How companies improve critical raw material circularity: 5 use cases

Mineral Economics, vol. 35, pp. 325–335

Abstract

Abstract This report showcases five examples of industries applying circular strategies for CRMs: (1) recycling of tungsten carbide scrap by H.C. Starck Tungsten, (2) recycling of battery cathode materials by SungEel Hitech, (3) recovery of rare earth elements from hard disk drives by Hitachi Group, (4) closed rhenium loops by Rolls-Royce, and (5) recovery of platinum group metals by Umicore. The adaptation of business models appears to be one of the biggest enablers of raw material circularity. Ideally, all involved stakeholders (including the manufacturers, the users, and the recyclers) have a common interest in, and are incentivized by retaining the material’s value, which stimulates transparent material flows and close cooperation. This is enabled by retained ownership and with long-term, well-defined relationships between the value chain actors. Such relationships can be enhanced by vertical integration, or by long-term contractual agreements. The benefits of implementing circularity provide a mandate for governmental intervention in stimulating circularity strategies, for example via regulations and subsidies, to overcome initial investment thresholds.

Authors 9

1. Alessandra Hool corresponding
   Affiliation as printed

   ESM Foundation, Junkerngasse, 56, 3012, Bern, Switzerland

2. Dieuwertje Schrijvers

   WeLOOP (France)

   Affiliation as printed

   WeLOOP, 254 rue du Bourg, 59130, Lambersart, France

3. Sander S. van Nielen Aachen Institute of Environmental Sciences (CML)

   Leiden University

   Affiliation as printed

   Institute of Environmental Sciences (CML), Leiden University, Einsteinweg 2, 2333 CC, Leiden, The Netherlands

4. Sophia Ganzeboom
   Affiliation as printed

   ESM Foundation, Junkerngasse, 56, 3012, Bern, Switzerland

5. Christian Hagelüken

   Umicore (Germany)

   Affiliation as printed

   Umicore AG & Co KG, Rodenbacher Chaussee 4, 63457, Hanau, Germany

6. Hendy Kim
   Affiliation as printed

   SungEel Hitech Co., Ltd, 143-12 Gunsansandan-ro, Jeollabuk-do, 54002, Gunsan-si, South Korea

7. Anthony Y. Ku

   NICE America Research

   Affiliation as printed

   NICE America Research, Mountain View, CA, 94043, USA

8. Juliane A. Meese‐Marktscheffel

   H.C. Starck (Germany)

   Affiliation as printed

   H.C. Starck Tungsten GmbH, Im Schleeke 78-91, 38642, Goslar, Germany

9. Takeshi Nemoto

   Hitachi (Japan)

   Affiliation as printed

   Hitachi, Ltd., 1-6-6, Marunouchi, Chiyoda-ku, Tokyo, 100-8280, Japan