Textile Recycling Market Size, Share, and Outlook, 2025 Report- By Material (Cotton, Polyester, Wool, Polyamide, Others), By Source (Apparel Waste, Home Furnishing Waste, Automotive Waste, Others), By Process (Mechanical, Chemical), 2021-2032

Textile Recycling Market Outlook

Textile Recycling Market Size is forecast to reach $26 Billion in 2032 from $15.8 Billion in 2025, at an optimistic growth rate of 7.3% from 2025 to 2032.. The Textile Recycling market is a thriving business that is poised to keep growing and presents potential growth opportunities for companies across the industry value chain.

The comprehensive market research report presents 12-year historic and forecast data on Textile Recycling segments across 22 countries from 2021 to 2032. Key segments in the report include By Material (Cotton, Polyester, Wool, Polyamide, Others), By Source (Apparel Waste, Home Furnishing Waste, Automotive Waste, Others), By Process (Mechanical, Chemical). Over 70 tables and charts showcase findings from our latest survey report on Textile Recycling markets.

Textile Recycling Market Insights, 2025

The Textile Recycling Market is expanding as the fashion industry faces increasing pressure to adopt circular economy practices. Rising textile waste, combined with regulatory initiatives promoting sustainability, is driving investment in mechanical and chemical recycling technologies. Companies like Renewcell, Worn Again Technologies, and Lenzing are developing innovative solutions to convert waste textiles into high-quality fibers for new apparel production. The adoption of polyester recycling, including the use of rPET from post-consumer waste, is gaining momentum in sportswear and fast fashion. However, challenges such as fiber contamination, cost barriers, and limited infrastructure for textile collection need to be addressed for large-scale adoption. The growing focus on closed-loop recycling systems and extended producer responsibility (EPR) programs is expected to further boost market growth.

Five Trends that will define global Textile Recycling market in 2025 and Beyond

A closer look at the multi-million global market for Textile Recycling identifies rapidly shifting consumer preferences across categories. By focusing on growth and resilience, leading Textile Recycling companies are prioritizing their investments across categories, markets, and geographies. The report analyses the most important market trends shaping the new landscape to support better decisions for the long and short-term future.

What are the biggest opportunities for growth in the Textile Recycling industry?

The Textile Recycling sector demonstrated remarkable resilience over the past year across developed and developing economies. Further, the market presents significant opportunities to leverage the existing momentum towards actions by 2030. On the other hand, recent macroeconomic developments including rising inflation and supply chain disruptions are putting pressure on companies. The chapter assists users to identify growth avenues and address business challenges to make informed commercial decisions with unique insights, data forecasts, and in-depth market analyses.

Textile Recycling Market Segment Insights

The Textile Recycling industry presents strong offers across categories. The analytical report offers forecasts of Textile Recycling industry performance across segments and countries. Key segments in the industry include- By Material (Cotton, Polyester, Wool, Polyamide, Others), By Source (Apparel Waste, Home Furnishing Waste, Automotive Waste, Others), By Process (Mechanical, Chemical). The largest types, applications, and sales channels, fastest growing segments, and the key factors driving each of the categories are included in the report.

Forecasts of each segment across five regions are provided from 2021 through 2032 for Asia Pacific, North America, Europe, South America, Middle East, and African regions. In addition, Textile Recycling market size outlook is provided for 22 countries across these regions.

Market Value Chain

The chapter identifies potential companies and their operations across the global Textile Recycling industry ecosystem. It assists decision-makers in evaluating global Textile Recycling market fundamentals, market dynamics, and disruptive trends across the value chain segments.

Scenario Analysis and Forecasts

Strategic decision-making in the Textile Recycling industry is multi-faceted with the increased need for planning across scenarios. The report provides forecasts across three case scenarios- low growth, reference case, and high growth cases.

