WT/MIN(24)/11/Add.4  
 
19 February  2024 
(24-1483) Page: 1/13 
Ministerial Conference  
Thirteenth Session  
Abu Dhabi, 26 -29 February 2024  Original: English  
 
  
TRADE AND ENVIRONMENTAL SUSTAINABILITY STRUCTURED DISCUSSIONS (TESSD)  
STATEMENT  BY THE TESSD CO -CONVENORS  
Addendum  
This addendum includes the outcome document of the TESSD Informal Working Group on Circular 
Economy – Circularity, accompanying the Statement by the TESSD Co -convenors circulated in 
document WT/MIN(24)/ 11. 
_______________  
 
 
INFORMAL WORKING GROUP ON CIRCULAR ECONOMY  – CIRCULARITY  
Mapping Exercise: Trade and trade policy aspects along the lifecycle of products  
_______________  
 
 
Table of Contents  
1   INTRODUCTION  ................................ ................................ ................................ ..........  2 
2   INITIATIVES AND EXPERIENCES SHARED BY MEMBERS  ................................ .............  2 
3   MAPPING OF MEASURES IN THE WTO  ................................ ................................ .........  4 
4   TRADE ASPECTS OF CIRCULAR ECONOMY  ................................ ................................ ... 9 
4.1   Transparency  ................................ ................................ ................................ ..............  9 
4.2   Standards and regulations  ................................ ................................ ........................... 10 
4.3   Trade facilitation  ................................ ................................ ................................ ........ 10 
4.4   Waste management  ................................ ................................ ................................ ....11 
4.5   Capacity building and technical assistance  ................................ ................................ .....11 
4.6   Technology and other trade -related aspects for cooperation ................................ ............. 12 
5   REFLECTIONS ON WAY FORWARD  ................................ ................................ .............  12 
 
  WT/MIN(24)/11/Add.4  
 
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  1  INTRODUCTION  
1.1.  The role of trade in contributing to a circular economy has been a priority in Members' 
discussions in TESSD. In the 2021 TESSD Ministeri al Statement, Members agreed to identify and 
compile best practices, as well as explore opportunities for voluntary actions and partnerships to 
ensure that trade and trade policies are supportive of and contribute to achieving a more 
resource -efficient cir cular economy.1 As foreseen by the TESSD Work Plan of February 2022, 
Members pursued more in -depth discussions in four informal Working Groups, including in the 
Working Group on Circular Economy  – Circularity.  
1.2.  In 2022, the Working Group held two meetings on 18 May and 4 October. At the May meeting2, 
Members heard business perspectives on the challenges and opportunities related to circular 
economy approaches as well as those to improve e -waste recycling, and shared their national 
experiences on h ow a circular economy approach was supporting sustainable development and 
climate change goals. At the October meeting3, Members discussed trade -related policy issues 
pertaining to  waste, end of life, and reverse supply chains. In addition, Members also s hared national 
experiences and discussed their priorities for the Working Group at plenary meetings on 31 March 
and 19  July. The 2022 annual report  summarises the Working Group activities .4  
1.3.  At the High -Level Stocktaking event on 2 December 2022, Members agreed to pursue 
sector -specific discussions and welcomed the proposition to pursue a mapping exercise to build a 
broader understanding of the trade aspects of circular economy which are relevant to each part of 
the lifecycle.5 In 2023 , on 17 Marc h, 11 May, 19 September and 21 November6, Members discussed 
the specific trade issues associated respectively, with circularity in batteries , renewable energy (solar 
and wind), electronics and textiles  sectors , as well as  considered presentations by the Secretariat 
on the mapping of circular economy -related measures in the WTO  and further advanced the mapping 
exercise . The 2023 annual report summarises the Working Group activities .7 
1.4.  The objective of this document is to pro vide an overview of the trade and trade policy aspects 
of circular economy based on the work of the TESSD Working Group on Circular Economy  – 
Circularity since 2022. In particular, the following mapping will cover: (i) initiatives and experiences 
shared by  Members; (ii) measures relating to  circular economy in notifications and trade policy 
reviews (TPRs) from the WTO Environmental Database  (EDB) ; and (iii) trade aspects of circular 
economy based on presentations, analytical work and discussions in the Work ing Group.  
2  INITIATIVES AND EXPERIENCES SHARED BY MEMBERS  
2.1.  During 2022 and 2023 , Members shared initiatives and national experiences aimed at 
advancing circular economy, including how circular economy approach es were supporting 
sustainable development and goals to address climate change, pollution and biodiversity loss.  
Table 1. Circular economy initiatives and experiences shared by Members  
Experience sharing  
Canada  – Right to Repair, Food Waste Reduction Challenge, and regional efforts  
• The Right to Repair aims to extend the lifetime of products such as home appliances and electric appliances 
rather than purchasing new ones.  
• The Food Waste Reduction Challenge aims t o reduce food waste and increased food availability, lower costs 
for consumers and businesses and reduced emissions, and strengthen our food systems.  
• Regional  efforts with the United States already in recovered paper materials and other recovered  material s 
will be critical to building circular supply chains in North America. It is worth noting that there is currently 
work underway under the Canada -Mexico -United States Commission for Environmental Cooperation to 
study recycling infrastructure and circular t rade.  
 
