Trade policy has risen up the political agenda because of geopolitical tensions and increasing protectionism. As concerns grow about the collapse of the rules based order, the UK must be strategic about striking a balance between supporting domestic industries and international trade. The circular economy, where products and materials are kept in use at their highest value for as long as possible, offers a pathway of economic benefits and increased resilience.

In this briefing, we propose criteria to help government decide which circular activities should be onshored to the UK, from battery recycling to electronics remanufacturing. We examine when onshoring makes sense across economic, environmental and social dimensions, testing the framework against EV battery recycling. We recommend linking onshoring decisions with trade policy and industrial strategy, prioritising sectors already identified as having high strategic necessity and growth potential.

We would like to thank Dr Jack Barrie, Charlotte Stamper (The Circularity Collective), Antonia Grey (British Metals Recycling Association) and our other interviewees for discussing the draft criteria with us. We would welcome approaches from anyone interested in developing this work further. All views expressed in this publication are the authors’ own.

For more information, please contact:
Libby Peake, senior fellow and head of resource policy