How can China build a circular economy for mobile phones?
Summary
China produces 1.47 billion mobile phones annually but recovers only an estimated 5.2% of the 300-500 million used phones generated each year. The document proposes scaling the circular economy through financial instruments like the carbon emission reduction facility (CERF) and loans for zero-waste industrial parks, while calling for Extended Producer Responsibility (EPR), battery passports, and increased product durability to extend device lifespans.
Key insights
- China faces a significant gap in mobile phone recovery, with only an estimated 5.2% of the 300-500 million used phones generated annually entering identified recovery channels, despite the country producing 1.47 billion phones in 2020.
- The average lifespan of a mobile phone in China is 3.62 years, which is shorter than the five-year lifespan expected for similar products by the EU Circular Electronics Initiative.
- Financial innovation is identified as a primary enabler for the circular economy, utilizing instruments such as sustainability bonds, equity, and the carbon emission reduction facility (CERF), which provides low-funding at a cost of 1.75% through commercial banks for low-carbon projects.
- The China Development Bank has committed RMB 4.547 billion to the Xuzhou Circular Economy Industrial Park (phase 1) as part of a national pilot programme for zero waste cities.
- To improve the supply chain, the document recommends implementing Extended Producer Responsibility (EPR), adopting battery passports for lifecycle tracking, and establishing environmental testing labs based on RoHS standards.
Cite the original document
- APA
- Hmamouche, A., Kai, Z., Jinjin, M., Dong, X., Pennington, J., & Haoran, W. (2022). How can China build a circular economy for mobile phones? World Economic Forum. https://www.weforum.org/stories/circular-economy/cop-27-china-build-circular-economy-mobile-phones/
- Chicago
- Hmamouche, Abdellah, Zhao Kai, Ma Jinjin, Xiang Dong, James Pennington, and Wang Haoran. How can China build a circular economy for mobile phones? World Economic Forum, 2022. https://www.weforum.org/stories/circular-economy/cop-27-china-build-circular-economy-mobile-phones/.
- Wikipedia
- {{cite press release |last1=Hmamouche |first1=Abdellah |last2=Kai |first2=Zhao |last3=Jinjin |first3=Ma |last4=Dong |first4=Xiang |last5=Pennington |first5=James |last6=Haoran |first6=Wang |title=How can China build a circular economy for mobile phones? |publisher=World Economic Forum |date=11 November 2022 |url=https://www.weforum.org/stories/circular-economy/cop-27-china-build-circular-economy-mobile-phones/ |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @misc{hmamouche2022how, author = {Hmamouche, Abdellah and Kai, Zhao and Jinjin, Ma and Dong, Xiang and Pennington, James and Haoran, Wang}, title = {{How can China build a circular economy for mobile phones?}}, publisher = {World Economic Forum}, year = {2022}, month = nov, url = {https://www.weforum.org/stories/circular-economy/cop-27-china-build-circular-economy-mobile-phones/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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