Circular Transformation of Industries: The Role of Partnerships

The report argues that circular transformation cannot be achieved in isolation and requires partnerships to access critical 'control points' (materials and information) and 'inflection points' (cost-competitiveness and consumer adoption). It defines three archetypes for circular value: circular feedstock (replacing virgin materials), lifespan extension (repair and refurbishment), and circular platforms/services (as-a-service models). The document provides case studies from companies like Schneider Electric, Siemens, and Ball Corporation to illustrate these models, and highlights the role of precompetitive coalitions like the Circular Electronics Partnership and Global Battery Alliance in establishing industry-wide standards and digital passports to facilitate the movement and traceability of circular goods.

• A significant majority of business leaders view collaboration as essential for circularity, with 94% of executives identifying the creation of partnerships as a critical enabler for unlocking the full value of circular transformations.
• The report identifies three primary archetypes for circular value creation: 'Circular feedstock', which replaces virgin materials with recycled ones (ideal for short-lifespan goods like packaging); 'Lifespan extension', which reduces output by repairing or remanufacturing durable, high-value products; and 'Circular platforms and services', which reinvents business models through as-a-service offerings for upgradeable products.
• Circular strategies rely on managing 'control points'—the critical sources of value such as material flows (take-back and feedstock) and information flows (technical specs and traceability)—and 'inflection points', which are the moments when circular products become cost-competitive due to economies of scale, regulation, or consumer demand.
• In the 'Circular feedstock' archetype, partnerships are used to secure material volumes and market uptake. For example, Indorama Ventures partnered with small 'bailers' in the Philippines to consolidate plastic waste and formed a joint venture with a bottling company to build the country's largest food-grade rPET pellet recycling facility, producing approximately 2 billion bottles annually.
• For 'Lifespan extension', digital tools and partner networks are key. Siemens is developing a 'product passport' via QR codes to provide traceability and repair recommendations, supported by a global repair network of 134 sites including certified third-party centres.
• Precompetitive coalitions are necessary to drive systemic change and establish industry standards. The Circular Electronics Partnership (CEP) works to reduce the administrative costs of moving end-of-life electronics across borders, while the Global Battery Alliance (GBA) created a 'battery passport' to provide auditable data on material provenance and sustainability to increase consumer confidence.

APA

World Economic Forum (2024). Circular Transformation of Industries: The Role of Partnerships. https://www3.weforum.org/docs/WEF_Circular_Transformation_of_Industries_2024.pdf

Chicago

World Economic Forum. Circular Transformation of Industries: The Role of Partnerships. 2024. https://www3.weforum.org/docs/WEF_Circular_Transformation_of_Industries_2024.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Circular Transformation of Industries: The Role of Partnerships |date=January 2024 |url=https://www3.weforum.org/docs/WEF_Circular_Transformation_of_Industries_2024.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2024circular, author = {{World Economic Forum}}, title = {{Circular Transformation of Industries: The Role of Partnerships}}, institution = {World Economic Forum}, year = {2024}, month = jan, url = {https://www3.weforum.org/docs/WEF_Circular_Transformation_of_Industries_2024.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }