Introduction
The global economic system must be reoriented to deliver the highest possible levels of human well-being—while staying within the ecological limits of our planet. Despite mounting environmental and social pressures, our core message remains unchanged after seven years of research and reporting: the circular economy continues to offer a powerful pathway to transform outdated linear systems that no longer benefit people or the planet.
Since the first Circularity Gap Report in 2018, we have used the Circularity Metric—a single figure that reflects the proportion of secondary materials in total material use—as a benchmark to track global progress toward circularity. This metric acts as a guiding reference point, but it represents only one dimension of a much broader picture.
For the first time, this year’s report delves deeper. In addition to the Circularity Metric, we examine the full Circularity Gap by analysing how materials flow through the global economy—how they enter, whether they circulate, and how they exit as waste or emissions. This expanded framework categorizes material flows into three main groups:
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Circular flows: Including secondary materials and carbon-neutral biomass;
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Linear flows: Including non-carbon-neutral biomass, fossil fuels used for energy, and other non-renewable virgin materials ultimately lost to landfill or emissions;
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Transitional flows: Virgin materials added to long-lived stocks such as buildings, infrastructure, and equipment, which may become circular or linear depending on their end-of-life management.
By combining headline indicators with detailed sub-indicators, this report offers a comprehensive, data-driven assessment of the current state of global circularity. It not only reveals where we stand today, but also points to where targeted action is needed to close the gap—informing strategies and decisions for a more sustainable and circular future.