EU Sets Ambitious 2030 Goals with New Circular Economy Act

Overview

The European Union is gearing up to double its circularity rate by 2030 through the newly proposed Circular Economy Act. With a strong focus on e-waste and secondary raw materials, the Act aims to reshape the EU’s industrial landscape into a more sustainable and resilient system.

A Bold Vision for Circularity

The EU’s Circular Economy Act, slated for adoption in 2026, is a cornerstone of the bloc’s strategy to transition from a linear “take-make-dispose” model to a circular one. The goal? To double the EU’s circularity rate—currently at a modest 11.8%—by 2030.

This legislative push is part of broader efforts to enhance economic security, reduce dependency on imported raw materials, and support decarbonization. It aligns with key EU initiatives like the Competitiveness Compass and the Clean Industrial Deal, positioning Europe as a global leader in circular practices.

Two Pillars of Transformation

The Act is built on two main policy pillars:

  • E-Waste Revolution: The EU plans to overhaul e-waste management by improving collection and recycling systems, and boosting demand for secondary critical raw materials.

  • Market for Recycled Materials: A single market for waste and recycled inputs will be created, supported by reforms to “end of waste” criteria, digital producer responsibility schemes, and mandatory procurement rules for circular goods.

These measures aim to increase both the supply and quality of recycled materials while stimulating demand across industries.

Why Now?

Despite growing awareness, the EU’s circularity rate has barely budged over the past decade. The Commission attributes this stagnation to inefficient resource use and the failure to account for environmental costs in traditional economic models.

By addressing these systemic issues, the Circular Economy Act hopes to unlock untapped potential in recycling, reuse, and sustainable production.

Public Consultation Open

The European Commission has launched a public consultation and Call for Evidence, inviting stakeholders and citizens to shape the final legislation. The consultation is open until November 6, 2025.

Strategic Synergy

The Act will integrate with several existing EU strategies and regulations, including:

  • Single Market Strategy

  • Steel and Metals Action Plan

  • Ecodesign for Sustainable Products Regulation

  • Packaging and Packaging Waste Regulation

  • Critical Raw Materials Act

This interconnected approach ensures that circularity becomes a core principle across sectors.


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