Circularity is finally going beyond theoretical discussions, and the necessary transition towards truly circular and regenerative economy is gaining momentum with a crucial contribution of European industrial players.
During the Green Shipping Industry Day organized on the 24th of September in Brussels by the consortium of two Horizon Europe-funded projects, CirclesOfLife and EcoShipYard, and the Green Marine Europe coalition, industry, recycling and policy experts and professionals gathered in the panel on circularity to discuss how material passports and innovative reuse frameworks can turn ship recycling into a strategic contributor to maritime circularity.
The discussion, moderated by Rosanne van Houwelingen of NMT-IRO, was focused on collaboration between stakeholders in the common quest for achieving both environmental performance and industrial competitiveness, that in our shared vision are not contradictory objectives. The Circular Economy Act consultations taking place currently put the panel in a key perspective of alignment with the upcoming sustainable objectives of the European Union.
Policy gaps in European maritime sector’s circularity
The session was opened by Isabelle Radovan, Policy Advisor at the European Recycling Industries Confederation (EuRIC) and a member of the Ship Recycling Working Group, who highlighted a high importance of the European legislation in terms of achieving circularity, decarbonization, and strategic autonomy, and a need for tailored policy support for the sector currently facing uneven competition from regions with lower environmental and labor standards.
Boosting circularity in Europe’s maritime sector and securing European strategic autonomy
The Circular Economy Act will be a priority policy document of the Clean Industrial Deal, being a flagship project of the current European Commission. By introducing material passports, the EU would close competitiveness gaps in the sector, providing high quality data for industries, and therefore turning waste into value in line with the circularity objectives.
Ships to buildings – a success story
Innovation and creativity together unleash a potential that can become a true gamechanger. This is already a case for John Jacobsen, CEO of Nordic Circles, whose company repurposes steel plates directly from dismantled ships in the construction industry, without the need to melt and remanufacture them.
Construction sector accounts for around 30% of global emissions,” he explained. “Reusing ship steel cuts CO₂ emissions by up to 97% compared to producing new steel.”
Nordic Circles already attracted the interest of shipping company Höegh, which proves that a business model reflecting circularity can be commercially viable. For Mr Jacobsen, scaling up remains the challenge, but digital material data could help overcome this obstacle. A standardized material passport could make reusing, repurposing, remanufacturing and recycling easier, faster, and more reliable.
Decommissioning as a duty and a business opportunity
Bringing experience from the offshore industry, Johannes Thrane, Chief Sustainability & Communications Officer at AF Offshore Decom, described dismantling as both a duty and an opportunity, outlining several challenges.
“Cleaning up is a liability,” he said, “but also a chance to create value.” His company achieves 97–98% recyclability from decommissioned platforms and ships, recovering steel that matches the quality of new material, while not neglecting safety for workers and the environment.
Mr Thrane stressed that digital material data can enhance both efficiency and safety. However, he added, scaling up reusing is crucial for long-term value creation. The real economic opportunity, he explained, lies not in selling scrap, but in reusing and upcycling materials.
Accurate and reliable data a key gap in circularity measures
The Ship Circular Materials Passport (SCMP) took the spotlight of the rest of the panel discussions, showcasing the need for accurate and up-to-date information on materials.
Yvonni Damianidou, Senior Engineer at the American Bureau of Shipping (ABS), emphasised that “material without proper inventory is waste.” For circularity to work, information must be precise, updated and accessible across ships’ lifecycle and various operators.
Martin Verboom, Development Engineer at Damen and Project Lead for CirclesOfLife, went beyond this vision. Material passports, he explained, are more than compliance tools: “they are drivers of sustainability, reducing waste and need for raw materials, and make lifecycle data available across supply chains.”
Mr Verboom identified three challenges:
- regulatory
- governance
- financial
Regulatory barriers remain in terms of scope and clarity, with the former embodied in lack of inclusion of ships in the Ecodesign for Sustainable Products Regulation. His advice is to include every product entering the European market in this regulation, which would provide a legal stability and important alignment with other sectors and policies. The latter barrier could be overcome with a standardized framework for datasets such as the SCMP.
For the governance barrier, an EU-level repository of material passports data verified by third parties has been proposed.
Finally, remaining financial challenges need to be addressed with tailored policy incentives that would contribute to circularity being a profitable business model.
Strategic pillar of sustainable maritime future
Jaap Gebraad, Secretary General of Waterborne Technology Platform opened the closing remarks reminding the audience that circularity is not a niche concern but a strategic pillar for Europe’s maritime future. Through initiatives like the Maritime Industrial Strategy and new EU frameworks, the sector is shaping how sustainability, innovation, and competitiveness align.
“The maritime community is not conservative,” he said. “It is innovative, and now it’s time to communicate that more clearly.”
Collaboration and synergy instead of competition
Reusing, repurposing and recycling can only occur when information on both valuable and hazardous materials is standardized and easy to access for every interested party. Collaboration could ensure that circularity is achieved throughout the sector. With the example of steel’s multiple varieties in ships sector and specific needs of buildings sector, material passport would be a key element in ensuring the preservation of value.
With state-of-the-art projects such as Horizon Europe, and 550 million Euros mobilized from public investment funds, Europe was able to have 3.3 billion Euros leveraged from the private sector. This makes the EU a global leader in waterborne sector, something that needs to be properly communicated. Being already a global leader, the European Union must continue its efforts reinforcing sustainability and economic viability. By introducing the material passport, Europe can not only reduce waste and emissions but also secure resources, contributing to strategic autonomy and competitiveness for present and future generations of ships and industries.
Photo captions:
1. Isabelle Radovan highlighted a high importance of the European legislation and a need for tailored policy support for the sector currently facing uneven competition.
2. (Left to right) Panel discussion, moderated by Rosanne van Houwelingen with Yvonni Damianidou, Isabelle Radovan, John Jacobsen, Johannes Thrane, Martine Verboom. Photography © Sam Glazier
Explainer – Would you like to watch the explanatory video about the development of the CirclesOfLife’s best practices guide and software tools? Click the link.
