Circular economy Factbook

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Circular Economy: Re-considering the production cycle

The circular economy is a new paradigm for clean and sustainable industrial production, that aims to reduce its impact on the environment while enhancing its ability to create shared value for businesses, communities, and all stakeholders.

What is Circular Economy

Moving from a linear economy to a circular one means moving away from a production model where products are built directly from raw materials derived from nature, then sold to users, used for a relatively short period of time, and then disposed of. A circular economy model, on the contrary, exploits every opportunity to extend the use life of products, to allow more users access to the same product, to re-use components and materials from old products to make new ones, also ensuring that the energy and materials that go in the process come from sustainable and clean sources.


We see the Circular Economy as a key evolution that reduces pressure on the environment and generates jobs and economic growth. We have incorporated the five pillars of the Circular Economy at the heart of our strategy to boost our evolution towards this new production paradigm.

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The Five Pillars of the Circular Economy

Using renewable energy and renewable, recyclable or biodegradable materials in consecutive lifecycles
Promoting the use of platforms for collaboration among asset users and owners to help consumers make savings and earn profit from better use of resources
The producing company remains the owner of the asset, designed for longevity, and offers clients a service that often includes not only the use of the product but also further related benefits (training, assistance etc.)
Design and production involving extension of the product lifecycle by companies—the value that would otherwise be lost by wasting materials and energy is retained or even enhanced by repairs, updates, regeneration or remarketing
Creating production and consumption systems where assets previously regarded as waste are reused as input for new processes
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