Environmental and Socio-Economic Impacts of the Circular Economy Transition in the EU Cement and Concrete Sector

"In the face of accelerating climate change and a shifting geopolitical landscape, the circular economy (CE) paradigm is emerging as a critical strategy in EU policy-making. This is of particu-lar importance for the cement and concrete sector, which accounts for about 4% of EU greenhouse gas (GHG) emissions. This study demonstrates that implementing CE levers related to reduction, reuse and recovery could significantly reduce GHG emissions by up to 52 Mt CO2-eq. annually and enhance the EU's trade balance by approximately €6.1 billion by 2050. Decreased imports are the main reason for this trade balance improvement. However, potential trade-offs from CE levers related reduction and reuse, such as lower employment and economic growth, necessitate further research into socioeconomic impacts in service sectors. Key CE levers include substituting clinker with alternative binders, reducing the use of concrete by design as well as advancing cement fines recycling technologies. The findings underscore the necessity for a com-prehensive policy mix to harness CE's full potential, with a focus on the production and use phase, given the large material flows in the construction versus the demolition phase. Therefore, economic incentives related to financial support of novel clinker and cement recycling technolo-gies, as well as the inclusion of novel cements in green public procurement award criteria are proposed, in addition to updating cement, concrete and building standards towards performance-based standards. In the light of the forthcoming Circular Economy Act in 2026, this research provides detailed insights for policymakers to implement CE measures that go beyond waste legislation to ensure a resilient and competitive EU industrial sector."