorporates some principles of sustainable development. Taking sustainable development aims further by explicitly embedding circular economy trade into the UK-Canada agreement would represent progression of international trade agreements and possibly support a worldwide “race to the top”. According to expert opinion, our nations could engage in circular economy trade because our countries are aligned on internal circular economy policy. Moreover, although traditional views on international trade could remain as barriers, even the World Trade Organization subscribes to this new model. Overall, this research opens up paths for future research opportunities in international trade.