Image : https://images.app.goo.gl/McxPfDvv3V3DD7mY8 The Circular Economy (CE) is a transformative economic model that emphasizes resource efficiency, closed-loop systems, and waste reduction to minimize environmental impacts while fostering economic growth. This approach has become increasingly relevant for ASEAN as rapid urbanization and industrialization have transformed the region into a production and consumption powerhouse. However, the traditional “take-make-dispose” model is unsustainable, necessitating a shift to CE principles to safeguard natural resources and ecosystems while addressing global challenges like climate change and resource depletion (Herrador & Van, 2023; SEADS, 2023). ASEAN member states exhibit varying levels of progress in CE implementation due to differences in policy priorities, economic capacities, and institutional frameworks. Vietnam stands out as the most promising nation for CE adoption due to its advanced recycling programs and legal frameworks that encourage resource efficiency (Herrador & Van, 2023). Indonesia has integrated CE strategies into its National Medium-Term Development Plan (2020–2024), targeting a 70% reduction in marine waste by 2025 and a 29% decrease in greenhouse gas emissions by 2030 through Presidential Regulation No. 97/2017 on household waste management (ERIA, 2024; Modern Diplomacy, 2023). Similarly, Malaysia’s Green Procurement Guidelines (Version 3.0) promote sustainable public sector procurement practices to reduce landfill waste by 30% by 2025 (ERIA, 2024). Thailand has implemented comprehensive policies such as the National Master Plan for Waste Management (2016–2021) and Plastic Debris Management Plan (2017–2021), which emphasize systemic plastic waste management and food waste reduction through community awareness campaigns and recycling technologies for agricultural waste (Modern Diplomacy, 2023; ERIA, 2024). Singapore’s zero-waste master plan aims to achieve circularity by 2030 through initiatives targeting construction waste, food waste, packaging waste, and electronic waste recycling (Modern Diplomacy, 2023). A study of corporate disclosures across five ASEAN countries—Indonesia, Malaysia, Singapore, Thailand, and the Philippines—revealed that environment-sensitive companies are more proactive in reporting CE indicators compared to non-environment-sensitive firms. Key indicators such as solid waste generation (M4), industrial water reuse ratio (M5), and solid waste reuse ratio (M6) were widely disclosed by companies in Malaysia, the Philippines, and Singapore. Thailand and Indonesia lagged slightly behind with disclosure rates of 89% and 95%, respectively (Javed et al., 2023). Pollution control indicators like domestic wastewater treatment (P4), rubbish treatment (P5), and waste collection systems (P6) were also highly reported across these countries with percentages ranging from 63% to 100% (Javed et al., 2023). Image : https://images.app.goo.gl/HqNvPBCf2sfcqJKQA Transitioning to CE offers substantial economic benefits for ASEAN. According to estimates from the Economic Research Institute for ASEAN and East Asia (ERIA), adopting CE principles could generate $324 billion in economic growth over the next 25 years while creating approximately 1.5 million jobs across sectors like manufacturing, agriculture, and forestry (ADB, 2023; SEADS, 2023). Singapore’s zero-waste initiatives exemplify how CE can unlock value through recycling programs targeting construction waste, food waste, packaging materials, and electronic products (Modern Diplomacy, 2023). However, challenges such as limited access to technology infrastructure remain significant barriers. For instance, Indonesia faces hurdles in scaling up recycling capacity and establishing efficient waste collection systems despite its ambitious targets for marine waste reduction (Modern Diplomacy, 2023). Under the Framework for Circular Economy for the ASEAN Economic Community adopted in October 2021, ASEAN has outlined five strategic priorities: standard harmonization of circular products/services; trade facilitation; innovation through green technologies; sustainable finance; and efficient use of energy/resources (SEADS, 2023). These priorities aim to create an enabling ecosystem for circular products while addressing barriers such as inconsistent definitions of circular goods/services across member states. ASEAN’s strong economic integration makes regional collaboration essential for scaling up CE initiatives. For example, establishing an ASEAN Circular Economy Stakeholder Platform could facilitate knowledge sharing through annual conferences and collaborative projects targeting industries like plastics recycling or marine debris management (ERIA, 2024). The transition to a Circular Economy (CE) is not only a necessity for ASEAN but also an opportunity to redefine its economic growth trajectory while addressing pressing environmental challenges. Corporate disclosures on CE indicators across ASEAN reveal the region’s growing commitment to sustainability, with significant progress in reporting solid waste generation, industrial water reuse, and pollution control measures (Javed et al., 2023). However, disparities in disclosure practices between environment-sensitive and non-environment-sensitive firms highlight the need for standardized reporting frameworks to ensure consistency and transparency across member states (Javed et al., 2023). ASEAN’s adoption of the Framework for Circular Economy for the ASEAN Economic Community in 2021 demonstrates its commitment to regional cooperation through strategic priorities such as standard harmonization, trade facilitation, innovation, sustainable finance, and resource efficiency (SEADS, 2023). These priorities aim to create an enabling ecosystem for circular products and services while addressing barriers like inconsistent definitions and limited technology transfer (ERIA, 2024). Collaborative initiatives such as the ASEAN Circular Economy Stakeholder Platform could further accelerate this transition by fostering knowledge sharing and multi-stakeholder engagement (ERIA, 2024). Economic opportunities from CE adoption are substantial. Estimates suggest that transitioning to CE could generate $324 billion in economic growth and create 1.5 million jobs across sectors like manufacturing, agriculture, and forestry over the next 25 years (ADB, 2023). Countries like Singapore have already demonstrated the potential of CE through successful recycling programs targeting construction waste, food waste, packaging materials, and electronic waste (Modern Diplomacy, 2023). However, challenges such as limited infrastructure capacity and public awareness remain significant hurdles that must be addressed through targeted investments and education campaigns (Modern Diplomacy, 2023). In conclusion, while ASEAN has made commendable strides in adopting CE principles, achieving its full potential requires strengthened regional cooperation, enhanced corporate transparency, and robust public-private partnerships. By aligning national policies with regional goals and fostering behavioral change among businesses and consumers alike, ASEAN can establish itself as a global leader in sustainable development. The Circular Economy offers a transformative pathway for ASEAN to achieve economic resilience while safeguarding its natural resources for future generations. References Herrador M., & Van M.L. (2023). Circular economy strategies in the ASEAN region: A comparative study. ScienceDirect. Javed T., Said F., & Jalil A.A. (2023). Circular Economy Implementation Status of Selected ASEAN Countries. SAGE Open. Modern Diplomacy. (2023). Effectiveness of Circular Economy in ASEAN: Transition Strategies Adoptable by Indonesia. SEADS. (2023). Why ASEAN Is Shifting to a Circular Economy. Asian Development Bank. ERIA. (2024). Integrative Report on the Implementation of the Circular Economy in ASEAN. Economic Research Institute for ASEAN and East Asia.
