The latest Circularity Gap Report, published by Circle Economy landed like a cold shower: the global economy is now only 6.9% circular, a drop from 9.1% in 2018. In parallel, resource use and emissions continue to climb, undermining the environmental and economic logic behind circular ambitions.
It’s also against this sobering backdrop that our cofounder Hélène Isermeyer contributed to a second installment of Forbes’ series on the circular economy was released—“5 Strategies to Lead the Circular Economy Revolution”—building on the first article focused on mindset traps. The timing could hardly be more relevant.
Part I Recap: Rethinking the Narrative
The first article, “Circular Economy Mindset Traps—And How to Avoid Them,” outlined the most persistent misperceptions holding back circular progress. It debunked the idea that circularity equals recycling and emphasized that systems-level thinking and design-stage intervention are fundamental to true transformation.
Part II: 5 Strategies to Lead the Circular Economy Revolution
The newly published follow-up shifts from diagnosis to prescription, offering a framework for companies ready to move from intent to action.
1. Find a coalition of the willing
Progress accelerates when like-minded actors coordinate early. Strategic partnerships—whether between suppliers, recyclers, or downstream users—are essential to de-risk pilot programs, pool insights, and build scalable systems. And of course this is where Hélène's experience kicks in!
2. Shift your mindset
Circularity isn’t a side initiative. It requires a fundamental rethinking of value creation—optimizing not just product outputs, but systemic resource flows, business models, and success metrics.
3. Work smarter, not harder
Tools like Material Flow Analysis (MFA), Life Cycle Assessment (LCA), and Design-for-Disassembly are key to unlocking where and how impact reduction is possible. Data-driven prioritization is essential.
4. Own your agenda
Leaders don’t wait for policy mandates. Companies that take control of their data, reporting, and eco-design approaches position themselves to anticipate regulation and maintain competitive advantage.
5. Use policy to reinforce your business case
Rather than viewing policy as a constraint, circular frontrunners align with it to unlock funding, enter new markets, and build trust. Environmental and social regulations are increasingly strategic levers.
Where We Go from Here: Adding to the Toolbox
At Terraquota, we see these five strategies as foundational—but not exhaustive. Based on what we observe across industrial value chains and recovery systems, we’d add:
6. Translate complexity into clarity
Environmental metrics—such as LCA results, PEP declarations, or EPDs—are often too technical or opaque for commercial, engineering, or procurement teams. Translating data into decision-ready formats is critical to unlocking internal action.
7. Connect strategy to material flows
Circular goals can remain abstract unless they're tied to physical material inventories and end-of-life realities. This means mapping flows, tracking composition, and building the bridge between product design and end-of-life processing.
8. Recover value at end-of-life
Dismantling, sorting, and recovering metals and rare materials from complex waste streams isn’t just an environmental necessity—it’s an economic one. Recovery systems must be designed for feasibility, scalability, and traceability.
9. Align teams through training and iteration
Achieving circularity requires alignment across functions. Cross-silo workshops, internal pilots, and feedback loops can drive the shared understanding and ownership needed to sustain long-term change.
Closing the Gap Between Aspiration and Execution
The widening circularity gap is a reality check for all of us—but also a reminder that circularity is not just a vision—it’s a system of operations, choices, and trade-offs. Strategy must be grounded in data, translated across teams, and embedded in physical and financial flows.
The two Forbes articles provide a strong framework to get started—from mental reframing to operational priorities. At Terraquota, we’re proud to contribute to this broader conversation—and to support the companies and partners turning these strategies into measurable progress.
📚 Forbes Series:
