Security Implications of Circular Economy Transformation

Several countries introduced their strategies for transition to a circular economy (CE). China adopted The Circular Economy Promotion Law in 2008. The European Commission put forward an initial CE package in 2014 led by several EU countries introducing national CE strategies (Finland, Sweden, Spain, France, etc.). Transformation of linear economy practices into circular economy implies innovations on a systemic level to change production and consumption patterns in societies. Several studies on circular economy suggested that implications of circular policies go beyond the geographical borders of a country. For example, the European CE package was followed by collective initiatives in specific areas (the European Battery Alliance, the European Plastics Alliance) that address security concerns of European countries and can affect security perceptions of other countries. The literature explored the role of recycling in the supply security issue of critical materials. However, the broader security implications of the circular economy transformation are unexplored. This study synthesizes academic literature on circular economy in connection with security perspectives on different levels (national, international, human, environmental). The research aim is to identify conceptual connections between circular economy and security and create an analytical framework for policy analysis. Two research questions formulated for this study are: what security concerns affect circular economy policy design, and what are the effects of the circular policies on security? The analytical framework contributes to understanding driving factors behind circular economy policies, to a comparison between circular policies in different regions, and to an assessment of possible outcomes of these policies. The research design included a comprehensive literature review with network analysis and coding.