Textile Recycling Market Size By Process (Mechanical, and Chemical), By Material (Cotton, Wool, Polyester, Polyamide & Others), End-Use (Apparel, Home Furnishings, Industrial, Non-woven, & Others), Distribution Channel (Online and Offline), and Region - Market Share, Trend Analysis, Competitive Intelligence, Historical Data, and Forecast 2023 - 2032

Market Perspective

The Textile Recycling Market size was worth around USD 6.45 billion in 2022 and is predicted to grow to around USD 9.89 billion by 2032, with a compound annual growth rate of roughly 4.3% between 2023 and 2032. Pollution, energy, and water use, as well as a decrease in the need for new materials like cotton and wool, are all the fiscal and environmental advantages of recycled fabrics. By utilizing the fabrics and fibers already on hand, the demand for newly produced fibers can be decreased.

Pollution is also reduced by using less energy, water, chemicals, and pigment. Businesses can increase their profit margins by recycling as it saves money on landfill disposal costs, improves the quality and value of the environment, helps with disaster assistance, and transports used clothing to areas that need it. This development is being driven by an increase in recycling operations and increasing demand from several industries, including retail, automotive, construction, and a few others.

Therefore, old clothes and refused fibrous materials are recycled and recovered through several processes to create recycled textiles. The majority of recyclable textiles are found in municipal refuse, which comes from items like worn-out or abandoned clothing, tires, shoes, carpets, furniture, and non-durable products like sheets and towels. Utilizing recycled fabrics eases the burden on virgin resources like wool and cotton as well as pollution, water, and energy use.

The market for recycled textiles is anticipated to expand generally due to the cheap cost of recycled goods compared to virgin goods. However, the growth of the recycled textiles industry is constrained by rising processing costs and low-quality employment opportunities. The industry is expected to see growth prospects as recycling technologies advance. For instance, in October 2022, Lenzing became a partner of CISUTAC (Circular and Sustainable Textile and Clothing) funded by the European Union to focus on strengthening sustainability goods and cellulose recycling.

Key Insights

• Based on the process, the mechanical segment held the largest market share in 2022
• Based on material, the cotton segment dominated the market in 2022
• Based on end-use, the apparel segment is expected to register the largest share in 2022
• Based on distribution channel, the online segment is expected to dominate over the forecast period
• On the basis of region, Asia Pacific accounted largest market share in 2022

The proliferation of Circular Fashion is a Vital Trend Propelling Growth

The wasteful use of resources and negative effects are addressed by a circular textiles system, which innovates textile design, and the adoption of new technologies and sustainable materials is emerging circularly. Many companies are starting to adopt circular fashion as consumers place more value on sustainability. About 61% of American shoppers use eco-friendliness as a criterion. The primary factor is that circular fashion is now beginning to make its way into popular culture. Brands that were once regarded as leaders in fast fashion are noticing this pattern and implementing it as well.

Textile companies focus to use materials that are ethically and sustainably produced, recycle more, and implement a circular economy. Chains that produce textiles use a variety of chemicals and pollutants, as well as a tremendous quantity of water and energy. The circular economy for clothing and textiles includes textile recycling, which can lower greenhouse gas emissions while freeing up valuable land for other uses. Several nations intend to increase recycling and decrease textile trash to achieve this.

Rising Awareness About the Environmental Impact of Waste Across Rural Areas Will Create New Opportunities for the Market Growth

The increasing environmental concerns about waste production and increased public awareness of textile recycling in rural areas are anticipated for the market. Cloth recycling is experiencing a backlog as a result of the pre-recycling procedure being hampered and constrained. This resulted in an accumulation of apparel and materials in warehouses, which had an impact on the growth of the market.

Additionally, there is a rise in the production of textile and clothing waste as the average life of a given garment grows shorter. This is extremely harmful to the ecosystem because of the incineration process and disposal in landfills, which release greenhouse gas emissions. Recycling textiles, according to EPA and SMART, greatly reduces greenhouse gas emissions, which spurs economic growth. Additionally, new recycling techniques and groundbreaking research in the field are expected to support market growth.

Recent Development

February 2023-

• Evrnu made a strategic partnership with PANGAIA and launched the ‘RENU’ dethe nim jacket made entirely from cotton textile waste by NuCycl solution.
• SOEX, the partnership between I:CO and Tally Weijl, will offer discarded clothes to customers in Tally Weijl shops across Europe. The partnership aims to conveniently dispose of old clothes and protection against landfills.

