What will a circular city look like? A systematic literature review of urban circular economy applications and their implications for research and practice

This review explores Circular Economy (CE) applications in urban contexts and their implications for practice, and research. By making sense of concrete challenges of implementing the urban circular economy (UCE) and creating circular value in urban areas, this article addresses an important but under-explored gap in the literature, providing solid foundations for understanding UCE applications and related value creation. The paper follows a systematic review following PRISMA guidelines. First through keywords mapping, four main research axes are identified: waste management, new forms of urbanity, green ecosystems, and circular governance. Those are then reviewed through a content analysis of 135 articles that make sense of their applications and main issues. Lastly finding’ implications are examined using various theoretical lenses, including CE classification, circular business models (CBM), institutional theories, sustainability transition theory (STT), and industrial ecology (IE). Overall, the article identifies promising but understudied areas, such as economics, business models, and urban studies, meanwhile research in the “hard sciences” is very active. UCE applications span from low-value technocratic fixes to more transformative initiatives. While many mitigate urban externalities and contribute to address global change issues, others aim to reshape urban paradigms but often lack scalability. Another challenge for cities will be to move towards high-value CE strategies, develop urban CBMs, overcome systemic barriers, and integrate inclusive governance and resilience into urban design. To achieve a scalable and regenerative urban future, UCE will need to be advanced through more in-depth research, supportive policies, and systemic changes in knowledge, behaviors, and urban construction practices.