The latest survey by Deloitte highlights that alongside sustainability considerations, geopolitical instability is increasingly driving companies toward circular economy models. According to the research, the circular economy is no longer just a traditional environmental or sustainability topic, but has emerged as a key tool for corporate resilience and strategic sovereignty. However, a deep gap still remains between theoretical recognition and practical implementation.
Escalating Geopolitical Risks in Supply Chains
Modern global value chains are proving to be highly vulnerable to international tensions. According to representative survey data collected by the market research institute Civey on behalf of Deloitte, approximately 61 percent of private sector decision-makers assess that geopolitical risks have a strong or very strong impact on their own company’s value chain.
This exposure and these tensions primarily affect the core pillars of economic activity. Businesses suffer the most direct negative impacts in the areas of production, logistics, and raw material supply. According to Deloitte’s analysis, this is driven by heavy reliance on imports, uncertain energy market conditions, various trade restrictions, and increasingly unpredictable, unstable supplier relationships. Consequently, establishing the strategic sovereignty of supply and value chains has become increasingly urgent and prominent at the corporate management level.
A Strategic Weapon Against Vulnerability
In this tense economic environment, the role of the circular economy has fundamentally transformed. Nearly 50 percent of surveyed corporate executives with product responsibility already view circular models as a core or complementary strategic opportunity capable of tangibly increasing the resilience of value chains against geopolitical conflicts. Additionally, around 18 percent stated that they view circular operations explicitly as a long-term option. The research highlights that only a small minority believes the circular economy currently plays no relevant role at all in corporate operations.
Dr. Nicole Röttmer, Partner for Sustainability Services at Deloitte, emphasized that the figures show a clear trend: the circular economy has moved from the realm of traditional green topics into the arsenal of competitiveness and risk management. Organizations that purposefully invest in circular models can reduce their external dependencies, control risks more effectively, and strengthen their market positions over the long term.
Based on the survey, companies see the greatest untapped potential in the following areas:
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Developing take-back and recycling models,
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Establishing value chains with a stronger regional focus (localization),
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Increasing the use of secondary raw materials in manufacturing,
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Introducing innovative business models, increasing the transparency of material flows, and transforming product design (eco-design).
Respondents identified economically viable solutions, growing market and customer demands, and technological innovations as the primary drivers for a successful corporate transition. Cathleen Gutglück, Director in the Sustainability area at Deloitte, added that the circular economy provides management with tangible operational tools in industry and logistics through regional material cycles and conscious product design.
Slow Practical Implementation: A Significant Lag
Despite the majority recognizing its strategic importance, serious shortfalls remain in terms of execution, meaning a clear implementation gap has formed in the German economy.
According to the statistical data:
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Only approximately 10 percent of companies have already implemented comprehensive, full-scale measures for circular operations.
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An additional 17 percent indicated that they are currently working on implementing isolated, partial measures.
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Just about 12 percent are in the analysis or evaluation phase of these processes.
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In contrast, nearly one-third (approx. 33%) have not planned any concrete measures in their operations so far.
This distribution results in the circular economy still holding only a medium priority in practice for most organizations, despite its recognized theoretical benefits.
Government Role and Research Background
Companies participating in the survey also view the government’s supportive activities critically: the majority of respondents currently rate the political and governmental contribution to the circular transformation as restrained. Executives believe the greatest needs are the structural development of infrastructure and systems, a clear and transparent regulatory framework, targeted support for research and development (R&D) and innovation, as well as tangible financial incentives.
The methodological background of the study was provided by the market and public opinion research institute Civey, which conducted the survey between April 24, 2026, and May 4, 2026. A total of 1,000 private-sector decision-makers with direct product responsibility in Germany were surveyed. The sample is representative, with a statistical margin of error of 6.2 percent.
References and Sources:
The official press release from Deloitte and the source of the research data can be accessed at the following link:
The background of Germany’s official National Circular Economy Strategy (Nationale Kreislaufwirtschaftsstrategie – NKWS), as well as related draft amendments to construction and environmental legislation, can be tracked on the official government website of the Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection: