Circular Economy

The Circular Economy is increasingly pivotal in corporate strategy, driven by challenges like stringent regulatory demands, resource scarcity, fluctuating commodity prices, and evolving consumer preferences.

KPMG’s Circular Economy services are dedicated to assisting clients in identifying and leveraging opportunities to minimize waste and optimize reuse and recycling processes. We specialize in helping medium to large-scale clients in the real economy sector, particularly those heavily reliant on natural resources, to develop innovative circular strategies and business models. Our services focus on reimagining and reinventing existing products and services, paving the way for more sustainable and efficient business practices.

KPMG’s Circular Economy consultants and specialists offer a suite of wide-ranging circular advisory solutions, including:

• Circular economy strategy, including assessing current operations, defining the ambition, scope, and business case to embed circularity, detailed strategy design and change management
• Circular measurement, including target-setting and monitoring, tracking and reporting on the performance of circular strategy implementation to provide valuable insights to drive strategic decision-making
• Circular implementation, including defining implementation roadmaps, implementation and capacity-build tailored to specific client needs

Our client, a global integrated energy company with a diverse portfolio in petrochemical and energy sectors, sought to tap into the growing plastic recycling market in China, focusing on the chemical recycling value chain. Our approach involved a comprehensive screening of the Chinese waste plastics market, pinpointing chemical recycling as a prime growth opportunity. We guided the client in formulating a market entry plan, partnership strategy, and business model. Through extensive market, regulatory, and technology assessments, we identified key capabilities and facilitators for plastic recycling. This enabled the client to prioritize propositions and understand the value chain ecosystem. Our team also delineated essential controls, barriers, and enablers, providing strategic recommendations for market entry, business operations, and model directions. The outcome was a nuanced understanding of China’s chemical recycling market, its current dynamics, future prospects, and a tailored strategy and business model for the client to capture these opportunities effectively.