November 2022- Unifi expanded the Textile Takeback program to collect and recycle polyester-based fabric waste and transformed it into sustainable goods.

October 2022-

• CuRe Technology launched T-REX (Textile Recycling Excellence) Project along with 12 major partners funded by European Union creating a circular system for post-consumer textile waste for 3 years.
• Worn Again Technologies has raised $34.5 million to support the construction of an innovative textile recycling demonstration plant in Winterthur, Switzerland.

March 2022- Renewcell collaborated with Birla Cellulose with a signed Letter of Intent (LOI) to strengthen large-scale circular fiber production using Circulose (raw material of Renewcell).

Segmentation Analysis

By process, the market is categorized into mechanical and chemical. The mechanical held the largest market share owing to the major participants recycling fabrics mechanically as compared to chemically. The textile recycling industry has created a mechanical recycling business. The vast bulk of big businesses has been mechanically recycling various textiles. Through shredding and re-spinning, cotton is mainly recovered without the use of chemicals. Furthermore, most of the reclaimed wool and polyester are recycled mechanically rather than chemically.

On the basis of material, the market is divided into cotton, wool, polyester, polyamide & others. The cotton segment is expected to dominate the market owing to the high demand and widespread use in clothing and other fabrics. Significant quantities of the non-renewable fabrics gathered for cotton recycling are also included.

By end-use, the market is categorized into apparel, home furnishings, industrial, non-woven, & others. The apparel held the largest market share owing to clothing and footwear leftovers from the manufacturing process, damaged clothing, and shoes all fall under the category of apparel refuse.  The average lifespan of a new garment has considerably decreased over the past 20 years, increasing the amount of waste produced by the apparel business.

Based on the distribution channel, the market is divided into online and offline. The online segment is expected to dominate the market owing to the rising e-commerce sector growing rapidly. Customers are inclined towards online orders and retailers lose profits for not opting for e-commerce in their business. The online marketplaces like eBay and Amazon, anyone can quickly set up a simple online store and begin selling products. Furthermore, selling online can free up money for better marketing and user experience on the e-commerce site by removing the need for expensive retail sites and customer-facing staff.

Regional Landscape

Asia Pacific is the Dominating Region Owing to the Increased Industrial Base

Asia Pacific region is the dominating region owing the demand for textile recycling has been fueled by the powerful industrial base, depletion of raw materials, awareness of the environmental impact of waste, and heavy industrial discharges from mills. Moreover, rising consumer awareness and growing interest in regional brands that use recycled materials are anticipated to be the main drivers of the increase during the forecasted timeframe.

China can be accredited as a well-established manufacturing hub, which makes it possible to reuse textiles easily and effectively. In addition, China is the biggest supplier of textile raw materials used in a variety of end-use sectors. Numerous start-ups are escalating in India and showcasing excellent abilities to recycle textiles in a variety of ways, which is expected to create new growth opportunities for the global clothing recycling market during the anticipated period.

North America is Expected to Growth at the Fastest Rate Owing to the Rising Government Initiatives

The North America textile recycling market is expected to grow at the fastest rate owing to the existence of organizations that gather used clothing for either reuse or recycling. Additionally, a driving force in the market's change towards recycling textiles is the government's and consumers' growing knowledge of the negative effects.

Competitive Landscape

• Aditya Birla Group (Birla Cellulose)
• Bls Ecotech Ltd
• Boer Group Recycling Solutions
• Carbios
• CuRe Technology
• Ecotex Germany GmbH
• Evrnu SPC
• FABSCRAP
• Hyosung TNC
• Infinited Fiber Company
• LENZING AG
• Martex Fiber
• PurFi Global LLC
• Renewcell
• SOEX Textil-Vermarktungsgesellschaft m.b.H.
• UNIFI
• Worn Again Technologies

The global textile recycling market is segmented as:

By Process

• Mechanical
• Chemical

By Material

• Cotton
• Wool
• Polyester
• Polyamide
• Others

By End-Use

• Apparel
• Home Furnishings
• Industrial
• Non-woven
• Others

By Distribution Channel

• Online
• Offline

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic countries
    • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
  • Benelux Reunion
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • New Zealand
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America