context: With the approval of the State Council, the National Development and Reform Commission released the 15th 5-year plan for circular economy development. As the PRC seeks to sustain high-quality growth while reducing resource dependence and carbon emissions, the plan sets priorities for reducing resource consumption, improving resource efficiency, expanding reuse, strengthening waste collection systems and upgrading the circular economy industry.
The 15th 5-year plan positions the circular economy as a key pillar of the PRC's dual-carbon strategy, resource security agenda, industrial upgrading and the Beautiful China initiative. Rather than focusing solely on waste management, the plan seeks to build a larger, more technologically advanced and better-regulated circular economy integrated across the entire industrial system.
Major goals by 2030 are
- water consumption per unit of GDP is targeted to decline by more than 10 percent compared to 2025
- energy consumption per unit of GDP is targeted to decrease by around 10 percent compared to 2025
- the output rate of major resources is projected to increase by approximately 16 percent compared to 2025
- the output value of the resource recycling industry will reach C¥8 tn
- annual recycling volumes of major renewable sources will reach 510 million tonnes
- annual comprehensive utilisation of bulk solid waste will reach approximately 4.5 bn tonnes
The circular economy is positioned as a key mechanism for achieving the PRC's carbon peaking and carbon neutrality goals. The plan includes the 'Circular economy supporting carbon reduction' project, promotes circular and zero-carbon industrial parks, expands cleaner production and strengthens industrial waste utilisation.
At the same time, it frames recycling as an increasingly important source of strategic resources. The plan
- expands development of 'urban mines'
- strengthens regional recycling networks
- improves recovery of strategic minerals
- encourages imports of recycled copper, aluminum, steel and battery materials to supplement domestic supply
- establishes life-cycle recycling systems for EV batteries, wind turbines, photovoltaic equipment and other emerging infrastructure
Other major priorities of the plan include
- improving quality through technology
- emphasises technological upgrading and improved governance
- supports commercialisation of recycling technologies, AI-assisted waste sorting, digital traceability systems, photovoltaic lifecycle 'digital maps' and digital battery passports
- capacity monitoring and early-warning systems are also introduced to prevent overinvestment and phase out outdated recycling capacity
- strengthening the institutional framework
- proposes revising the Circular Economy Promotion Law
- updating regulations across key waste streams
- expanding EPR (Extended Producer Responsibility) to emerging industries such as wind turbine blades and solar panels
- requiring greater use of recycled materials in manufacturing
- seeks to establish a more comprehensive standards system covering green product design, cleaner production, remanufacturing, recycled materials and certification
- statistical indicators, industry monitoring and recycling capacity mapping will also be strengthened to improve policymaking
- proposes revising the Circular Economy Promotion Law
- expanding policy support
- supports greater investment in recycling projects
- continued tax incentives
- wider use of the 'reverse invoicing' system
- stronger financial support from banks
- incorporates eligible circular economy activities into the PRC's voluntary carbon market and carbon incentive mechanisms, while expanding government green procurement to include certified recycled-material products
- promoting sustainable production and consumption
- encourages green product design
- greener construction methods
- reduced packaging
- reusable delivery packaging
- bamboo-based alternatives to plastics
- greater use of recycled materials in manufacturing
- strengthens enforcement against illegal dismantling of end-of-life vehicles, batteries and electronic waste
- encouraging low-carbon lifestyles, reduced food waste and greater green procurement by public institutions