Data as an enabler for better recycling in a circular economy

Recycling plays a crucial role in the circular economy (CE), as effective recycling ensures that materials enter a sustainable loop. Industry 4.0 (I4.0) has the capability to enhance recycling efficiency and support the development of more comprehensive infrastructure. However, existing value chain (VC) models do not form a closed material and product loop, and there is insufficient information exchange between recyclers and other stakeholders. This paper extends an existing VC model and discusses the information flow required under the background of the CE. It provides a reference model for a value network in a closed material loop, which enhances the traceability of resource use and location. By mapping out the information flow, the model facilitates enhanced communication and coordination among various stakeholders.