Recycling & Waste Management Application - Environmental - Climate Change
In 2013, the German waste management and recycling markets totaled approximately EUR 17 billion, representing 17% of the global market volume. The basis for Germany’s leadership in the global recycling industry is the country’s first mover role in waste management law and a business environment that favors innovation and new technologies.
Waste management, recycling, and the circular economy in Germany
Innovations and new technologies are changing the demand for resources worldwide. In Germany, the energy transition, digitization, and a growing awareness among consumers regarding sustainability have increased the potential for innovative international waste management and recycling companies.
The recycling of wind turbine components and carbon fiber composites, rare earth elements, electronics, electric car batteries, packaging, and circular fashion are just some examples of promising new market niches. Between 2008 and 2015, the German circular economy industry grew by 7.3% annually, and it is estimated that it will grow a further 5.2% per year through to 2025 – exceeding expected global market growth of 4.4% p.a. (BMUB/Roland Berger). With a turnover of more than EUR 39.4 billion (Statista, Eurostat, 2019), the German recycling industry is leading in Europe.
The provisions of the German Waste Management Act (KrWG) are the backbone of Germany’s leading circular economy market. The KrWG enshrines the notion of product responsibility by defining responsibilities along the product life cycle and offering incentives to manufacture durable products. The act’s goal is to turn a waste management culture into a resource management culture, minimizing waste generation and maximizing reuse and recycling.