Circular Economy Market Report 2026

The circular economy market size has grown rapidly in recent years. It will grow from $517.79 billion in 2025 to $578.09 billion in 2026 at a compound annual growth rate (CAGR) of 11.6%. The growth in the historic period can be attributed to increasing waste generation levels, early recycling and reuse initiatives, rising regulatory pressure on waste reduction, growth of waste management infrastructure, increasing corporate sustainability commitments.

The circular economy market size is expected to see rapid growth in the next few years. It will grow to $888.22 billion in 2030 at a compound annual growth rate (CAGR) of 11.3%. The growth in the forecast period can be attributed to expansion of circular business models, rising investments in advanced recycling technologies, growing adoption of digital circular platforms, increasing focus on material traceability, strengthening extended producer responsibility regulations. Major trends in the forecast period include increasing adoption of closed-loop manufacturing models, rising focus on resource recovery and reuse, growing deployment of digital waste tracking platforms, expansion of product life extension strategies, enhanced emphasis on sustainable material design.

The increasing volume of electronic waste is expected to drive the growth of the circular economy market going forward. Electronic waste, commonly referred to as e-waste, includes discarded electrical and electronic equipment such as computers, smartphones, and household appliances that are no longer in use or have reached the end of their operational life. The rise in e-waste generation is largely attributed to rapid and frequent product upgrades, shorter device lifecycles, and growing consumer demand for newer electronic products, which accelerates obsolescence and disposal rates. The need to manage e-waste in a sustainable manner is encouraging advancements in recycling technologies, promoting the development of durable and repairable products, supporting innovative business models, and reinforcing regulatory and consumer-led initiatives. Collectively, these factors are strengthening the circular economy by creating new opportunities and driving innovation in resource recovery and e-waste management. For example, in March 2024, according to a report published by the International Telecommunication Union, a Switzerland-based specialized agency for digital technology, approximately 62 million metric tons of e-waste were generated globally in 2022. With e-waste volumes increasing by about 2.6 million metric tons per year, total generation is projected to reach 82 million metric tons by 2030, representing a 33% increase compared to 2022. As a result, the growing volume of electronic waste is supporting the expansion of the circular economy market.

Key players and leading companies in the circular economy market are increasingly concentrating on the development of advanced recycling technologies, including chemical and thermal recycling solutions, to convert difficult-to-recycle materials such as flexible packaging into high-quality secondary feedstock and to support closed-loop manufacturing systems. Advanced chemical and thermal recycling involves the use of controlled heat or catalytic processes to break down complex or multilayer polymers into reusable oils or monomers, enable material traceability through digital certification platforms, and operate modular systems that can be deployed close to waste-collection points. For instance, in May 2023, Greenback Recycling Technologies, a UK-based advanced recycling company, commissioned its Enval pyrolysis facility in Cuautla, Mexico. The plant processes flexible multilayer packaging into π-Oil suitable for recycled-content applications, recovers aluminium from composite laminates through its separation technology, and incorporates a blockchain-based verification system to certify waste origins and processed material volumes.

In November 2023, Jabil Inc., a US-based global manufacturing services provider, acquired Retronix for an undisclosed amount. Through this acquisition, Jabil aimed to strengthen its capabilities in recovering, refurbishing, and recycling product components and materials, thereby reducing electronic waste and advancing circular economy initiatives. Retronix is a UK-based company specializing in services that support circular economy practices through product recovery and reuse solutions.

Major companies operating in the circular economy market report are Nestlé S.A., Braskem S.A., Sony Group Corporation, Unilever PLC, Panasonic Holdings Corporation, Veolia Environnement S.A., Holcim Group, Adidas AG, H&M Hennes & Mauritz AB, Waste Management Inc., Remondis SE & Co. KG, Eastman Chemical Company, Levi Strauss & Co., Hitachi Zosen Corporation, Renewi plc, Daiseki Co. Ltd., Ragn-Sells Group AB, Patagonia Inc., Sims Lifecycle Services, TerraCycle Inc., ECOR Global Inc., Madewell.

Europe was the largest region in the circular economy market in 2025. The regions covered in the circular economy market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the circular economy market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The circular economy market consists of revenues earned by entities by providing services such as product design and development, repair and maintenance services, remanufacturing and refurbishing, recycling and resource recovery, reverse logistics and circular supply chain consulting. The market value includes the value of related goods sold by the service provider or included within the service offering. The circular economy market also includes sales of modular furniture, recycled and upcycled clothing, refurbished electronics, reusable packaging, eco-friendly building materials and sustainable home appliances. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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