Post by Udo Olgemöller
Partner at A&O Shearman
Circular economy is back — but for very different reasons. What used to be driven primarily by sustainability is now being reframed as a core element of industrial strategy and geopolitical resilience. At EU level, this shift is evident: The Ecodesign Regulation (ESPR) introduces binding circularity requirements for (almost) all products — from durability to recyclability and digital product passports; the forthcoming EU Circular Economy Act aims to build a Single Market for secondary raw materials and reduce dependency on imports. At German level, the new National Circular Economy Strategy (NKWS) follows the same logic: Circularity is framed as risk management for supply chains and a tool for raw material sovereignty; implementation focuses on product design, digitalisation and industrial value creation, not just waste policy. And, last but not least: This agenda is not only policy-driven - it is explicitly backed by industry. Recent BDI/BCG analysis highlights €65bn+ value creation potential and positions circularity as a key lever for competitiveness and resilience. This survey can be found here: https://lnkd.in/e4K6eeBj 👉 Circular economy is no longer (just) ESG — it is becoming a central pillar of EU industrial policy and market access regulation.