What it is
The circular economy is an alternative to the traditional “take-make-dispose” linear model: instead of extracting raw materials, manufacturing a product, and discarding it at end of life, a circular approach designs products to be reused, repaired, remanufactured, or recycled back into new materials. This matters for climate because material extraction and manufacturing, particularly for carbon-intensive materials like steel, cement, aluminum, and plastics, are themselves significant emissions sources, distinct from the energy-use emissions covered elsewhere in this hub.
Two key terms
- Embodied carbon (also referenced in Buildings / Efficiency) — the emissions locked into a material or product before it’s ever used.
- Extended producer responsibility (EPR) — a policy approach that makes manufacturers financially responsible for what happens to their products at end of life, intended to incentivize more recyclable design.
Why it matters
This sector is less about energy and more about industrial process and product design, making it a distinct corner of this hub from most of the rest. It’s smaller and more specialized than Climate SaaS or Energy / Grid, but a growing one as companies face pressure to report not just emissions but material sourcing and waste.