1 TESSD Ministerial Statement on Trade and Environmental Sustainability , WT/MIN(21)/6/Rev.2 . 
2 Summary report , INF/TE/SSD/R/10 . 
3 Aide-mémoire , INF/TE/SSD/R/13 . 
4 TESSD Summary Report 2022 , INF/TE/SSD/R/14 .  
5 Informal Summary by the Co -convenors, INF/TE/SSD/R/15 ; and Statement by the TESSD 
Co-convenors, INF/TE/SSD/W/21 . 
6 Summary  of discussions  in Working Group meetings held : 16-17 March – INF/TE/SSD/R/16 ; 
11-12 May – INF/TE/SSD/R/17 ; 19-20 September – INF/TE/SSD/R/19 ; 20-21 November – INF/TE/SSD/R/20 . 
7 TESSD Summary Report 2023 , INF/TE/SSD/R/21 .  WT/MIN(24)/11/Add.4  
 
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  Experience sharing  
Chile  – Producer Responsibility Law  
• In force since 2016, it makes producers of priority products responsible for financing the management of 
waste generated by products that are sold on the domestic market for seven priority products: technical 
and electronic equipment, batteries, packaging,  newspapers and magazines, tyres, batteries, oils and 
lubricants.  
China – Legal framework to support the circular economy  
• From 2008, China raised developing the circular economy as a significant strategic pillar for its economic 
and social development. In 2021, China further listed the circular economy as one of the ten key actions 
to achieve carbon peaking.  China has established  a relatively comprehensive legal framework to support 
the circular economy and has achieved significant progress in the circular economy, making a positive 
contribution to achieving sustainable development goals.  
• The 2009 "Regulations for the Administrati on of the Recovery and Disposal of Waste Electric and Electronic 
Products ", laid the foundation for a regulated management system of collection and disposal of waste 
electric and electronic products : manufacturers of products listed in the catalogue contri bute funds, which 
are then used to fund qualified companies engaged in the disposal of waste products.  By end of 2022,  
there were 109 qualified disposal companies in China, with an annual processing capacity of 160 million 
units of e -waste . 
Colombia – National Circular Economy Plan  
• The strategy  prioritises action on six material or resource flows: industrial materials and consumer goods; 
packaging materials; biomass; energy; water and building materials. The objective of the framework  is to 
increase the recycling rate from 8% to 12.5% by 2022. Through Extended Product Re sponsibility 
programmes, more than 500,000 tonnes of special waste have been recovered.  
Costa Rica – National Bioeconomy Strategy  
• The strategy aims to build a knowledge -based, green and resilient competitive decarbonized economy 
based  on the principles of a circular bioeconomy and decarbonization of production and consumption 
processes.   
European Union  – Circular Economy Action Plans, Eco -design for Sustainable Products Regulation, and Waste 
Legislation (including Packaging and Packaging Waste Regulation ; Directive on end -of-life vehicles), Batteries 
Regulation.  
• The measures aim, inter alia , to improve product design, to avoid the use of hazardous chemicals or 
materials, reducing the environmental impact of a product from conception.  
• The newly agreed  Eco-design for Sustainable Products Regulation expands the scope of former Ecodesign 
Directiv e to cover most end -use and intermediary products and  introduce s provisions designed to prolong 
product lifecycles such as product repairability, durability, and availability of spare parts, among others.  
• Regarding  waste, the EU aims to reduce waste genera tion and to bring back into the economic cycle 
secondary raw materials and recycle waste while promoting the uptake of extended producer responsibility 
(EPR) schemes.  
• The Batteries Regulation will  make batteries in the EU market more sustainable and circu lar, replacing the 
Batteries Directive. It aims to ensure sustainability throughout the lifecycle of batteries, from sourcing to 
recycling. The law introduces gradual sustainability requirements, higher collection targets, and mandatory 
recycling. Further detailed rules will be adopted from 2024 to 2028.  
Japan  – Japan Partnership for Circular Economy (J4CE)  
• A domestic circular economy partnership was launched in 2021 to deepen the understanding about the 
circular  economy, promote collaborative efforts and strengthen public -private alliances among a wide range 
of companies and stakeholders. A summary of 160 go od practices was published by Japanese companies 
with regard to the circular economy in September 2021.  
Korea, Republic of – K-Circular Economy Implementation Plan  
• This plan was formulated with the participation of stakeholders and experts from academia, civil society, 
and industry. It incorporates promotion of biodegradable plastics and renewable materials, and eco -friendly 
designs which facilitate reuse and re -production. Further, the plan also includes eco -friendly designs.  
Maldives – Ocean Preservation  
• Preserving the oceans is a national priority due to is economic importance, as the source of 60% of its 
GDP. Banning eight varieties of single use plastics since 1 June 2022 aims to reduce energy use and waste, 
while leading to value cre ation for plastic product collection through partnerships with industry.  
Saudi Arabia , Kingdom of  – Circular Carbon Economy Program me 
• The program me promotes circularity through circular approaches aiming to address both material wastes 
and emissions flows and could contribute to sustainable global trade by promoting solutions adapted to 
country's individual needs, circumstances, and priorities. Carbo n removal could be an additional step in 
the circular cycle beyond the cycle of reduction, reusing, and recycling and could have positive effects on 
the extraction of natural resources by reducing emissions.  WT/MIN(24)/11/Add.4  
 
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  Experience sharing  
Switzerland  – Plastic (on PET beverage bottles) and Electronic Recycling Rules (e.g.  Environmental Protection 
Act, Ordinance On Beverage Containers); Chemicals Risk Reduction Ordinance  
• National system to recycle PET, beverage containers made from aluminium and glass  bottles through a 
federal regulation and minimum threshold of recycling (a deposit will be introduced only if the recycling 
threshold is not met). Waste bottles that cannot be recycled are incinerated to produce electricity and heat. 
For electric and elec tronic equipment, an advance recycling contribution is included in the purchase price.  
• The Chemicals Risk Reduction Ordinance (ChemRRV) in Switzerland governs the regulations for batteries. 
Within its Annex, there are specific provisions concerning the rec ycling of traction batteries. Additionally, 
the annex includes regulations on battery labelling, requirements for the return and collection of batteries, 
mandatory fee payments, and reporting obligations.  
United States  – Sustainable Materials Management and National Recycling Strategy  
• The concept of sustainable materials management (SMM) aims at the systemic and productive use and 
reuse of materials over their life cycles, with limited impacts on the environment.  
• The N ational Recycling Strategy aims to create a more resilient and cost -effective national recycling 
system. And create more equitable access to recycling services reduce waste while promoting recycling 
and trade in recycled materials.  
Note:  This table includes initiatives and experiences shared in meetings in 2022 (based on TESSD Summary 
Report 2022 , INF/TE/SSD/R/14 ), as well as those mentioned in meetings in 2023.  
3  MAPPING OF MEASURES IN THE WTO  
3.1.  To inform the mapping exercise of the Working Group, the WTO Secretariat carried out a 
mapping of measures that relate to circular economy at the WTO, helping Members build a broader 
understanding of the aspects of trade and trade policy which are relevant to each part of the lifecycle. 
In par ticular, the mapping identified measures related to circular economy contained in notifications 
and trade policy reviews (TPRs) from the WTO Environmental Database  (EDB) . 
3.2.  This analysis by the Secretariat identified measures by circular economy activity/obj ective, 
which cover reducing resource consumption and waste generation, promoting the use of biocycles 
and sustainable materials, encouraging the substitution of non -renewable resources , supporting 
repair and remanufacturing practices, promoting reuse and recycling, facilitating waste -to-energy 
conversion, managing hazardous substances and waste in an environmentally sound manner, 
fostering technology and research development related to circularity , and enhancing transparency 
relating to material compositio n. 
3.3.  For the purposes of this mapping, the above -mentioned activities are referred to in the 
following manner: reduce, reuse, repair, remanufacture and refurbishment, recycle, biological 
cycles, substitutes, hazardous substances and waste management, waste -to-energy, 
technology/research and transparency. Table 2 below presents illustrative examples of trade aspects 
of circular economy, organi zed by activities.8 
Table 2. Illustrative examples of measures at WTO, addressing different circular 
economy activities  
Activity/objective  Illustrati ve example  Reference  
Reduce  Measure supporting the installation of new equipment 
that delivers reduction in raw materials, water, or 
waste with the aim to enhance material efficiency  G/SCM/N/372/GBR  
Reuse  Measure that provides discounts on levy apply for 
certain activities which include repurposing for reuse 
of e-waste  G/SCM/N/372/AUS  
Repair  Measure aimed at promoting repair for parts of 
manufacturing machinery  G/SCM/N/372/USA  
Remanufacturing and 
refurbishment  Measures that set out standards that apply to 
remanufactured products  
Measure that require s minimum level of energy 
efficiency in manufactured , imported, marketed and 
refurbished for sale squirrel cage induction motor  G/TBT/N/MEX/311  
 
