Although the circular economy has increasingly been informing policies, it is far from ideal, and it could be argued that if the right measures are not taken, we will compromise overall sustainability. The definitions for what a circular economy entails are vague, which also translates into the performance metrics used. The close relationship of a circular economy with decoupling from Gross Domestic Product is another grey area. It is well documented that natural limitations (entropy) need to be considered, but another important aspect is that when assessing the circularity of a product/material and its recyclability, all resources used to achieve this need to be considered, as well as imports and exports of these products/materials. The social aspect of circularity needs to be strengthened as well, since “job creation” is not enough. A possible way forward would be to take lessons from other concepts like the Resource Nexus and Degrowth. In its current form, a circular economy is not even theoretically possible.