This paper provides an overview and examples of the potential, but also the challenges of Metal Additive Manufacturing in the future Circular Economy paradigm. The Circular Economy, aimed at reducing resource consumption, waste generation, and the overall carbon footprint of our industries, presents significant challenges to traditional, linear production systems. In this context, Additive Manufacturing emerges as a highly flexible technology with the potential to overcome many of these hurdles: The ability to reduce material usage through optimized lightweight and functional designs, the use of recycled materials, Additive Manufacturing-based repair and remanufacturing of tools and products or the optimization of production through hybrid manufacturing approaches (e.g. combinations of subtractive and additive manufacturing) are just a few examples. However, the lack of automated and digitalized production processes, complex process chains with potential health and safety concerns, and high demands on material and component qualification still pose significant hurdles to the widespread adoption of Metal Additive Manufacturing in the Circular Economy framework. In addition, the Circular Economy alone does not necessarily mean a lower carbon footprint over the entire product life cycle. On the contrary, depending on the specific process used, the carbon footprint of metal additive part production is often higher than in conventional manufacturing scenarios due to the high energy requirements of the additive process and long production times. Therefore, in this study, a comprehensive literature review is performed to outline the potential of Additive Manufacturing for Circular Economy principles, providing several beneficial examples of the so-called “R-strategies” covered with the help of Additive Manufacturing. In addition, an outlook is given on the development of new technologies to increase the potential of Additive Manufacturing to make an important contribution to circular production scenarios.