Abstract for: System dynamics for circular business models, the case of recycled PET in the tire industry

This article explores how the tire industry can become more sustainable by using recycled PET (rPET) from plastic bottles instead of traditional polyester in tire reinforcement textiles. The research focuses on both the technology—including mechanical and chemical recycling processes—and the business models needed to make circular material use practical and profitable. Key insights include: (i) WhiteCycle Project: An EU-funded initiative demonstrating that mixed PET waste can be converted into high-quality PET suitable for high-performance tires, (ii) Circular Business Models (CBMs), (iii) Environmental Benefits, (iv) Dynamic Analysis: System Dynamics modeling, (v) Policy Implications Clear recycled content targets, extended producer responsibility, and incentives for advanced recycling are crucial to accelerate rPET use. Overall, the study highlights that recycled PET can become a key material in sustainable tire production, combining environmental benefits with new business opportunities. Demonstration projects like WhiteCycle provide a roadmap for scaling up these practices while ensuring quality, economic viability, and long-term circularity in the tire sector Projects like WhiteCycle provide proof-of-concept and valuable operational data, while CBM strategies and systemic modeling offer the tools to optimize adoption, environmental benefits, and economic viability