G/TBT/N/BRA/1044  
Recycling  Measures that promote recycling of waste from lead 
and copper extraction  G/SCM/N/186/EEC/ Add.22  
 
8 These examples do not constitute definitions, but an illustration of measures by some Members 
included in notifications and TPRs from the EDB  for the period 2009 to 2021 . The dataset with all measures 
used in the analysis is avail able to Members and stakeholders.  WT/MIN(24)/11/Add.4  
 
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  Activity/objective  Illustrati ve example  Reference  
Waste -to-energy  Measure that promote waste -to-energy production 
facilities  G/SCM/N/343/USA  
Technology/Research  Measure that supports research for material recycling 
in electric vehicles  G/SCM/N/372/EU/ADD .27 
Transparency on material 
composition  Measures that set out requirements for the end -of-life 
management of batteries  G/TBT/N/EU/775  
Biological cycles  Promotion of degradable raw materials, such as 
biomaterials in production processes  WT/TPR/G/400  – Thailand  
Substitute  Measures which prohibits the knowing release of 
ozone – depleting and substitute refrigerants during 
the course of maintaining, servicing, repairing, or 
disposing of appliances or industrial process 
refrigeration  G/TBT/N/USA/1049  
Hazardous substances and 
environmentally sound 
management of waste  Measure to impose an import and/or export licensing 
for import and/or export of hazardous wastes from 
lead-acid batteries  G/MA/QR/N/KAZ/1  
 
3.4.  In addition to assigning measures to circular economy activities and objectives, the mapping 
also assigned measures to six lifecycle stages (raw material extraction; design; production; 
packaging and distribution; product use; end of life and waste disposal) and nine sectors 
(agriculture/food; batteries; construction & buildings; electronics; manufactu ring or multiple 
sectors; plastics & packaging; renewables; textiles; and vehicles). It should be noted that one 
measure can be assigned to more than one activity/objective, lifecycle stage or sector.  
3.5.  The analysis finds a total of 520 measures in notifications made by Members to the WTO 
between 2009 and 2021 that relate to circular economy (Table 3). Measures were notified by some 
85 Members, with the top 20 Members accounting for close to 77% of the 520 measures. More than 
three quarters of measur es related to circular economy are found in notifications under 
two agreements, namely , the Agreement on Subsidies and Countervailing Measures (SCM) 
(214 measures or 41%) and the Agreement on Technical Barriers to Trade (TBT) (180 measures or 
35%). A good number of measures are also found in notifications on import licensing procedures 
(IL) (62 measures or 12%) and quantitative restrictions (QR) (30 measures or 6%).  
Table 3. Measures by notifying Member and Agreement  
Member  SCM TBT IL QR SPS GP Other  Total  
United States  103 12 0 0 0 0 0 115 
China  30 17 1 0 0 0 0 48 
Korea, Republic of  9 9 11 0 2 0 0 31 
European Union  0 21 0 0 1 0 1 23 
Hong Kong, China  3 1 11 7 1 0 0 23 
Philippines  0 1 17 0 0 0 5 23 
Australia  14 1 2 3 0 0 1 21 
France  0 17 0 0 0 0 0 17 
Japan  0 4 0 0 0 7 1 12 
Mauritius  0 2 5 4 0 0 0 11 
Finland  9 0 0 0 0 0 0 9 
Romania  9 0 0 0 0 0 0 9 
Thailand  2 7 0 0 0 0 0 9 
Seychelles  0 1 2 5 0 0 0 8 
United Kingdom  5 3 0 0 0 0 0 8 
Canada  3 3 0 1 0 0 0 7 
Uganda  0 7 0 0 0 0 0 7 
Estonia  6 0 0 0 0 0 0 6 
Türk iye 0 3 0 0 1 0 2 6 
Viet Nam  3 3 0 0 0 0 0 6 
Other Members  18 68 13 10 9 0 3 121 
Total  214 180 62 30 14 7 13 520 
Source:  WTO Environmental Database.  
Note:  520 measures related to circular economy were found in notifications of 85 Members under  
12 agreements . WT/MIN(24)/11/Add.4  
 
