Because change starts with knowledge. Discover the stories, innovations, and insights leading the way to a better planet.
Posted: July 24, 2025
Circ and Sanyou have formed a strategic partnership to produce recycled Lyocell fibers in China using advanced textile recycling. With a $500 million facility in France set to launch in 2028, the collaboration aims to support sustainable fashion by transforming textile waste into high-quality materials and driving circular innovation in the global fibre industry.
US textile recycling company Circ has teamed up with China’s Sanyou Chemical Fiber to expand the production of recycled Lyocell fibers across the Chinese market. Under their new agreement, Sanyou will source pulp from Circ’s upcoming commercial-scale facility in Saint-Avold, France, scheduled to begin operations in 2028. This $500 million plant will be capable of recycling up to 70,000 metric tonnes of textile waste per year, including hard-to-recycle poly-cotton blends that account for a major portion of global textile waste.
Together, Circ and Sanyou aim to produce Lyocell staple fibers with 30% recycled content, helping the fashion industry meet rising demand for sustainable, high-performance materials. Circ’s Lyocell, made from textile waste using a closed-loop process, matches or exceeds the quality of traditional tree-based versions. Circ CEO Peter Majeranowski noted that the partnership underscores both the strength of their technology and the importance of collaboration in building a recycled Lyocell fibers market. He emphasized that this move supports broader goals of advancing a circular economy in fashion.
Sanyou’s deputy general manager Zhang Dongbin echoed the sentiment, stating the alliance sets new benchmarks in eco-conscious production. By locking in supply from Circ, Sanyou can offer its clients reliable access to sustainable fiber options as more brands look to diversify supply chains. Earlier this month, Circ also announced a milestone with Zalando, revealing new items from its Anna Field label made using Circ Lyocell, another sign of the growing shift toward circular fashion.
