In recent years, the circular economy approach has been developed as an alternative approach to the linear economy which raises the need for change and redesign of production and consumption systems due to the fact that we live in a world with a and limited amount of resources. It has been found that the application of circular economy principles in the construction industry can help reduce the environmental footprint of the industry. The study examined the main barriers that currently hinder the transition of the construction industry in Israel to a circular economy. As part of the study, the gypsum industry was selected as a study case in which the barriers, needs and opportunities that characterize the gypsum industry in Israel were examined in order to examine the potential for reuse of gypsum waste and to close the circle.