Asia Pacific Textile Recycling Market Analysis- A Promising Growth Arena for Business Expansion

As companies increasingly expand across promising Asia Pacific markets with a combined population of over 4.5 billion, the medium-to-long-term future remains robust. The presence of the fastest-growing economies such as China, India, Thailand, Indonesia, and Vietnam coupled with strengthening middle-class populations and rising disposable incomes drive the market. In particular, China and India are witnessing rapid shifts in consumer purchasing behavior. China is recovering steadily with optimistic forecasts for 2025. Further, Japanese and South Korean markets remain stable with most companies focusing on new product launches and diversification of sales channels.

The State of Europe Textile Recycling Industry 2025- Focus on Accelerating Competitiveness

As companies opt for an integrated agenda for competitiveness, the year 2025 presents optimistic scenarios for companies across the ecosystem. With signs of economic recovery across markets, companies are increasing their investments. Europe is one of the largest markets for Textile Recycling with demand from both Western Europe and Eastern European regions increasing over the medium to long-term future. Increasing omnichannel shopping amidst robust consumer demand for value purchases shapes the market outlook. The report analyses the key Textile Recycling market drivers and opportunities across Germany, France, the United Kingdom, Spain, Italy, Russia, and other Europe.

The US Textile Recycling market Insights- Executives are most excited about opportunities for the US Textile Recycling industry.

Easing inflation coupled with strengthening consumer sentiment is encouraging aggressive actions from the US Textile Recycling companies. Market players consistently focusing on innovation and pursuing new ways to create value are set to excel in 2025. In addition, the Canadian and Mexican markets offer lucrative growth pockets for manufacturers and vendors. Focus on private-brand offerings and promotions, diversified sales channels, expansion into niche segments, adoption of advanced technologies, and sustainability are widely observed across the North American Textile Recycling market.

Latin American Textile Recycling market outlook rebounds in line with economic growth.

Underlying demand remains higher among urban consumers with an optimistic economic outlook across Brazil, Argentina, Chile, and other South and Central American countries. Increased consumer spending has been reported since H2-2024 and the prospects remain strong for 2025. Aggressive ecosystem moves to create new sources of income are widely observed across markets in the region. Marketing activities focused on customer insights, operations, and support functions are quickly gaining business growth in the region.

Middle East and Africa Textile Recycling Markets- New Opportunities for Companies Harnessing Diversity

Rapid growth in burgeoning urban locations coupled with a young and fast-growing population base is attracting new investments in the Middle East and African Textile Recycling markets. Designing expansion and marketing strategies to cater to the local consumer base supports the market prospects. In addition to Nigeria, Algeria, South Africa, and other markets, steady growth markets in Ethiopia, Rwanda, Ghana, Tanzania, the Democratic Republic of Congo, and others present significant prospects for companies. On the other hand, Middle Eastern Textile Recycling markets including the UAE, Saudi Arabia, Qatar, and Oman continue to offer lucrative pockets of growth.

Competitive Landscape- How Textile Recycling companies outcompete in 2025?

The ability to respond quickly to evolving consumer preferences and adapt businesses to niche consumer segments remains a key growth factor. The report identifies the leading companies in the industry and provides their revenue for 2024. The market shares of each company are also included in the report. Further, business profiles, SWOT analysis, and financial analysis of each company are provided in detail. Key companies analyzed in the report include Birla Cellulose, BLS Ecotech, Ecotex Group, Hyosung Group, iinouiio Ltd, Lenzing Group, Martex Fiber, Pistoni S.r.l., RE TEXTIL Deutschland GmbH., RenewCell, Textile Recycling International, The Boer Group, The Woolmark Company, Unifi Inc, Worn again technologies.

Reasons to Buy the report

• Make informed decisions through long and short-term forecasts across 22 countries and segments.
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• Gain a clear understanding of the competitive landscape, with product portfolio and growth strategies.
• Get an integrated understanding of the entire market ecosystem and companies.
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• Assess the impact of advanced technologies and identify growth opportunities based on actionable data and insights.
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