Advances and setbacks in the world of circular fashion

Last month, a much-defended circular fashion company filed for bankruptcy, sparking concerns that textile recycling was going out of fashion.

Circulose is a branded dissolving paste made from 100% high-cellulose textile waste (like worn-out cotton jeans), which is then transformed into viscose, lyocell, modal and other types of regenerated fibers.

Swedish company Renewcell, which makes a viscose fabric called Circulose derived from worn cotton jeans and offcuts, said it had failed to secure the financing needed to continue operations. “This is a sad day for the environment, our employees, our shareholders and our other stakeholders,” said Michael Berg, Chairman of the Board of Renewcells. This speaks to the lack of leadership and the necessary pace of change in the fashion industry.

After announcing its bankruptcy, the company noted in a LinkedIn post that there was still enough supply of Circulose to meet the projected needs of brands and suppliers for the next 18 months to two years thanks to its fiber producers and partnerships with yarn spinners, weavers, knitters and clothing makers. Circulosis has been used in clothing from brands like Levis, Tommy Hilfiger and Zara. Fast fashion brand H&M has also supported Renewcells' efforts, agreeing to purchase 18,000 tonnes of textile over the next year. according to GreenBiz.

Even amid the bad news from Renewcell, there are positives to focus on. For example, a court-appointed administrator issued a statement indicating that he sees good opportunities to acquire and continue operating the company once the bankruptcy proceedings are completed.

Is this the end of circular fashion? Absolutely not, Ashley Holding, principal consultant at Circuvate in Frankfurt, Germany, told GreenBiz. Innovators will surely learn from Renewcells’ mistakes.

The idea of ​​creating a circular economy in which waste is used as a raw material to make new products rather than ending up in landfills or being incinerated has gained traction in recent years, particularly for clothing brands who seek to improve their image and intensify their sustainable development efforts. .

In fact, in the weeks following Circuloses' bankruptcy announcement, several brands have released announcements about new partnerships and investments in circularity.

H&M Group Launches Effort to Expand Recycled Polyester Textile to Textile

Syre, a new company backed by the H&M Group, is working on closed-loop textile-to-textile recycled polyester.

H&M Group, alongside impact investor Vargas, is backing Syre, a new company aiming to create a closed-loop textile recycling operation. The company is starting with a $600 million deal for recycled polyester over seven years.

With Syre, the H&M Group hopes to move the fashion industry not only away from virgin polyester, but also from bottle recycling to textiles which has become an industry standard. The company is banking on Syre to produce a closed-loop alternative to recycled polyester (rPET) that many brands use.

“With this solution to rapidly scale textile-to-textile recycling, we want to continue to engage and inspire more industry players to join us in closing the loop and accelerating the transition to a more sustainable future,” he said. said Daniel Ervr, CEO of the H&M group.

As well as supporting Syre, H&M Group also announced plans to strengthen its recycled materials ambition, aiming for 100% of materials used to be recycled or sustainably sourced by 2030, with a sub-target by 30% by 2035.

Syre is building a production facility in North Carolina, which has become a hub for sustainable textile innovation, with plans to become operational this year. Within 10 years, the company aspires to have 12 operational factories around the world, producing more than 3 million tonnes of recycled polyester.

By implementing true textile-to-textile recycling at scale, we want to drive the transition from a linear to a circular value chain by reusing textile waste, again and again, said Dennis Nobelius, CEO of Syre .

An athlete will benefit from recycled textile-to-textile materials

Athleta plans to expand the use of recycled polyester cycora starting in 2026.

Performance clothing brand Athleta, owned by Gap Inc., recently announced that it will use cycora recycled polyester on a large scale starting in 2026.

Cycora, created by Ambercycle, is a regenerated polyester created from end-of-life textiles. Ambercycle claims to use proprietary molecular regeneration technology to transform discarded polyester raw material into a high-performance material that replicates the quality of virgin-grade polyester, while reducing the industry's greenhouse gas emissions.

As a Certified B Corp brand, Athleta is committed to reducing our environmental footprint by using recycled materials like cycora, which not only aligns with our values ​​but also meets our uncompromising quality standards, said Chris Blakeslee, CEO of Athleta and a former member of Counselors Power 50 while serving as president of Bella + Canvas (asi/39590).