On 18 June 2024, the Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection (BMUV) published the draft for a National Circular Economy Strategy (NCES). The coordination between the ministries is now beginning. It is anticipated that the cabinet will adopt the strategy in the autumn. Associations, civil society, and the scientific community have until 9 July to submit written comments.

The primary objectives of the proposed strategy are:

- The consumption of primary raw materials is to be halved to eight tonnes per capita by 2045.

- The proportion of secondary raw materials used in the total amount of raw materials (so-called circular material use rate) is to be doubled by 2030 (in line with EU targets). To this end, the use of recyclates in building materials, plastics and metals is to be significantly increased. In addition, the requirements of the EU Critical Raw Materials Act will be adopted. Accordingly, a quarter of the demand for strategic raw materials is to be covered by recycling by 2025.

- The requirements of the EU Critical Raw Materials Act will be adopted. Accordingly, by 2025, a quarter of the demand for strategic raw materials is to be met through recycling.

- The per capita volume of municipal waste is to be reduced by 10% by 2030 and by 20% by 2045 in comparison to 2020.

Overview of the essential measures of the NCES:

• Digital product passport: The Federal Government is encouraging the development and implementation of digital product passports and the necessary requirements for the availability, transfer and security of data.
• Sustainable public procurement: The federal government, federal states and local authorities can facilitate the advancement of the circular economy through the strategic implementation of targeted public procurement. In light of the aforementioned considerations, the federal government is contemplating the issuance of a new administrative regulation. The existing General Administrative Regulation on the Procurement of Climate-friendly Services (AVV Klima) could be transformed into an “AVV Umwelt”, with the stipulations pertaining to circular procurement being reinforced and made more specific. In this context, the creation of a negative list is being considered, which would list non-circular products whose procurement would be prohibited. Furthermore, the possibility of incorporating life cycle costs as a criterion for selecting the most economical tender is being contemplated.
• Minimum recyclate use quotas: A significant element of the circular economy is the implementation of minimum recyclate use quotas with the objective of reducing the consumption of primary materials. The German government is supportive of the implementation of recyclate use quotas and is in favour of their expansion, for example, to include plastics.
• Improved recycling of waste electrical and electronic equipment: In the context of the forthcoming revision of the WEEE directive, Germany will endeavour to facilitate the examination of more rigorous standards for the treatment of older appliances, with a particular focus on the promotion of high-quality recycling. Specific targets and quotas for the utilisation of recyclate being reviewed. Additionally, it is being discussed how eco-modulation can be incorporated into the extended producer responsibility (EPR) framework at the European level to create incentives for circular ICT and electrical devices.
• Funding: In order to implement the NKWS, the German government is planning to introduce a "Circular Economy Action Programme". The programme is designed to utilise a comprehensive array of instruments to facilitate the transition towards a reduction in the consumption of primary raw materials and the establishment of closed material cycles. It is intended that this will contribute to the achievement of climate targets and facilitate the development of a circular economy.

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