Circulose has announced the restart of its commercial-scale production facility in Sundsvall, Sweden, with plans to resume manufacturing of CIRCULOSE® in the fourth quarter of 2026.
The Ortviken plant, recognized as the world’s first commercial-scale chemical textile recycling facility, will produce CIRCULOSE® — a recycled pulp made entirely from discarded cotton textiles and designed to replace virgin raw materials in textile production.
“The preparations are in full swing, and new pulp is expected to roll out of the factory by the end of the year, ensuring there is no gap in supply,” said Jonatan Janmark, CEO of Circulose.
Demand-Driven Restart Strategy
In 2024, following its acquisition by European private equity firm Altor, Circulose adopted a renewed strategic direction focused on securing confirmed volume commitments before restarting operations.
According to the company, commitments from 11 fashion brands have now been secured, allowing production to resume with stronger commercial backing.
Circulose has also signed strategic partnership agreements with major fiber producers, including Tangshan Sanyou, Aditya Birla Group, and Jilin Chemical Fiber. These collaborations aim to integrate CIRCULOSE® into existing fiber manufacturing supply chains at scale.
Supporting Circular Fashion at Industrial Scale
With the restart of the Ortviken facility, Circulose will continue supplying recycled raw materials to global brands and fiber producers, contributing to efforts to divert textile waste from landfills and incineration.
Currently, customer orders are being fulfilled using inventory produced earlier by Renewcell prior to its bankruptcy.
“The fashion industry needs solutions that work at industrial scale and integrate seamlessly into existing supply chains. CIRCULOSE® is designed to do exactly that,” Janmark added.
The reopening of the Ortviken plant signals renewed momentum for large-scale textile-to-textile recycling and reflects growing industry commitment to commercially viable circular solutions.
