Newest research shows circularity trends are declining
Circle Economy Foundation, 2024 - We are a global impact organisation with an international team
of experts based in Amsterdam. Report created in collaboration with Deloitte, a consulting firm. “The
Circularity Gap Report: 2024”
https://drive.google.com/file/d/15droT_mBFK6Kkd1aO5kPzYFUqLdul2qM/view //DH
Despite the circular economy entering the mainstream, global circularity is still in decline.
Over the past five years, the volume of discussions, debates, and articles addressing this topic has
almost tripled, reflecting a heightened awareness and interest in circularity.1 However, the vast majority
of extracted materials entering the economy are virgin, with the share of secondary materials declining
steadily since the Circularity Gap Report began measuring it: from 9.1% in 2018 to 7.2% just five years
later in 2023. Meanwhile, the total amount of materials consumed by the global economy continues to
rise: in just the past six years alone we have consumed over half a trillion tonnes of materials—nearly as
much as the entirety of the 20th century. These statistics display the cold, hard truth: despite the
circular economy reaching ‘megatrend’ status, lofty speeches and targets are not yet translating into on-
the-ground actions and measurable impacts. Without bold, urgent action to shift to a circular economy,
we'll miss out on achieving broader social and environmental goals—ranging from emissions reductions
to boosting the use of secondary materials—putting industries and governments at risk of sleepwalking
into circular washing and missing out on much-needed impact.
Too many barriers exist for a circular transition
David Sehyeon Baek, 2023 - investment, fundraising and cybersecurity specialist at CGS-CIMB
Singapore and NPCore Korea. “The Circular Economy Can't Save Us, But We Haven't Even Gotten
Started” 8/18, https://www.linkedin.com/pulse/circular-economy-cant-save-us-we-havent-even-gotten-
started-baek-#:~:text=Reduce%20and%20Reuse%20are%20more%20effective%20as%20they
%20prevent%20waste,circular%20without%20genuinely%20integrating%20sustainability. //DH
The global economy remains wasteful, linear, and excessively dependent on fossil fuels. Despite the rise
of the circular economy concept, over 90% of resources end up as waste, accelerating both pollution
and climate change.
Challenges of Shifting to a Circular Economy: Transitioning from a linear to a circular system is complex.
Replacing the “take, make, dispose” model requires a collective effort, rethinking consumerism, and
reshaping supply chains to design out waste and enhance product longevity.
Insights from Sustainability Week Asia: Only 8.6% of the world's economy is circular, and the majority of
resources don't return to production cycles. The emissions from single-use plastics in 2021 were
massive, equal to all GHG emissions from the UK. Supply chain inefficiencies contribute significantly to
waste and emissions.
The Difficulties in Achieving a Truly Circular Economy: Current economic and regulatory frameworks
favor linear models, making circularity challenging. A circular approach requires coordination along the
entire value chain, involving different stakeholders, including industry competitors, policymakers, and
consumers.
The Shortcomings of Recycling: Recycling, especially of plastics, hasn't scaled up at the rate needed to
match consumption growth. Various challenges like the cost of collection, sorting, contamination of
materials, and the affordability of virgin plastic hinder effective recycling. Major brands like Coca-Cola
are finding it hard to source recycled plastic at feasible costs.
Broader Implications of Failing to Adopt a Circular Model: Not embracing a circular economy can
negatively affect businesses due to lost opportunities to retrieve valuable raw materials and potential
regulatory pressures. Europe is leading the way with forthcoming circular economy standards.
It is true that the circular economy concept holds promise for a sustainable future. However, its actual
implementation is riddled with complexities and challenges. There's a strong need for collective action,
regulatory support, and behavioral shifts to make significant progress towards this goal.
Implementing Circular Economy Is Not So Simple
Despite being far removed from major metropolitan areas, even Arctic sea ice contains microplastics,
indicating that pollution is now omnipresent in the world's oceans. Humanity produces around 1.3
billion tons of trash annually, which is leading to environmental and geopolitical challenges. The current
economy is largely linear, focusing on production and disposal rather than reuse and recycling.
Consumer Expectations for Convenience: The modern lifestyle, heavily reliant on disposable, single-use
plastics, has made the zero-waste lifestyle seem challenging and distant.
Regulatory Barriers: Some government regulations inadvertently promote wastefulness. For instance,
misunderstanding expiration dates on food products leads to unnecessary waste.
Insufficient Waste Infrastructure: Especially in developing nations, a lack of proper waste management
systems contributes significantly to plastic pollution in natural environments.
Inadequate Recycling Technology: Current recycling methods often degrade the quality of plastics.
Advanced technologies are required to recycle plastics without compromising their quality.
Unsustainable Business Models: The global rise in the middle class implies increased consumption.
Companies need to reinvent their production and distribution methods to accommodate this growth
without overburdening the environment.
