What is an “accordion-cut” or “scrunch-cut” gasket?
To get rid of the “doughnut-hole” issue, you could explore having a rectangular gasket with a hole in the middle cut so that it could be nearly cut through on the 45 degree ends of the “picture frame” and then assembled into the rectangular shape. The scrap material in the middle of the part would be eliminated and the cost savings could be passed on to the customer.