Breaking down to build up: how deconstruction and carbon finance foster sustainable, resilient construction in the industry 5.0 era

Purpose This study aims to seek and identify key enablers influencing the integration of deconstruction and carbon finance to improve sustainable and resilient construction in the Industry 5.0 era and then examines how these enablers relate to one another and rank, classify and prioritize them appropriately. Design/methodology/approach This study adopts the Integrated Decision-Making Trial and Evaluation Laboratory-Interpretive Structural Modeling-Matrice d’impacts Croises Multiplication Appliquee a un Classment (DEMATEL-ISM-MICMAC) methodology. Findings The key enablers are the circular economy approach with closed-loop material flow, prioritizing material recovery and reuse, and structuring carbon credits for affordability. Research limitations/implications The construction industry can advance toward environmentally friendly, sustainable building techniques and help achieve the larger objectives of carbon neutrality and environmental preservation by adopting the study’s guiding principles. Practical implications This study implies switching to circular rather than linear economic methods. It is still unrealistic to achieve zero carbon emissions, which is why carbon finance is important because it allows companies to trade carbon credits and encourages negative carbon activities and to structure and trade carbon credits affordably so that businesses of all sizes can participate. To extend the lives of current materials and reduce waste, it is imperative to maximize their reuse and minimize their disposal. Originality/value The novelty of this research lies in introducing carbon trade finance concepts to the construction sector, particularly focusing on the deconstruction phase, to enhance sustainability and resilience in construction practices in the Industry 5.0 era.