Japan Prioritises Circular Economy for Economic Security

Japan is reassessing the EU’s circular‑economy model, arguing that it cannot be copied directly. The focus is shifting from pure environmental goals to economic‑security concerns, such as securing critical minerals needed for AI, semiconductors and batteries. The article notes geopolitical risks like tighter US‑China export controls and the threat of a closure of the Strait of Hormuz, prompting Japan to diversify raw‑material supplies and treat secondary resources as strategic assets.

The EU’s policies—extended producer responsibility, the 2025 Packaging and Packaging Waste Regulation and the 2023 Battery Regulation—are highlighted as examples of how the bloc is forcing manufacturers to assume the cost of recycling and to limit exports of secondary raw materials. Japan is urged to develop similar incentives and mandates to boost domestic recycling and reduce reliance on overseas processing.