Abstract
The circular economy (CE) has emerged as a transformative paradigm for addressing the intertwined crises of environmental degradation and resource scarcity, grounded in the moral principles of intergenerational equity, environmental sustainability, and shared responsibility. However, in the European Union (EU), the development of the CE has been hindered by technological, economic, regulatory, and cultural barriers, leaving its compelling moral case significantly under‐implemented. Drawing on Luhmann's systems theory, this forum article reconceptualizes the moral case for the CE as a normative expectation—a societal “ought” that retains its validity even when violated. These violations, we argue, function as productive irritations, catalyzing the evolution of the CE by driving innovation, societal critique, and gradual adaptation. We analyze this evolutionary trajectory by distinguishing three stages of CE development in the EU: (i) semantic articulation, (ii) structural consolidation, and (iii) emergent alignment of semantics and structures. Our argument highlights the importance of embracing the gaps between normative aspirations and practical realities as a vital resource for advancing CE development, offering valuable insights for scholarship, policymakers, and businesses.