On the Brink of a Circular Construction Breakthrough: Key Takeaways from Nordic Circular Hotspot’s First Seasonal Event

Over the past decade, the Nordic region has become synonymous with progressive climate policies and green innovation. Yet, as we march toward 2030—when the Nordic Council of Ministers envisions the Nordics as the most integrated and sustainable region in the world—one sector remains notably resistant to sweeping change: construction. Traditional linear models still reign, propped up by outdated incentives and complex regulations. It’s this exact status quo that the Nordic Circular Hotspot’s first seasonal event sought to challenge on March 26, 2025.

"I think the long value chain that we work in makes it difficult to implement new ways to do things, but it's also an opportunity because if you tap into the chain somewhere along the way then you can make big differences." Anders Fylling, Statsbygg

• Below is a snapshot of the discussions, case studies, and candid reflections that emerged from the event. Whether you’re a policy maker, business leader, or engaged community member, these insights illuminate how the Nordics might genuinely become a global frontrunner in circular construction.

1. Are We Truly Ready?

The opening presentation posed three essential questions:

1. Can the Nordics phase out linear business models without slowing down growth?
2. Are we bold enough to fully embrace reuse and circular design in new construction?
3. What radical changes are required to harmonize regulations and help a genuine shift?

“Cheaper to waste than to reuse” was a statement repeated multiple times. Speakers agreed on the challenge: as long as new materials remain cost-effective and disposal fees are minimal, genuine shifts in mindset are inhibited. This isn’t a mere pricing problem—it’s a reflection of how we’ve historically valued resources in the built environment.

2. Breaking Down the Barriers

The event explored the largest challenges to adopting circularity on a grand scale. Among the recurring themes:

• Financial Incentives: From landfill taxes to CO₂ pricing, there’s a clear call for realigning economic levers to make reuse as attractive, if not more so, than new materials.
• Regulatory Complexity: Regulations differ significantly among Nordic countries—sometimes even from municipality to municipality—making it challenging for circular startups to grow across borders.
• Late-Stage Circular Inclusion: Circular requirements often appear far too late in public procurement or project planning. Many speakers emphasized that applying “reuse criteria” at the design phase is critical if we want to avoid the routine demolition-and-dispose approach.
• Data Vacuum: “You can’t manage what you can’t measure” was a phrase repeated by multiple presenters. Without standardized data on material flows, it becomes nearly impossible to scale solutions that repurpose or recycle materials effectively.

Despite these obstacles, there was also optimism. “Too many pilots, too little scale” might sound discouraging, but it also signals the sheer number of small-scale successes waiting to be amplified. The event served as a rallying cry to unify these efforts region-wide.

3. The State of Play: Denmark, Finland, Sweden, Norway, Iceland

Speakers compared the state of circular construction across the five Nordic countries:

• Denmark: A regulatory frontrunner with mandatory Life Cycle Assessments and carbon limits on buildings. However, local implementation and scaling beyond urban hubs remain big challenges.
• Finland: Lauded for a national circular economy program targeting 2035 and strong design-for-assembly approaches. But many projects remain stuck in R&D, needing market-ready solutions and bigger investment.
• Sweden: Home to robust innovation ecosystems for product design, digital tracing, and reuse platforms—especially in progressive municipalities like Umeå. Yet, many consider the national government’s approach to be fragmented, lacking strong regulatory pressure.
• Norway: Noted for public sector initiatives, particularly from Statsbygg, which continues to push reuse requirements in public projects. However, no national minimum standard exists for circularity in new buildings, and the focus often lingers on “end-of-life” waste management rather than robust reuse systems.
• Iceland: Vision and ambition are emerging, but the market is still in the early stages. The next few years will be important for setting a policy foundation that encourages circular practices across the island’s construction sector.

What unites them all is a widespread acknowledgment that cross-border harmonization is urgently needed—everything from setting the same carbon accounting standards to digitally sharing data on building components.

