European and British businesses are urging governments to accelerate policies that support the circular economy, citing concerns over supply chain resilience and material waste. The European Union is scheduled to publish a Circular Economy Act by the end of 2024, while the United Kingdom's Circular Economy Growth Plan awaits ministerial approval. A group of twelve major EU companies recently issued a letter through the Ellen Macarthur Foundation calling for public procurement rules that prioritize lifecycle costs over upfront expenses.
Current data highlights significant gaps in global material reuse. According to the Circularity Gap Report 2025, recycled materials account for 6.9% of the global economy. Estimates suggest that losses across value chains due to waste and premature obsolescence total $29 trillion annually. While 45 countries now have circular economy roadmaps, analysts from Chatham House and Systemiq note that many lack time-bound targets and face competition from cheaper virgin materials supported by fossil fuel subsidies.
To address funding gaps, the United Nations and the World Bank have established a Plastics Transition Investment Facility aimed at securing $1 billion in private investment. Future EU regulations are expected to mandate recycled content standards by 2030, particularly for the packaging sector. Experts indicate that international coordination and collective action across value chains will be necessary to balance the higher costs currently associated with recycled materials compared to new resources.