The research for this paper suggests that businesses that successfully unlock economic value through circular feedstock solutions apply the following enabling strategies: Adopt a segmented strategy Recycling standards and regulations, collection infrastructure, and customer and consumer expectations vary across markets and consumer segments, making it essential to adopt a tailored strategy. This segment-by-segment strategy will need to be re-evaluated regularly as dynamics evolve, especially changes in regulation, which was mentioned by around 30% of survey respondents as a critical variable – both as a barrier and as an enabler.A Indorama Ventures, one of the world’s largest manufacturers and recyclers of PET, and the Philippine bottling arm of a leading beverage company operate a joint-venture recycling site in the Philippines and have tailored their approach for processing rPET to local market conditions. As the Philippines has a decentralized and largely informal collection system for plastic waste, Indorama has developed community-driven efforts and campaigns to raise awareness, and waste collection is undertaken in partnership with local communities to collect stockpiles of clear PET plastic bottles for recycling. Secure long-term and cost-competitive access to recycled materials Especially when collection and processing capacity is limited, and demand for recycled materials is growing, it pays to activate the entire value chain to gain access to the key sources of value early. Partnerships are a key enabler to source valuable circular feedstock (mentioned by approximately 65% of businesses in the survey). For example, in the automotives industry, partnerships help companies comply with the mandated minimum recycled content in vehicles.B Dow Chemical recently entered a partnership with a recycler, in which the recycler builds an advanced recycling facility and provides Dow with approximately 65,000 metric tons of valuable circular feedstock (pyrolysis oil) annually to convert into new, virgin-grade equivalent plastics for packaging. Build supply chains and operations for circular solutions Circular feedstock solutions require greater flexibility in the supply chain and manufacturing operations. Scrap and recycled materials have varying degrees of uniformity; therefore, businesses must assess how feedstock of varying quality might affect the standardization of their manufacturing processes. Around 30% of businesses consider limited capabilities (for example, processing materials of inconsistent quality and composition) as a key barrier. Advanced industries effectively adapt their operations for the usage of recycled materials and a circular versus linear model.C Circular Transformation of Industries: Unlocking Economic Value 13

Circular Transformation of Industries 2025