4. Showcasing Innovators: Carbonaide, Bruksspecialisten, Næste, and Resirqel

Event attendees could follow four short introductions from leading circular companies currently working to upscale their solutions across the Nordics:

"By reusing materials, we can save up to 80 to 95 percent of the CO2 emissions compared to using new materials." Lene Westeng (Resirqel)

• Carbonaide (Finland): Demonstrated how captured CO₂ can be stored in precast concrete blocks, effectively reducing cement usage while locking away carbon. Their technology points to a future where carbon capture isn’t just theoretical—it can be an integral part of everyday building materials.
• Bruksspecialisten (Sweden): Focused on reclaiming bricks, tiles, and stone components to ensure buildings aren’t simply demolished but deconstructed for valuable, reusable resources.
• Næste (Denmark): Showcased how offcuts and “waste wood” can be standardized, re-certified, and upcycled into everything from high-end interior panels to entire new structures.
• Resirqel (Norway): Known for bridging the gap between demolition sites and reuse markets, their approach offers a blueprint for how to systematically dismantle buildings and put components back into circulation.

"The linear system is so well known and the tradition to throw away fully functional building materials is hard to crack... Even if they earn money to send the material and get some profit, it's still hard to bend the trend." Jakob Sten (Brukspecialisten)

It was clear: innovative, profitable solutions do exist. The question is how to systematically remove the cost and legal barriers that keep them niche.

5. Policy Meets Practice: A Panel Discussion

A highlight of the event was the panel featuring representatives from Statsbygg (Norway), Umeå (Sweden), and Reusefully (EU-level perspective). Moderated by the Nordic Circular Hotspot team, the conversation covered:

• Public Procurement: Panelists debated how mandatory reuse quotas or carbon budgets in public projects could shift the entire industry, urging governments to be more “visionary and persistent.”
• Local Government Leadership: Umeå’s Liv Öberg shared how municipal-level pilots on material reuse have become stepping stones for national policy discussions in Sweden.
• Standardizing Data: Reusefully’s EU vantage point highlighted the importance of unified digital platforms that record a building’s “passport,” ensuring each component can be tracked and reallocated.

"My method has been to be doing things rather than writing things... The key is also in learning from different stakeholders, from different companies; What are their needs." Liv Öberg (Umeå kommun)

A unifying conclusion was that top-down regulation alongside bottom-up innovation is critical to keep the momentum going. Each speaker challenged the audience to see beyond isolated pilots and push for durable policy mechanisms that lock in reuse as a standard step in every major construction project.

"Once you actually move beyond nice reports with lovely objectives and infographics, you're actually trying to do something different... You're trying to basically disrupt something that's been baked in for decades." Gilly Hobbs (Reusefully)

6. Next Steps: From Conversation to Action

During the closing remarks, attendees were encouraged to channel the energy and ideas from the day into tangible follow-ups:

1. Cross-Nordic Collaboration: Event organizers will assemble a working group to streamline how different Nordic countries handle data standards and regulatory guidelines for reuse.
2. Scaling Circular Startups: Plans are underway to connect early-stage companies, like Carbonaide and Næste, with established construction networks, ensuring robust financing and risk-sharing.
3. Policy Advocacy: There’s renewed commitment to influencing the public sector—particularly on creating tax incentives (e.g., landfill taxes) and pushing for earlier integration of circular requirements in building codes.
4. Public Awareness Campaigns: Recognizing the role of mindset, the Nordic Circular Hotspot teased a future awareness push to help shift cultural attitudes around “old vs. new.” If it’s cheaper to waste, part of the solution might be making it socially and professionally unacceptable to do so.

7. Conclusion: Toward a Mindset Shift in Building and Demolition

The main takeaway from the Nordic Circular Hotspot’s first seasonal event, is that the Nordic region has all the puzzle pieces for circular construction success: top-tier innovators, engaged policymakers, and a widespread cultural ethic for sustainability. But unlocking this potential demands willpower, harmonized regulations, and unified data flows.

Over the next few months, these conversations will continue—through deeper policy discussions, new cross-border pilots, and a spotlight on the companies turning theory into practice. The real question is whether the Nordics can seize this moment to fully break from a waste-centric tradition and, in doing so, set a global precedent for how the construction sector can lead climate action.

As one speaker put it, “The Nordic region isn’t lacking insights—it’s lacking the push to act on them.” After this gathering, the push feels stronger than ever. The hope is that come 2030, today’s pilot projects will have transformed into tomorrow’s mainstream norm, making truly circular construction a defining aspect of the Nordic identity.

Interested in More?

• The event recording is available on the Nordic Circular Hotspot website.
• Keep an eye on future Nordic Circular Hotspot seasonal events, follow us on LinkedIn