# Circular Economy Supply Chain

*Last updated: 2026-06-23*

> A circular economy supply chain is a supply network designed to recover and reuse materials and products at end of life rather than disposing of them.

A circular economy supply chain is a supply network designed to recover and reuse materials and products at end of life rather than disposing of them. Instead of the linear take-make-dispose model, take-back, sorting, and reprocessing operations are built into the network structure itself. Worn or obsolete products are repaired, refurbished, or recycled and re-enter production as secondary materials or reconditioned components. This demands close coordination among manufacturers, logistics providers, collection points, and recycling operators, backed by IT systems capable of handling reverse flows. For businesses, the model reduces raw material costs and disposal fees while supporting compliance with tightening extended producer responsibility legislation. Note the distinction: circular supply chain management refers to the day-to-day operational control of these loops, whereas this term describes the underlying network design.

**Source:** [https://www.ellenmacarthurfoundation.org/explore/circular-economy-introduction](https://www.ellenmacarthurfoundation.org/explore/circular-economy-introduction)

## Quick Facts

| Property | Value |
|---|---|
| Term | Circular Economy Supply Chain |
| Language | EN |
| Word count | 128 |
| Last updated | 2026-06-23 |
| Source | https://www.ellenmacarthurfoundation.org/explore/circular-economy-introduction |

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