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The Circular Economy Myth: Why Closing the Loop is More Complicated than You Think

Posted on May 22, 2025 By Dante No Comments on The Circular Economy Myth: Why Closing the Loop is More Complicated than You Think

As I stood in the gleaming new IKEA warehouse, surrounded by row upon row of sleek, sustainably-sourced furniture, I couldn’t help but feel a sense of unease. Were we really making a dent in the environmental impact of our consumption habits, or were we just rearranging the deck chairs on the Titanic? The concept of the circular economy, with its promises of endless recycling, minimal waste, and efficient production, has become a sort of Holy Grail of sustainability. But is it really the solution we think it is?

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The idea behind the circular economy is straightforward: reduce, reuse, recycle. Take an old product, give it a new life, and create a closed-loop system where waste is a distant memory. Sounds great, right? But the reality is far more complicated. For one thing, the infrastructure to support a true circular economy is woefully lacking. Recycling facilities are few and far between, and the technology to break down complex materials like plastics and electronics is still in its infancy.

But even if we were able to magically conjure up the necessary infrastructure, there’s another, more fundamental problem: the very notion of “closure” is a myth. Products are designed to be used, not to be circular. They’re built to be discarded, not recycled. And even when we do manage to close the loop, there’s no guarantee that the resulting product will be of higher quality, or more sustainable, than the original.

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Take the example of the iPhone. In theory, you could take your old iPhone apart, harvest the components, and build a new phone from scratch. But the reality is that the electronics industry is built on the principle of planned obsolescence – products are designed to become obsolete after a certain period of time, to drive sales and growth. So even if you did manage to close the loop, the resulting phone would likely be a pale imitation of the original, with shorter battery life, reduced storage capacity, and a host of other limitations.

And then there’s the elephant in the room: the economic cost. A true circular economy would require a fundamental shift in the way we produce, consume, and discard goods. It would mean changing the way companies design products, the way consumers make purchasing decisions, and the way governments regulate industry. And let’s be real – that’s a pretty steep hill to climb.

So what’s the alternative? Rather than chasing the chimera of a perfectly circular economy, perhaps we should focus on something more achievable: minimizing waste in the first place. This means designing products with longevity and repairability in mind, reducing packaging and excess materials, and promoting sharing, leasing, and collaborative consumption.

It’s not a glamorous solution, perhaps, but it’s a more realistic one. And it’s one that we can start taking action on today, rather than waiting for some mythical utopian future where the circular economy is the norm. So the next time you’re tempted to buy that shiny new gadget, take a step back, and ask yourself: do I really need it? Can I borrow it instead? Can I fix it myself? The answers might surprise you.

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