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Demanufacturing: A critical component of the circular economy

The 3 “R’s”. We are all familiar with “Reduce, reuse, recycle”, but very often the emphasis is placed primarily on the recycle portion of the 3 “R’s”. The “reduce & reuse” segments are generally recognized as choices we make as individuals to help lessen the amount we do recycle and while recycling is a more sustainable alternative than throwing everything away, there are other options to ensuring we limit our contributions to growing landfills.

Enter demanufacturing. Although it is a word seldom heard by most of the general public, demanufacturing is a process that is becoming more and more integral to the Circular Economy and its success.

Demanufacturing, the process of disassembling end-of-life products to recover their components and materials for recycling, is a critical component of the recycling industry that is often overlooked and underused. It is the missing link in the recycling world that can help to recover valuable materials that would otherwise go to waste, reduce the demand for virgin materials, and conserve natural resources. In this article, we will explore the importance of demanufacturing, its benefits, challenges, and potential solutions.


The demanufacturing process creates numerous benefits that augment and promote a circular economy. In the case of “white goods” (large appliances), it enables the recovery of valuable materials that can be reused to manufacture new items, allow proper disposal of hazardous materials and significantly minimize waste. For example, when recycling an item such as a refrigerator, the amount relegated to landfill averages approximately 25% of the unit while the demanufacturing process reduces the landfill portion to approximately 3%.

Since the processes often require specialized equipment and expertise, demanufacturing also creates economic opportunities, especially in regions where unemployment is high. By increasing the amount of materials recovered through the process, new revenue streams are created that can improve a recycling facilities overall financial stability.

Since demanufacturing places an emphasis on overall waste reduction, proper disposal of hazardous waste and an increase in recoverable material, robust data collection methods can be used during the process. This can provide a recycler with the ability to track types and volumes of collected recyclable & hazardous materials and create reports to share internally or with regulatory bodies.


Despite its benefits, demanufacturing faces several challenges that need to be addressed to promote its effective implementation. One of the primary challenges is the lack of infrastructure since it requires specialized equipment and expertise that may not be available in many regions, particularly in developing countries. Many end-of-life products, such as electronics, contain valuable materials that can be recovered and reused, but are often not recycled effectively due to the lack of infrastructure. As a result, these materials end up in landfills, posing a significant threat to the environment and wasting valuable resources. Consequently, to ensure the effective implementation of demanufacturing practices the need for investment in infrastructure and training is critical.

Another challenge is the lack of awareness and education about demanufacturing and the benefits it can bring. Many consumers and businesses are often not aware of the environmental and economic advantages of demanufacturing and the role they can play in promoting a circular economy.

The lack of regulation and incentives can also hinder the effective implementation and lack of investment in demanufacturing infrastructure and practices. In the absence of strong regulations and the lack of enforcement, some businesses may choose not to implement demanufacturing practices at all. This can create a competitive disadvantage for those businesses that do invest in demanufacturing.


To address these challenges, there is a need for collaboration and partnerships between stakeholders in the recycling industry to promote the widespread adoption of demanufacturing. Governments, manufacturers, and recycling facilities need to work together to ensure the efficient, effective, consistent implementation of demanufacturing practices and standards.

Funding: Collaboration between government agencies, manufacturers, and recycling facilities can help to secure funding for research and development of new demanufacturing technologies and infrastructure.

Infrastructure: Collaboration can also help to address infrastructure challenges, such as the availability of specialized equipment and facilities. By working together, stakeholders can invest in the development and implementation of demanufacturing infrastructure to make it more accessible and cost-effective.

Access to resources: Collaboration can also help to ensure that businesses have access to the resources they need to implement demanufacturing practices, such as training, technical support, and access to recycled materials.

Standards and regulation: Collaboration can also help to develop and implement consistent standards and regulations for demanufacturing practices. This can ensure that businesses have clear guidelines to follow and that there is consistency in the quality and quantity of recovered materials.

Market demand: Finally, collaboration can help to increase market demand for demanufactured products. By working together, stakeholders can promote the use of recycled materials and the adoption of demanufacturing practices, creating a more sustainable and circular economy.


In conclusion, demanufacturing is the missing link in the recycling world. It is essential for the efficient and effective recovery of materials, enabling the recovery of valuable materials that may not be accessible through traditional recycling methods. However, challenges such as the lack of infrastructure, awareness, and regulation need to be addressed to promote the effective implementation of demanufacturing practices. Governments, manufacturers, and recycling facilities need to work together to address these challenges by investing in research and development, infrastructure, access to resources, standards and regulation, and increasing market demand for demanufactured products. By investing in demanufacturing infrastructure and expertise, raising awareness, and promoting collaboration and partnerships, we can ensure the effective implementation of demanufacturing practices and help promote a sustainable and circular economy.

Entropic is a management system for the recycling industry, designed specifically for dismantling end-of-life products. Entropic offers a modular and customizable system to support the management of dismantling and recycling end-of-life products. It provides the data tracking and traceability you need to protect information and manage hazardous materials in electrical and electronic waste as per the regulations.

Ask us what Entropic can do for your business.

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