From buzzword to meaningful change

With 93% of the world’s economy still linear, minor improvements are not enough. Innovation means developing solutions that make circularity both possible and profitable. It begins with understanding the challenge at hand and targeting the root causes of the problem.

05 Aug 2026

– Humanity today continues to extract, produce, and consume at a pace that is in stark conflict with planetary boundaries. Circular innovation must target these root causes, says Anders Kihl, Chief Strategy Officer and R&D Director at Ragn-Sells Group.

For Ragn-Sells, innovation is not about refining the linear economy. It is about rethinking and redesigning the entire system. In practice, this means finding new ways to produce goods and services that make circularity the obvious choice. A process that requires research, new inventions, and a progressive mindset.

– Inventions are often linked to patents, whereas innovation is about finding new ways to solve problems, even without patents. However, we can only create solutions that generate real value when we fully understand the problem. Therefore, increasing our knowledge through research is necessary for both inventions and innovations, says Anders.

"Innovation is about solving real-world problems in new and better ways."

Anders Kihl, Chief Strategy Officer and R&D Director at Ragn-Sells Group

Responsible innovation also means knowing when to say no. For Ragn-Sells, detoxification is a guiding principle. Some material streams simply cannot be recycled in a safe and meaningful way.

– In short, we should not recycle materials that should not be recycled. This includes products such as facade panels containing asbestos and PFAS-contaminated firefighting foam. When detoxification is not an option, we must have the courage to say no, says Anders.

While technical innovation is crucial for the circular transition, policy innovation is equally important. New policies are needed to eliminate outdated regulations and make circular solutions competitive.

– Innovation requires patience and the courage to make mistakes. It is much more perspiration than inspiration. To move forward, we must be willing to take risks and learn from our failures, Anders concludes.

This article is based on content from the Ragn-Sells Group Sustainability Report 2025. Learn more about our sustainability work in the full report.

Ragn-Sells’ four innovation areas

Ragn-Sells works systematically to identify areas where innovation can deliver the greatest climate benefits, offer scalability, and meet growing demand for new solutions.

In 2024, Ragn-Sells identified four prioritised innovation areas based on material flows already present in the business:

1. Construction

Huge potential to replace large volumes of virgin resources.

2. Organic waste

Can enable the production of chemicals, proteins, and feed.

3. Metals and minerals

Recycling is one of the most effective ways to reduce emissions.

4. Plastics in waste fuel

New technology can prevent the emission of hundreds of thousands of tonnes of CO₂.

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