CIRCULOSE Restarts Chemical Textile Recycling Plant

Circulose commercial-scale textile recycling plant in Sweden

Circulose Announces Restart of Commercial-Scale Production at Ortviken Plant in Sweden

Circulose, the pioneer in textile-to-textile recycling, is pleased to announce the official restart of its commercial-scale production facility at Ortviken in Sundsvall, Sweden. This milestone marks a definitive return to market for CIRCULOSE®, the world’s first recycled pulp made entirely from discarded cotton textiles.

A New Chapter Under Altor Ownership

Following its 2024 acquisition by private equity firm Altor, Circulose has undergone a strategic restructuring designed to ensure long-term industrial stability. The company’s renewed direction focuses on a demand-led model, aligning production capacity with confirmed volume commitments from the global fashion industry.

Leadership Insights on Market Readiness

“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. “Our plan was to align the production restart with confirmed demand, and with commitments from 11 brands, we are now moving forward with confidence.”

Operational Milestones and Global Partnerships

Commercial production of CIRCULOSE® pulp is scheduled to resume in Q4 2026. To support this scale-up, Circulose has solidified agreements with leading fiber producers, including Tangshan Sanyou, Aditya Birla, and Jilin Chemicals, to integrate recycled content into global supply chains.

While the plant prepares for new production, current customer orders are being fulfilled through existing inventory produced prior to the company’s transition. As the world’s first commercial-scale chemical textile recycling facility, the Ortviken plant provides a proven solution for diverting textile waste from landfills and incineration at an industrial scale.

Closing the Loop in Global Fashion

The restart of the Ortviken facility addresses a critical need in the fashion industry for next-generation materials that can be seamlessly integrated into existing manufacturing processes. By converting old clothes into high-quality dissolving pulp, Circulose enables the production of viscose, lyocell, and modal fibers without relying on virgin forest or cotton resources.

Industry Impact and Scalability

“Restarting Ortviken is a major milestone for Circulose and for scaling next-generation materials,” Janmark added. “The fashion industry needs solutions that work at industrial scale and integrate seamlessly into existing supply chains. CIRCULOSE® is designed to do exactly that.”

Find the Circulose article here

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