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  3.6.  Figure 1 provides the mapping of measures by circular economy activity/objective and type of 
measure. The large majority of measures relate to downstream stages of the lifecycle, with recycling 
being the most frequent activity followed by hazardous substance and w aste management. A good 
number of measures also relate to reuse and repair , which are found in the middle stages of the 
lifecycle, while measures that relate to substitute s tend to be more upstream. The analysis of 
measures by circular economy activity sho ws that , while there are a good number of measures that 
have circular economy aspects or elements, only few measures notified to the WTO have a specific 
focus on circular economy.  
3.7.  The large majority of measures related to circular economy take the type of either support 
measures or technical regulations and conformity assessment procedures and appear relevant 
across most activities along the lifecycle. Another relatively frequent type of measures are bans or 
licences which tend to be found at  the end of lif e of products, and some other activities such as 
reuse and substitute.  
Figure 1. Measures by circular economy activity /objective and type in notifications  
 
Source:  WTO Environmental Database.  
Note:  The number of measures by activity/objective and type sum to more than 520, since one measure can be 
assigned to more than one activity/objective, and can consist of more than one type of measure. In 
particular, 520 measures were assigned to 740 circular economy activities/objectiv es and covered 
633 types of measures.  
3.8.  In line with the analysis by circular economy activity/objective, Figure 2 shows that the large 
majority of measures relate to a product 's end of life or waste disposal, while a relatively similar 
number of measures r elate to the different stages further upstream in the lifecycle.  
0 50 100 150 200 250 300 350 400 450Transparency on material compositionReduceRemanufacturing / refurbishmentTechnology / ResearchWaste to energyBiological cyclesSubstituteRepairReuseHazardous substance and waste managementRecycling
Support Technical regulations and conformity assessment Bans, licences OtherWT/MIN(24)/11/Add.4  
 
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  Figure 2. Number of measures by lifecycle stage  
 
Source:  WTO Environmental Database.  
Note:  The 520 measures related to circular economy are assigned to 645 lifecycle stages .  
3.9.  The 520 measur es apply to 580 sectors, the majority of which are specific sectors (58%) while 
a good number of measures apply to manufacturing horizontally or multiple sectors (42%). Figure  3 
shows the number of measures assigned to specific sectors and their composition in terms of 
economy activity/objective. The highest number of circular economy -related measures are found for 
the plastics and packaging sector, to be followed at some distan ce by the electronics, renewables, 
batteries and vehicles.  
3.10.   While measures relating to recycling appear prominent across all sectors, Figure  3 also 
illustrates sector differences and distinctive linkages with circular economy activities. For instance, 
repair measures are most prominent in the sectors of vehicles and electronics, likely indicating a 
focus on extending product lifespans and promoting maintenance practices. Similarly, the battery 
sector has a relatively high number of measures relating to haza rdous waste management, 
highlighting the requirement for proper disposal and handling of battery waste. The plastics and 
packaging sector is characteri zed by a relatively high number of substitute measures, indicating 
efforts to explore sustainable alterna tives. The relatively high number of waste -to-energy measures 
in the renewable sector can be explained by measures applying to biofuels.  
347
84 7862
4133
End of life /
waste disposalProduct use Design Packaging and
distributionProduction Raw material
extractionWT/MIN(24)/11/Add.4  
 
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  Figure 3. Number of measures by sector and circular economy activity/objective  
 
Source:   WTO Environmental Database.  
Note:  Around 242 measures are related to manufacturing horizontally or multiple sectors, which is not 
shown.  The figure only shows the number of measures for specific sectors.  
3.11.   Besides notifications, the WTO EDB also includes measures contained in TPRs. The  analysis 
finds that between 1999 and 2021, a total of 199 measures in TPRs relate to circular economy. 
These  199 measures correspond to 259 activities and objectives. The majority of the measures relate 
to recycling. A good number of measures also relate to hazardous substances and waste 
management, reuse, reduce and waste -to-energy  (Figure 4) . 
Figure 4. Measures by circular economy activity/objective in TPRs  
 
Source:  WTO Environmental Database.  
0 20 40 60 80 100 120 140 160 180TextilesConstruction & BuildingsAgriculture/FoodVehiclesBatteriesRenewablesElectronicsPlastics & Packaging
Recycling Hazardous substance and waste management Reuse
Repair Substitute Waste to energy
Biological cycles Reduce Remanufacturing / refurbishment
Technology / Research Transparancy on material composition
0 20 40 60 80 100 120 140 160RepairRemanufacturing / refurbishmentBiological cyclesSubstituteTechnology / ResearchWaste to energyReduceReuseHazardous substance and waste managementRecycling
Support Technical regulations and conformity assessment Bans, licences OtherWT/MIN(24)/11/Add.4  
 
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  4  TRADE ASPECTS OF CIRCULAR ECONOMY  
4.1.  This section provides a mapping of the trade aspects of circular economy that were covered in 
the discussions in the Working Group in 2022 and 2023. This is an illustrative mapping of 
trade -related issues, rather than an exclusive list, recognizing that trade policies for a circular 
economy need to respond flexibly to emerging and evolving business trends. Table 4 provides an 
overview of the trade aspects that are further mapped out below.  
Table 4. Overview of trade aspects of circular economy  
Transparency  Definitions and classifications  
Data and statistics  
Traceability  
Standards and regulations  Standards  
Product design  
Extended producer responsibility  
Trade facilitation  Trade facilitation  
Implementation and digitalization of Basel Convention's 
Prior Informed Consent procedure  
Waste Management  Waste management  
Capacity building and technical 
assistance  Trade facilitation and customs capacities  
Standards infrastructure  
Technology and other trade -
related aspects for cooperation  Support measures for a circular economy  
Goods and services  relevant to circular economy  
Knowledge and technology  
4.1  Transparency  
4.2.  Transparency can support the development and implementation of policies and activities 
towards a circular economy. Transparency can be enhanced through addressing classifications, data 
and statistics, and traceability, among various means. Com mon understanding regarding the  
definitions and classifications could contribute to  greater clarity regarding different types of products 
and their relation to circular activities. Similarly, data and statistics, including on the composition of 
materials a nd products along the lifecycle, as well as on circular trade, could be enablers for circular 
economy. Traceability also contributes to enhancing transparency, through relevant information -
sharing that support s activities and objectives towards circular ec onomy.  
4.1.1   Definitions and classifications  
4.3.  Lack of common understanding on product definitions and classifications present challenges to 
different actors ' efforts related to circular economy and circular trade. Existing Harmonized System 
(HS) codes do  not generally distinguish between new or used goods, second -hand goods for re -use, 
and goods intended for  refurbishment, remanufacturing, recycling and, in some cases, repair. 
HS codes  also do not distinguish between products made from virgin or recycled material s. 
Challenges exist in  differentiating and verifying different types of products at customs according to 
their intended use in a circular economy context.  For example, products / components that could be 
destined for remanufacturing might be classified as waste.  Discussions regarding definitions and 
classifications of different types of products relevant to circular economy and circularity could 
contribute to efforts in this regard, including by considering their intended use.  
4.1.2   Data and statistics  
4.4.  Accurate data and statistics are the basis for better understanding and monitoring of the 
cross-border circular economy. Current data gaps with regards to circular  trade make it difficult to WT/MIN(24)/11/Add.4  
 
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  comprehend trade -related challenges and opportunities in a circular transition. Improving the 
inter-operability of classification systems , including HS codes , could also contribute to this purpose.  
4.1.3   Traceability  
4.5.  Traceability alon g the value chain can contribute to  a safe circular economy, stimulate market 
development and support circular trade in diverse sectors. Information on material composition 
provided in labelling or other instruments or tools such as digital product passpor ts can facilitate the 
product 's management along its lifecycle, including in secondary markets , by providing information 
on how a product c an be safely managed, recycled or disposed of.  
4.2  Standards and regulations  
4.2.1   Standards  
4.6.  Standards, regulations and conform ity assessment procedures are relevant to circular economy 
and circularity. Common understandings, harmonization or mutual recognition of standards 
regarding circularity can contribute to trade -enhancing circular economy.  The principles in the WTO 
TBT Agre ement can guide the development of standards and regulations in support of a circular 
economy, which are non -discriminatory and do not create unnecessary obstacles to trade, while 
recognizing Members'  right to implement measures to achieve legitimate polic y objectives, such as 
the protection of human health and safety, or protection of the environment. The WTO can also play 
a role in enhancing transparency and cooperation in this area. Support measures might be needed 
to help trading partners meet standards  and regulations on raw materials, second -hand product 
reuse or product labels and participate in circular trade.  
4.2.2   Product design  
4.7.  Product design can be an enabler of circularity by making products with reduced quantities of 
materials, more durable, safe and  more environmentally sound, effective, easier to repair, refurbish, 
remanufacture, recycle etc. Practice exchanges, cooperation and exploration of harmonization of 
circular design policies could contribute to promote the dissemination of products designed  for 
circularity. Standards can support design for circularity. Aligning eco -design standards across 
countries could promote the entry of environmentally friendly products into multiple markets, which 
in turn can support scaling of circular economy busines s models.   
4.2.3   Extended Producer Responsibility (EPR)  
4.8.  EPR schemes extend producer responsibility for a product to the post -consumer / waste stage 
of the lifecycle, thereby possibly motivating producers to create more eco -friendly products and 
supporting activi ties related to circular economy such as improved collection, pre -treatment, reuse 
and recovery.  Current EPR schemes typically apply domestically. International collaboration could 
contribute to a better understanding of the links between different EPR schemes and international 
trade , including its application to on -line sales.  
4.3  Trade facilitation  
4.3.1   Trade facilitation  
4.9.  Trade facilitation can contribute to promoting circular economy , expediting the movement of 
goods relevant to circular economy and circularity. Provisions in the WTO Trade Facilitation 
Agreement (TFA) could play a positive role in the development of circular economy, including those 
related to transparency, the opportunity to comment on proposed changes in regulations, pos sibility 
of advanced rulings on customs issues like HS classification and rules of origin, customs cooperation, 
digitalization and single windows, authorized economic operators and pre -consented facilities, 
among others. Developing effective verification p rocesses to classify goods depending on their 
circular purpose (e .g. reuse, repair, refurbish, remanufacture, recycle) with greater accuracy can 
help prevent misclassification of goods, reduce revenue fraud, and maintain regulatory compliance 
while support ing circular economy  approaches . More broadly , trade facilitative approaches c ould 
support reverse supply chains for end -of-life parts and components . WT/MIN(24)/11/Add.4  
 
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  4.3.2   Implementation and digitalization of Basel Convention's Prior Informed Consent 
procedures  
4.10.   Waste and trade  rules apply to circular trade. The Basel Convention aims to control the 
transboundary movement of hazardous waste. Trade in controlled waste, which includes hazardous 
waste, is either banned or subject to Basel Convention's Prior Informed Consent (PIC) pr ocedure. 
Better coordination, digitalization and automation of PIC notification procedures could expedite 
regulatory processes, promote efficiency by complementing customs procedures, and enhance 
transparency at the border. Work on  improving the functionin g of the PIC procedure is ongoing at 
the Basel Convention.  
4.11.   In recent years, the Parties of the Basel Convention adopted plastic waste and e -waste 
amendments to enhance the traceability  and control  of the transboundary movements of such 
wastes considering the waste treatment capacity of each country. These amendments mean that 
most plastic waste and all e -waste are now subject to PIC, and were introduced to support the 
prevention of illegal shipment  as well as of non -environmentally sound management of waste. In 
addition to better controlling waste, a facilitated PIC procedure on shipments destined for countries 
where national recovery and recycling capacity comply with strong environmental standards  and 
safe recovery aimed at protecting human health and the environment, can also contribute to a global 
circular economy. For example, such facilitated procedure on critical mineral recovery could 
contribute to increasing circularity, addressing climate c hange, reducing pollution and preserving 
biodiversity.  
4.4  Waste management  
4.12.   Waste management was referenced as an essential foundation for trade -related aspects of 
circular economy and circularity. Enablers for environmentally sound management of waste include : 
product design (including minimi zing hazardous chemicals content, minimi zing the complexity and 
layers of materials used) ; and  transparency and traceability (to ensure operators of waste 
management systems have information to safely manage waste, and avo id contamination of 
non-hazardous waste, thereby keeping the value of materials which may be reinjected in a circular 
economy, through circular trade).  
4.13.   Environmentally sound disposal of waste in the country of origin  may prevent possible 
negative environm ent and public health impacts from trade in third countries. If waste are traded, 
it is important to ensure that they are exported to markets with appropriate waste management 
infrastructure, including collection and sorting systems, recycling facilities, and treatment plants. 
Possible challenges faced by importing countries include mixed composition of waste making it 
difficult to separate and recycle different materials effectively; unwanted or illegal waste imports; 
and disincentives created by imports f or local collection and treatment of waste. Furthermore, waste 
treatment challenges may arise from imported second -hand goods with insufficient quality and 
lifespan.  
4.14.   Border measures for waste management on different types of products, such as waste, scrap  
and used goods, were referenced as necessary for addressing environmental and human health 
concerns as well as illegal waste trade. Any efforts to enhance circular economy should fully 
recognize the necessity of such appropriate border measures for waste management, in particular 
for hazardous waste management. Common understandings on definitions and classifications as well 
as design and implementation of these measures can be relevant to advancing towards a circular 
economy.  
4.5  Capacity building and technic al assistance  
4.5.1   Trade facilitation and customs capacities  
4.15.   A number of developing and least developed countries (LDCs) face challenges in implementing 
international  frameworks relevant to circular economy, such as the Basel Convention and the WTO 
TFA due to v arious constraints, amongst which capacities of customs is often highlighted.  WT/MIN(24)/11/Add.4  
 
