Digital Circular Economy Market | DataM Intelligence
Explore how tech is driving sustainability. The digital circular economy market is set for strong growth through 2031.
The Digital Circular Economy Market is redefining how businesses reduce waste and maximize value through innovation and technology.— DataM Intelligence
AUSTIN, TX, UNITED STATES, June 2, 2025 /
EINPresswire.com/ -- The
digital circular economy market is experiencing significant growth, driven by technological innovations and a global shift towards sustainable practices. Projections indicate the market will reach approximately US$ 10.0 Billion by 2031, reflecting a compound annual growth rate (CAGR) of 24.1% from 2024 to 2031.
Market Overview
The digital circular economy integrates advanced technologies such as artificial intelligence (AI), blockchain, and the Internet of Things (IoT) to optimize resource utilization, minimize waste, and promote sustainability. By enabling efficient tracking, recycling, and reuse of materials, digital solutions are transforming traditional linear economic models into circular systems that prioritize environmental responsibility.
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Market Drivers:
• Governments and industries are accelerating the shift to circular models to meet climate goals and regulatory demands.
• AI, IoT, and blockchain are enabling real-time tracking, automation, and transparency in circular economy operations.
• Eco-conscious consumers and ESG-focused investors are urging companies to adopt measurable and transparent sustainability practices.
• Businesses are embracing digital circular solutions to reduce waste, improve resource efficiency, and lower operational costs.
• Supportive policies, subsidies, and stricter compliance laws are driving the adoption of digital tools for waste and resource management.
• Companies are integrating circular practices into their strategies to achieve ambitious net-zero emissions targets.
• Smart recycling systems and AI-driven sorting tools are making circular supply chains more viable and scalable.
•Digital circular solutions are being embedded into core enterprise platforms, making sustainability a fundamental part of business operations.
Market Segments:
By Offering (Services, Software)
By Technology (Al & ML, AR & VR, Big Data Analytics, Blockchain, Cloud Computing, IoT, Others)
By Application (Circular Economy Reporting and Compliance, Circular Waste Management and Recycling, Digital Resale and Reuse, Resource Optimization and Efficiency, Reverse Logistics and Remanufacturing, Smart Material Selection & Testing, Supply Chain and Materials Tracking, Others)
By End-User (Automotive, Construction & Building, Consumer Electronics, Energy & Utilities, Healthcare & Medical Devices, IT & Telecom, Manufacturing, Others)
Regional Outlook
North America
North America remains a dominant force in the digital circular economy market, with substantial investments in sustainable technologies and supportive regulatory frameworks. The region's focus on reducing electronic waste and promoting green initiatives has accelerated the adoption of digital circular solutions across various industries.
Asia-Pacific
The Asia-Pacific region is witnessing rapid growth, driven by increasing environmental awareness and government-led sustainability programs. Countries like Japan and China are investing heavily in digital infrastructure to support circular economy practices, aiming to reduce waste and enhance resource efficiency.
Industry Momentum: Mergers, Partnerships
The digital circular economy landscape is dynamic, with key players entering strategic alliances and mergers to strengthen their technological capabilities.
• In 2025, Dominion evaluated operations in Andalucía and initiated the construction of a plant in Tarragona for Repsol, aiming to strengthen its presence in solutions for energy, digital, and industrial transitions.
• SAP and Oracle: These tech giants have expanded their offerings to include circular economy management platforms, enabling businesses to monitor and optimize resource flows effectively.
• IBM: IBM's integration of AI and blockchain technologies has enhanced transparency and traceability in supply chains, facilitating more sustainable operations.
• Landbell Group and Anthesis Group: These organizations have collaborated to provide comprehensive consulting services, assisting companies in implementing circular economy strategies.
• Rheaply and One Click LCA Ltd.: These firms have developed innovative platforms for asset management and life cycle assessment, supporting businesses in achieving sustainability goals.
• LENZING AG and KPMG International Limited: Their partnership focuses on promoting sustainable practices in the textile industry, emphasizing the importance of circularity in manufacturing processes.
Latest News from USA
In the United States, recent policy changes have impacted the digital circular economy. Newly implemented tariffs on key raw materials and recycled components are reshaping supply chains, influencing sourcing decisions, and altering investment priorities. These developments underscore the need for adaptive strategies in the face of evolving trade dynamics.
Latest News from Japan
Japan is making significant strides in advancing its digital circular economy. The Ministry of Economy, Trade and Industry (METI) plans to establish a Japanese digital information platform by 2025 under the Green Transformation Promotion Law (GX Law). This initiative aims to enhance data sharing and transparency, facilitating more effective circular practices across industries.
Future Outlook
The digital circular economy market is poised for continued growth, driven by technological advancements and a global emphasis on sustainability. As businesses and governments prioritize environmental responsibility, the integration of digital solutions will be crucial in achieving circular economy objectives.
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DataM Intelligence 4market Research LLP
+1 877-441-4866
sai.k@datamintelligence.com
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