In our current economy, we take materials from the Earth, make products from them, and eventually throw them away as waste – the process is linear. In a circular economy, by contrast, we stop waste being produced in the first place.
The circular economy is based on three principles, driven by design:
- Eliminate waste and pollution
- Circulate products and materials (at their highest value)
- Regenerate nature
It is underpinned by a transition to renewable energy and materials. A circular economy decouples economic activity from the consumption of finite resources. It is a resilient system that is good for business, people and the environment.
The circular economy is a systems solution framework that tackles global challenges like climate change, biodiversity loss, waste, and pollution.
We must transform every element of our take-make-waste system: how we manage resources, how we make and use products, and what we do with the materials afterwards. Only then can we create a thriving circular economy that can benefit everyone within the limits of our planet.
A way to transform our system
What will it take to transform our throwaway economy into one where waste is eliminated, resources are circulated, and nature is regenerated?
The circular economy gives us the tools to tackle climate change and biodiversity loss together, while addressing important social needs. It gives us the power to grow prosperity, jobs, and resilience while cutting greenhouse gas emissions, waste, and pollution.
How the circular economy works #
Get the basics or explore the circular economy in detail.
The butterfly diagram: visualising the circular economy
Explaining the circular economy: re-thinking process
Recycling and the circular economy: what’s the difference?
Circular economy principles #
Circulate products and materials
Circular economy examples #
See the circular economy in action with these case studies from brands, businesses and policy makers.
Apeel
Apeel is a company that has come up with an innovative way to eliminate single-use shrink wrap plastic packaging on fresh fruit and veg, while at the same time tackling food waste.
Apeel is a layer of edible, plant-based coating applied to fresh products that mimics and enhances the natural defences of fruit and vegetables. This slows down the two main things that cause spoilage – water loss and oxidation.
thredUP
Through its managed marketplace, thredUP has created a smarter and easier way to buy and sell secondhand clothes.
Natura Brazil
“Helping to protect the Amazon is not just about principles or ideals. We’re talking about economic value.” – João Paulo Ferreira, Natura’s chief executive
Natura is South America’s largest cosmetic company. The brand became global when it purchased Aesop in 2012, the Body Shop in 2017, and most recently Avon products, making it the fifth largest beauty company in the world.
Dig deeper #
Podcast: What is the circular economy?
Video series: What is the circular economy? #
Explore the circular economy by topic #
Biodiversity and the circular economy
This topic area examines how the circular economy can help shape a nature positive future.
Cities and the circular economy
This topic area looks at the role cities play in the transition to a circular economy.
Climate and the circular ecomomy
This topic area looks how fixing the economy can help fix climate change.
Fashion and the circular economy
This topic area explores how the circular economy works for the fashion industry.
Finance and the circular economy
This topic area looks at the role of the financial sector in the shift to a circular economy.
This topic area shows how moving to a circular economy for food will help people and nature thrive.
Plastic and the circular economy
This topic area shows how the circular economy can help keep plastic in the economy.
