Page 181 - Ebook HTKH 2024

model based on the fundamental principle that “everything is an input for something
else”.

According to the Ellen MacArthur Foundation (2012), the CE is "a system that is
regenerative and restorative by design. It replaces the end-of-life concept with
restoration, shifts towards renewable energy sources, eliminates the use of toxic
chemicals that hinder reuse, and aims to minimize waste through the design of materials,
products, engineering systems, and business models within that system." This definition
is widely accepted by many countries and international organizations today regarding
the circular economy.
2.2. Circular Economy Model

The “circular economy model” encompasses several activities, starting from the
initial design of business products and the production of goods to the provision of
services, with a focus on recycling materials and eliminating negative environmental
impacts. The development of the CE is becoming a global trend as it balances economic
growth and environmental protection, aiming for sustainable development (Kline,
2015). The goal of the CE model is for waste to be recycled and reintroduced into the

original production cycle, thereby reducing the consumption of raw materials. Waste is
thus restructured and utilized for efficient recycling, contributing to the recovery of input
waste and reducing production costs.
Figure 1. Circular Economy Model

Source: Vigneshwaran et al., 2021
Additionally, the CE model is understood as an economic model in which design,
production, and service activities aim to extend the lifespan of materials and eliminate
negative environmental impacts. With these objectives, the circular economy has
identified the following general development directions: (i) Responding to the
depletion of input resources; (ii) Addressing environmental pollution in development

outputs; (iii) Harmonizing economic growth with environmental protection. Moreover,
the circular economy brings many benefits to countries, helping to save costs, reduce

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