- 12 - 
 
  4.5.2   Standards infrastructure  
4.16.   Strengthening national and regional standards infrastructures — including the capacity for 
conducting internationally  recognized inspection, testing and  certification — helps to build trust along 
supply chains by allowing domestic companies to demonstrate compliance with the transparency, 
traceability and other requirements that are needed for a circular economy to operate safely and 
efficiently at a glob al scale.  
4.6  Technology and other trade -related aspects for cooperation  
4.6.1   Support measures for circular economy  
4.17.   Support measures can foster the uptake of circular economy models and technologies. For 
example, financial incentives and other support measures can  encourage the adoption of circular 
economy practices, traceability and accountability along the lifecycle, the use of recycled materials, 
investment in technologies for circularity, including recycling, trade of sustainable products, and 
foster entreprene urship in the sector. Transparency and practice exchanges on Members' policies 
for promoting a circular economy can strengthen further trade -related international cooperation for 
enhancing a cross -border circular economy.  
4.6.2   Goods and services  relevant to cir cular economy  
4.18.   Trade in goods and services relevant to circular economy, including relevant technologies, 
can support the transition to circular economy. A broad range of goods and services are needed to 
improve energy and resource efficiency, as well as co nservation.   
4.6.3   Knowledge and technology  
4.19.   Dissemination of knowledge and technology is an accelerator of circular economy at the 
international and domestic levels. For instance, innovative technologies, together with the 
exploitation of scale economies, are im portant for effective and viable recycling and remanufacturing 
processes  as well as for promot ing innovation and increase research and development efforts among 
partners, including relevant international organisations to develop more sustainable technologies 
and practices . Promoting technology and knowledge transfer, along with fostering cooperation, could 
support circular management of material flows and the extension of material lifetimes.  
5  REFLECTIONS ON WAY FORWARD  
5.1.  Based on th is mapping exercise and discussions in the Working Group, Table 5 lays out an 
illustrative and non -exhaustive list of areas f or possible trade -related actions on circular economy. 
The table may be used as a basis for identifying priorities for further work that could be pursued in 
the WTO9 as well as in collaboration with other International Organisations and stakeholders.  
 
 
9 Plastics -related areas are not included in this possible way forward considering there is another 
initiative in the WTO dealing with plastics, the Dialogue on Plastics Pollution (DPP).    
  WT/MIN(24)/11/Add.4  
 
- 13 - Table 5. Illustrative and non -exhaustive list of areas for trade -related action on circular economy, and possible further work in the WTO and 
with partners  
 Trade aspect  Area for trade -related action  Possible further work  
Transparency  Classifications to better reflect 
circularity  Map and analyse priority needs for classification systems to match the type and intended 
purpose of a product , especially when it comes to existing Harmonised System (HS) codes . 
Labelling and product 
passport s for transparency and 
traceability  Exchange of practices on establishment and use of labelling and product passports (including 
information on material composition, information on recycling)  
Standards and 
regulations  Standards for circular economy  Mapping of existing standards related to CE in a sector, analyse common principles for 
inter-operable standards on CE, consider principles set out under the WTO Agreement on TBT 
when developing standards or mutual recognition in the context of circ ular economy.  
Product design for circularity  Exchange practices on policies and standards of product eco -design and propose areas for 
harmonisation / interoperability.  
Extended Producer 
Responsibility (EPR)  Exchange on EPR schemes to support CE.  
Trade Facilitation  Efficient and Simplified 
procedures  Explore opportunities for simplified procedures and effective verification processes related to the 
implementation of the Trade Facilitation Agreement, as well as for trade -facilitative approaches 
for reverse supply cha in. 
Implementation and 
digitalization of Basel 
Convention's Prior Informed 
Consent procedures  Explore how activities under the WTO Trade Facilitation Agreement such as single windows and 
national trade facilitation committees could contribute to more coherent and transparent PIC 
procedures.  
Waste 
management  Waste management and 
circular trade  Exchange on Members ' challenges with environmentally sound management of waste and trade 
flows linked to circular economy, and how to address them.  
Capacity building 
and technical 
assistance  Capacity building and technical 
assistance for a safe and 
inclusive circular economy  Explore needs and opportunities for strengthening capacities of regulators, customs, and 
standards infrastructure to build trust along the supply chain, as well as for supporting SMEs to 
integrate circularity in their business models.  
Technology and 
other trade -related 
aspects for 
cooperation  Support measures for a 
circular economy  Transparency and experience sharing on Members' support measures for the transition to a 
circular economy.  
Goods and services relevant to 
circular economy  Identify goods and services that could promote circularity, including through technological 
solutions for circular business models.  
Knowledge and technology  Collect examples of technologies in support of CE, share experiences on technology access and 
explore opportunities for enhanced cooperation for technology acquisition and utilization.  
__________