How resource recycling promotes sustainability 

The Japanese have long been renowned for their expertise in architecture, pioneering the use of wood as a primary construction material and developing some of the earliest architectural designs integrated with nature. But did you know they were also ahead of their time in terms of recycling resources? Here’s why.  

Back in the 17th century, recycling was fully integrated into Japanese society. Instead of tossing out manuscripts and documents, they soaked and meticulously reworked these materials into brand-new sheets of paper. This innovative process not only gave used paper a second life but also represented a major leap in recycling history by demonstrating how we could reduce the need for fresh paper. 

Keep scrolling to see how resource recycling is currently transforming the environment, our communities, the business landscape, and, of course, the construction sector. 

What is recycling, and why is it important? 

According to the United States Environmental Protection Agency (EPA), recycling is the process of collecting and processing materials that would otherwise be discarded as trash and transforming them into new products

Until recently, our society has used a linear economy approach to production, described as a “take, make, dispose” model. The downside to a linear model has resulted in an overconsumption of raw materials.  

Therefore, sustainable resource consumption is now a major concern in the 21st century, driving the adoption of practices like resource recycling and the evolution of a circular economy — a comprehensive economic system aiming to eliminate waste and promote the continuous use of resources. The 5 core principles guiding this system are reduce, reuse, recycle, recovery, & landfill. 

 A worker holds a handful of blue plastic shreds inside a recycling facility. The background shows stacks of processed recycled materials, highlighting the importance of resource recycling and sustainability in reducing plastic waste.

Benefits for business

There’s no doubt that recycling is an important issue today for companies.  Here we highlight 3 key reasons why businesses — and you — should recycle resources:  

  • Protect the environment: Recycling used materials helps reduce the need for new resources, lowering the pollution levels associated with their production. For example, recycling paper can reduce air pollution by 73% as it requires less energy and fewer chemicals than producing new paper. This process also slows down the rate at which we extract resources from the earth, protecting and conserving natural resources for future generations. 
  • Reduce costs: Using recycled materials is significantly cheaper than creating brand-new ones and is much more efficient. By incorporating recycled materials, businesses can cut their costs. These savings can be reinvested into Research & Development (R&D), creating a virtuous cycle, as recycling is crucial to the circular economy. For example, the American company Rothy’s has revolutionized the footwear industry by making shoes from recycled plastic bottles. By cutting costs using this material, the company has been able to reinvest those savings into R&D to improve its processes and expand its product line, demonstrating that sustainability and innovation can go hand in hand.  On the other hand, many companies can avoid paying penalties for environmentally harmful production processes and even benefit from tax deductions. For example, the EU Waste Directive rewards companies that implement recycling programs with such tax breaks. 
  • Elevate corporate image: Businesses committed to recycling & green logistics* are viewed more favorably by customers, investors, and the community. This not only improves corporate reputation but also attracts customers who value sustainability. 

*Note: In corporate terminology, the concept of green logistics involves enhancing the sustainability of supply chains and adjusting logistics processes to reduce emissions. For instance, using energy-efficient transportation methods or optimizing routes to minimize fuel consumption. 

: A close-up of hands holding light-colored wood chips, showcasing the recycling process of organic materials. This image emphasizes the sustainable use of wood waste through resource recycling, contributing to a circular economy.

Types of recyclable materials: Examples 

Steel

Here’s an interesting insight about steel: It’s the most recycled material in the world and retains its quality through recycling, allowing it to be reused multiple times. While the initial production of steel results in high CO2 emissions, the recycling process significantly mitigates this impact.  

More than 90% of a steel building or fixture can be recycled and repurposed for new projects, making steel a key player in resource metal recycling. As a result, this industry has achieved a 36% reduction in greenhouse gas emissions over the past 30 years. 

Recycled steel is also one of the most durable materials in construction, suitable for applications such as ductwork, roofing, doors, and windows. This metal is non-flammable and is particularly beneficial in areas prone to earthquakes or other natural disasters due to its resistance to warping. 

Concrete

Yes, you read that right — recycled concrete does exist, and it’s revolutionizing the building industry! It involves reusing concrete from demolished structures, sidewalks, and roadways in new construction projects and refurbishments. Here are its 3 main advantages: 

  • Carbon emissions reduction: By reducing the need to produce new cement, a major source of CO2 emissions can be cut down. Plus, less concrete waste in landfills means fewer methane emissions. When concrete and other construction materials break down in landfills, they can release methane, a potent greenhouse gas. 
  • Cost-effectiveness: It costs less because it uses fewer raw materials in its creation. 
  • Waste cutback: Using recycled concrete lessens the need for virgin raw materials, such as aggregates, which make up between 65% & 75% of a cubic meter of concrete

Plastic

Every year, the world produces 381 million tons of plastic waste, and this figure is projected to double by 2034. The problem is that plastic takes over 500 years to decompose, so failing to recycle it will result in this waste piling up in landfills and oceans, causing significant environmental harm. Increasing recycling rates will lower the demand for new plastics, which will in turn cut greenhouse gas emissions from plastic production.  

For instance, the packaging industry is the largest source of plastic waste, generating approximately 142 million metric tons annually. However, in 2023, this same industry used more recycled plastic in its operations than any other sector. This sector incorporated an average of 20% recycled material into its products. 

Fun fact: Scotland has the world’s longest bridge made from recycled plastic—the Easter Dawyck Bridge. Built from over 50 tons of waste plastic, it can support vehicles up to 44 tons and is fully recyclable. 

 A woman in a business suit and hard hat is inspecting data on a tablet in front of large stacks of compacted recyclable materials, likely plastic bottles. The scene captures the integration of technology in resource recycling and the commitment to sustainability practices.

Wood

Last but not least, recycled wood is an incredible recyclable material due to its different use cases. It can be repurposed into furniture, beams, and moldings, or utilized as a construction material. For example, using it in green construction improves indoor environmental quality by enhancing insulation & regulating humidity. By reducing the demand for new timber, recycled wood also helps minimize deforestation. 

Even lower-grade wood is valuable as it can be used as fuel to produce environmentally friendly energy. For example, some power plants primarily burn this type of wood to generate electricity. 

Cemex Ventures enhances resource recycling through innovation 

Cemex Ventures is looking for solutions that make construction greener. In fact, one of the startups we’re spotlighting is WtEnergy, a company in our investment portfolio that recycles nonrenewable resources and transforms them into clean energy: 

WtEnergy

In 2022, Cemex invested in the Catalan startup Waste to Energy Advanced Solutions (WtEnergy). Their technology converts biomass and non-recyclable waste into a low-carbon energy solution called syngas. This solution can be used in the short term as an alternative to fossil fuels or in the medium and long term through transformation into different clean gases such as biomethane or pure hydrogen.  

A year later, the European Union awarded Cemex and WtEnergy a €4.4 million grant for implementing a waste-to-fuel technology using syngas at Cemex’s cement plant in Alicante, Spain. The EU has recognized the project as “the first of its kind” in the cement industry. 

On the other hand, at the end of 2023, Cemex announced its involvement in the European HYIELD project aimed at producing green hydrogen from waste, receiving a €10 million grant from the European Union. Europe currently generates 300 million tons of waste with the potential to make over 30 million tons of renewable hydrogen. It is this potential that HYIELD seeks to harness. 


If your startup has a disruptive recycling solution for the construction industry, get in touch with us! 

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