Circular business models such as clothing resale and repair represent a multi-billion-dollar opportunity to strengthen economic resilience, create local jobs and generate new sources of revenue. Yet these businesses continue to operate within a system designed for a linear economy.
This report examines the regulatory barriers facing clothing resale and repair businesses in Canada, the European Union and the United States. While these business models are expanding, they continue to navigate policy and regulatory frameworks that favour the production and sale of new clothing.
Scaling circular business models will require addressing the structural imbalances that make it cheaper to produce new garments than to keep existing ones in use.