Economic and environmental benefits by means of recycling processes grounded in the CE: Case studies in the metal mechanical sector

Abstract

Industrial and economic growth activities induce an increase in the generation and emission of large amounts of polluting waste to the environment. However, the scarcity of natural resources in ecosystems denotes the importance of the practical application of Circular Economy (CE) at the micro level. This research aims to evaluate the environmental and economic advantages of adopting waste recycling and reuse processes based on the CE in four industrial companies in the metal-mechanical sector. Multiple cases studies were conducted, supported by direct observations of the production processes, in addition to document examination and interviews. In the data analysis, the companies' environmental and economic gains were calculated and compared. It was concluded that the implementation of closed-loop recycling by companies in the metal-mechanic sector is an important strategy to promote CE at the micro-enterprise level. In addition to generating a consistent financial return, it resulted in the reduction of environmental impacts in the abiotic compartment (contributing to the control of global warming and flora contamination); in biotic compartment (correct disposal of wastes does not affect terrestrial living beings); in water, (the disposal of industrial waste in water bodies); and elimination of emission of any nature into the air. Despite the evidence of economic gains and the reduction of the environmental impact, environmental gains were more significant at global levels. It is expected that these findings can encourage industry managers and researchers to implement closed-loop recycling at the micro level, in addition to making its CE actions transparent to the market and government, contributing to their competitive advantage.