Fraunhofer Institute for Systems and Innovation Research ISI
Fraunhofer Institute for Systems and Innovation Research ISI
© shutterstock.com/Inkoly
Forschung zur Kreislaufwirtschaft am Fraunhofer ISI

© shutterstock.com/Inkoly

Circular Economy

Cross-cutting research topic at Fraunhofer ISI

The circular economy aims to decrease the throughput of materials in the economy, reduce environmental pollution and social inequalities, and strengthen competitiveness and resilience. The transition from a linear to a circular economy encompasses the design, production and consumption phases, and closing the loop after use.

Fraunhofer ISI is exploring the future potential, innovations, implementation possibilities and framework conditions for a circular economy on three different levels:

  • System level: Consideration of sustainability aspects and development of robust future pathways for the circular economy.
  • Network level: Examination of individual value chains and operational networks in the circular economy.
  • Company level: Analysis of technologies and business models for the circular economy.

We use a wide variety of methods in our research on the circular economy, including developing and modeling future scenarios, evaluating policy instruments, analyzing patents and trends, applying industrial ecology methods, and conducting surveys and workshops.

Key areas in our circular economy research

Impact Assessment

We model the potential impacts of a circular economy using different approaches, such as input-output models, material flow and life cycle analyses, sometimes in combination with energy system models. This variety of models enables us to map the different impacts in terms of both the environment and the economy. Our goal is to develop these approaches continuously to address current issues.

Implementation

To support the establishment of a circular economy, we focus on developing future scenarios and deriving concrete goals and steps for its implementation. We look at technologies, innovations, business models and patterns of consumption. Our research aims at deriving reasonable solutions while taking risks into account.

Framework conditions

We examine the general framework conditions for a circular economy, considering both the overarching political framework and the implications for companies, economic sectors and products. The objective of our research is to derive recommendations for action at both the level of society and a company level.

Current research: Project results

Our current research shows that a circular economy not only conserves resources but also enables structural changes in the economy and society that lead to less environmental pollution and more resilient systems in the long term. Several examples of our current research results:

Circular Economy Model Germany: Modeling and impact assessment of a circular economy in Germany

 

WWF Germany, the Öko-Institut, Fraunhofer ISI and FU Berlin have developed a holistic model of a circular economy in Germany known as the “Circular Economy Model Germany” (»Modell Deutschland Circular Economy«). The model-based, ecological and economic impact assessment of a circular economy in Germany provides a sound scientific basis for deriving quantifiable targets and setting priorities. It covers the following: nine sectors (vehicles and batteries, building construction and civil engineering, ICT, household appliances, food and diet, textiles, furniture, lighting, and packaging), 63 circular economy measures (considering all the R strategies), seven categories of impact (greenhouse gas emissions, raw material consumption, land use, biodiversity, gross value added, labor needs, and raw material criticality and the security of supply), and a hybrid modeling system [multiregional input-out model (EE-MRIO), life cycle analysis (LCA), the industry simulation model FORECAST and material flow analysis (MFA)]. 

Stan4SWAP: Standardization and solutions for lightweight vehicles

 

The STAN4SWAP project aimed at cooperating with all the relevant stakeholders along the entire value chain of lightweight vehicles (L-category vehicles such as e-scooters, e-bikes, scooters or micromobility applications) to identify those problems, challenges, gaps and obstacles where standardization can contribute to solutions. The aim was to ensure compatibility between different vehicles and between vehicles and battery-swapping stations for users and infrastructure. To foster the industrial use of this innovative technology, STAN4SWAP developed a standardization roadmap for swappable battery systems for L-category vehicles with Fraunhofer ISI’s help and based on its survey of needs. This roadmap will be an integral part of the EU’s standardization program in the coming years and sends a clear signal to all stakeholders in the value chain. Fraunhofer ISI was also in charge of developing training materials to support the standardization measures.

Innovative technologies & business models: Circular business models using innovative methods and expertise

 

This project’s task was to support a company from the electrical appliance industry in the areas of innovation culture, business modeling, and sustainability. The company is currently undergoing digital and sustainable transformation. In the past few years, it has already developed its vision, mission and strategic goals. It now wants to become a technology and innovation leader in its market to make its product portfolio fit for the future and to grow successfully as an organization. 

Our services

Fraunhofer ISI offers comprehensive services in analyzing the future potential of the circular economy and its framework conditions. Our services and methods include:

Modeling

  • The environmental and economic impacts of technologies, business models, and consumer decisions.
  • Combining modeling approaches to calculate different categories of impact.
  • Model-based recommendations.

Foresight

  • Development of scenarios, visions, transformation pathways and roadmaps.
  • Horizon scanning, early identification of developments and examining the robustness of strategies.
  • Mapping of actors and stakeholders to understand interactions in the circular ecosystem.

Analyses of policies and stakeholders

  • Evaluating funding measures, policy measures and standards.
  • Mapping stakeholders, developing governance models and networking.
  • Perception and communication of products and business models.

What can we do for you?

Our interdisciplinary team offers comprehensive analyses and well-founded results. Write to us or give us a call.

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Selection of ongoing research projects

At Fraunhofer ISI, we work on around 400 research projects every year - many of them with links to the circular economy. A small selection of our current activities in this field.

TRANSIENCE

The TRANSIENCE project is making a comprehensive assessment of the circular economy in terms of the decarbonization of basic industries by looking at the twin transition of European industry from the perspectives of global competitiveness, innovation, and sustainability. The final product is the Model for European Industry Circularity and Climate Change mitigation, MIC3, which comprises a large number of “satellite modules” that look at individual aspects in depth. Fraunhofer ISI is focusing on modeling material flows and future industry. MIC3, the associated “satellite modules” and the scenarios derived from this are being jointly developed and validated together with relevant interest groups from industry, politics and civil society. They serve as the basis for assessments and transition strategies at the EU and national levels, at the global level and within four heterogeneous regional industrial clusters in Europe to ensure their applicability and use in real-world applications. 

ESPR Label – A clear and effective ecodesign label for Europe

The 2024 ESPR (Ecodesign for Sustainable Products Regulation) is intended to enable effective product comparison so that consumers can make informed decisions and behave sustainably. The primary objective of the research project is to create an evidence-based scientific foundation for the conception, layout and design of the new ESPR labels. The project will examine specific elements of the new ESPR label to ensure that it is clear, effective and easy to understand for consumers and can be adapted to the specific characteristics of the product groups and relevant target groups across the EU.

ESTELLA

The ESTELLA project is conducting research into obtaining highly recyclable biocomposites and making them more attractive to industrial users. The ESTELLA project brings European experts together who cover the entire value chain from extracting biomass precursors, shaping the raw materials to manufacturing and recycling processes. This should ensure the production of materials with excellent characteristics and a maximum recovery rate of their components and should strengthen the ecological and economic dimension of the thermoset value chain. 

Other cross-cutting topics at Fraunhofer ISI: