New Circularity Gap Report 2026 Reveals €25.4 Trillion Annual Loss from Linear Economy

A new edition of the Circularity Gap Report 2026, published by Circle Economy in partnership with Deloitte Netherlands, highlights the масштаб of economic losses linked to today’s “take-make-waste” model.

According to the analysis, the global economy loses an estimated €25.4 trillion in value each year due to inefficient use of materials. This figure represents nearly one-third of global GDP, underlining the systemic nature of the problem rather than isolated inefficiencies.

The report introduces the concept of a “Value Gap” to quantify these losses for the first time. It identifies several key sources, including processing inefficiencies, energy losses, food waste, end-of-life material losses and the premature deterioration of infrastructure and assets.

Researchers stress that these losses are not reflected in traditional economic indicators, meaning that current measures of growth overlook a significant portion of wasted value. Beyond direct financial impacts, the report also points to broader consequences such as environmental degradation, resource depletion and reduced productivity.

At the same time, the findings frame circularity as a major economic opportunity. By extending the lifecycle of materials, reducing waste and improving resource efficiency, economies could recover a substantial share of this lost value while increasing resilience.

The report concludes that closing the “Value Gap” will require coordinated action across entire value chains, from production and design to consumption and waste management, signaling a shift from incremental improvements to systemic transformation.

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