From Informal Recycling to a National Circular Economy Hub: Lessons from Ziya Circular Economy Park in Tianjin, China
February 5, 2026
by Tao Fang, Policy and Programme Specialist and
Xiaofang Zhou, Director of Chemicals and Waste Hub
Thirty years ago, recycling in northern China looked very different from today. Many families living near the Ziya River in Tianjin earned a living by recovering useful materials from discarded appliances and scraps. The work was done by hand and relied on basic methods. While this work helped generate income, it also caused serious pollution and thus could pose significant health risks.
What began as informal recycling gradually evolved into a functioning circular industrial network. From a field visit to Ziya Circular Economy Park in November 2025 during the inception workshop of UNDP’s global project - Shifting to Zero Waste Against Pollution (SWAP) initiative in Tianjin, it was clear how much the area has transformed. The park now operates as a representative national hub for circular economy where materials from households, industries, vehicles, batteries, metal, paper, electronics and plastics are systematically recovered, processed, and reintegrated into manufacturing sectors.
Coordinated planning, regulation, and investment in recycling technologies and facilities have enabled this transformation, creating a connected system that reflects the core principles of a circular economy: keeping materials in use for as long as possible, maintaining their value, and improving resource efficiency.
Ziya’s early development
The establishment of Ziya Circular Economy Park in 2003 marked the beginning of organized, large-scale recycling in Tianjin’s Jinghai District. A dedicated management committee consolidated dispersed enterprises into a regulated industrial zone, providing shared infrastructure and standardized processes that improved efficiency, safety, and environmental compliance.
In 2012, Ziya was designated a national-level economic and technological development zone, officially prioritizing circular economy as its leading industry. Policy changes in 2018, particularly restrictions on imported waste, accelerated the shift to domestic recycling, prompting enterprises to upgrade technology, diversify operations, and strengthen supply chains.
What happens inside the park today
Ziya Circular Economy Park follows a strategy of “circular economy plus new energy and new materials”, operating a near-complete value chain that spans dismantling, recycling, advanced processing, and remanufacturing.
The zone now hosts 938 companies and generated about US$2.45 billion in revenue in 2024. Since 2007, it has processed tens of millions of tonnes of recycled resources annually, supplying the market with around 1.5 million tonnes of recycled copper, aluminum, and other materials each year.
It was estimated that almost 20 million carbon dioxide-equivalent (CO2eq) tonnes of greenhouse gas emissions have been reduced by processing nearly 10 million tonnes of scrap metal in Ziya park, equivalent to preventing the extraction of about 40 million tonnes of ore. Furthermore, the zone has provided approximately 20,000 jobs, reflecting its significant role in local employment creation.
Materials arrive from across Tianjin and surrounding regions. Organized processing lines dismantle, sort, and recover these materials into standardized outputs ready for manufacturing. Highly automated appliance recycling facilities, such as TCL Aobo’s flagship operation, produce stable outputs at scale with relatively low labor input. End-of-life vehicle dismantling remains more labor-intensive, though it provides critical material recovery and parts for reuse. Advanced separation technologies are gradually being adopted to improve efficiency and output quality.
Metal and non-ferrous recycling, particularly copper and aluminum, remains a core strength, with some firms moving into higher-value semi-processed products. Battery recycling has emerged as a strategic growth area, combining second-life applications for energy storage with the recovery of critical metals like lithium, cobalt, nickel, and copper. Paper and plastics recycling systems are also expanding, providing reliable feedstock to downstream manufacturers.
Together, these activities form a diversified and increasingly integrated circular value chain, demonstrating how an industrial park level eco-recycling system can function efficiently and sustainably.
Why Ziya worked
Clustering hundreds of companies in the same industrial zone allows them to specialize and collaborate. A firm that dismantles appliances can supply sorted metals directly to a nearby processor, while other companies use recovered plastics or batteries as inputs for manufacturing. This kind of network creates efficiency and encourages innovation across the park — the essence of industrial symbiosis.
The government also played an important role. Local and national authorities helped create the park, set rules for environmental compliance, and coordinate across agencies, reducing uncertainty for businesses and ensuring that environmental and safety standards are consistently met. Centralized investments in infrastructure such as power, water, and wastewater treatment have also made it easier for companies to start and operate in the park.
Remaining challenges
Ziya has made progress, but challenges remain. Recycling value chains in China still have great potential for development. Many places rely heavily on informal collectors, affecting feedstock quality and traceability. Supplies of scrapped vehicles remain insufficient relative to dismantling capacity, while advanced dismantling and separation technologies are not yet widely adopted. New types of pollutants require specific monitoring tools and treatment. Competition for recyclable materials is also intensifying as similar parks expand in other provinces. A healthy competition environment requires policy and planning coordination across sub-regions of China.
What’s next
Strengthening recycling networks beyond the Ziya Circular Economy Park is a clear priority for Tianjin. Better integration of urban and rural collection systems would improve material flows, feedstock quality, and traceability, while supporting more stable employment in recycling. Technology upgrades, especially in precision dismantling, automated separation, and battery metal recovery in line with updated national standards, could be accelerated. Stronger market and policy incentives and green financing instruments are needed to attract private investment.
Regional and international cooperation can reinforce these efforts. In 2025, Ziya expanded its regional influence with other countries in central Asia as the foundation of the Green Industry Development Cooperation Zone. Through international platforms such as SWAP, Ziya can participate in technology and knowledge exchange with other countries and explore joint projects, linking domestic experience with broader global efforts.
Lessons for building circular economies
The Ziya Circular Economy Park demonstrated that the transition from informal, polluting recycling to a modern circular economy is achievable, but it takes steps and time. The key elements for the success of this journey are the ability for long-term planning, strong public leadership, sustained green infrastructure and circular value chain investment, and coherent policy support.
As global demand for critical materials grows and environmental standards tighten, Ziya’s experience offers valuable lessons for other countries seeking to build sustainable, resilient and competitive circular industries. UNDP’s Planet Hub is supporting interested countries to build capacities, leverage green finance for their infrastructure and circular facilities through its Zero Waste and Circular Parks Initiative (CPI).
About the project
Tianjin, China is one of five pilot cities selected for the Shifting to Zero Waste Against Pollution (SWAP) initiative, a Global Environment Facility (GEF)-supported programme implemented by the United Nations Development Programme (UNDP) that aims to promote zero-waste planning and sustainable production and consumption by supporting pilot cities to adopt circular economy and green chemistry approaches that reduce pollution.
As part of the project’s inception workshop in November 2025, a visit to Ziya Circular Economy Park provided an opportunity for knowledge exchange, helping participants understand the city’s circular economy practices and inform programme planning. Alongside Tianjin, the programme will be implemented in Freetown (Sierra Leone), Kocaeli (Türkiye), Montevideo (Uruguay), and Tunis (Tunisia), with activities beginning in 2026.