Circulose has announced plans to restart its commercial-scale production plant in Sundsvall, Sweden, marking a significant step in scaling next-generation materials for the global fashion industry.
The company expects to resume production of CIRCULOSE®, a recycled pulp made entirely from discarded cotton textiles, in the fourth quarter of 2026. The Ortviken facility is the world’s first commercial-scale chemical textile recycling plant.
Jonatan Janmark, CEO of Circulose, said preparations are in full swing. “New pulp is expected to roll out of the factory by the end of the year, ensuring there is no gap in supply,” he stated.
In 2024, under new ownership by private equity firm Altor, Circulose established a renewed strategic direction focused on securing volume commitments from partner brands. The company aligned the production restart with confirmed demand, securing commitments from 11 brands before moving forward.
Circulose has also signed strategic partnerships with fiber producers Tangshan Sanyou, Aditya Birla, and Jilin Chemicals. These partnerships position the company to supply fashion brands and fiber producers with recycled raw material at commercial scale, supporting industry efforts to divert textile waste from landfills and incineration.
Currently, orders are being fulfilled using existing inventory produced by Renewcell, the facility’s previous operator before its bankruptcy. The restart demonstrates continued industry interest in proven textile recycling solutions.
Janmark emphasized that the fashion industry needs solutions that work at industrial scale and integrate seamlessly into existing supply chains. “CIRCULOSE® is designed to do exactly that,” he said.
The plant’s restart represents a test case for whether chemical textile recycling can transition from pilot projects to sustained commercial production. Despite past challenges in the sector, the move suggests brands remain committed to finding scalable alternatives to virgin materials.
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