The agreement aims to bring Circ’s recycled polyester materials to market through Shenghong, which is one of China’s main textile fibre producers.
Under the terms of the deal, Shenghong will buy polyester chips recovered from discarded textiles using Circ’s recycling technology.
Shenghong will then manufacture filament yarn with recycled content on a commercial scale, targeting brands, textile mills, and supply chain partners that require greater access to circular materials.
Shenghong general manager Jason Tang said: “This collaboration combines Circ’s textile recycling technology with Shenghong’s fibre manufacturing capabilities to help move circular polyester from innovation to broader commercial use. We look forward to working together to deliver high-quality materials that meet the needs of global brands and support the industry’s transition toward more circular production.”
Circ stated that the collaboration is intended to create a more direct route from post-consumer textile waste to recycled polyester for commercial yarn applications, linking large-scale waste recovery with fibre production.
The aim is to reduce reliance on virgin fossil-based inputs while increasing the supply of recycled polyester made from used textiles.
The partnership is also designed to validate Circ’s recycled polyester in filament uses and establish a repeatable manufacturing model for future growth.
Circ CEO Peter Majeranowski said: “Scaling textile-to-textile recycling requires more than breakthrough technology. It requires strong manufacturing partners with the technical expertise, capacity, and market reach to bring circular materials into the mainstream. Shenghong brings all three. Together, we are creating a more direct path from discarded textiles to new fibres that brands can use at meaningful scale.”
In March, Circ announced a partnership with viscose filament producer Xinxiang Bailu Chemical Fiber Co., which the company said would support its circular textile strategy by expanding access to recycled fibres for established fashion supply chains.
