This study investigates the barriers that directly affect and hinder the widespread adoption of Circular Economy (CE) principles in construction waste management in Sweden, alongside an assessment of existing CE practices and the role of experiential learning in overcoming implementation challenges. Despite Sweden’s progressive environmental governance, a significant gap persists between CE policy frameworks and actual industry practices, as evident in industrial surveys and literature from different authors.

The research addresses one primary question and two secondary questions, focusing on identifying systemic obstacles, mapping current CE-based construction waste management practices already implemented in the Swedish construction industry, and examining how experiential learning, particularly through Work-Integrated Learning (WIL), can inform strategic solutions.

The study has used a qualitative research design and qualitative methodologies for conducting the study. Primarily, the study used a systematic literature review (SLR), guided by the PRISMA protocol, was conducted along with a thematic analysis of secondary data. Sources were selected from high-impact academic databases and institutional reports published post-2015.

Key findings reveal barriers including regulatory fragmentation, market inertia, limited reuse infrastructure, cultural resistance, and knowledge gaps. Simultaneously, the study identifies emerging CE practices such as green procurement, digital material tracking, and consultant-driven reuse strategies. The research concludes that embedding WIL in CE transition processes, informed by Kolb’s Experiential Learning Theory, enhances adaptive capacity and bridges the theory-practice divide, offering actionable pathways for systemic change.