The joint venture between Recover and Intradeco will be strategically based in El Salvador to provide Central America's textile sector with a quick and flexible supply chain.
The initiative represents an early step towards creating circular textile systems and closed-loop production processes in the foreseeable future.
The partnership will take advantage of the Central American Free Trade Agreement (CAFTA) region's increasing relevance as global brands and retailers set up manufacturing bases there, partly due to potential trade disputes within the Americas.
The new processing facility is situated near textile waste and production streams for a cost-effective operation, while also reducing the carbon footprint associated with longer supply chains.
The venture hopes to streamline adherence to the Uyghur Forced Labor Prevention Act (UFLPA) for US-based textile and apparel producers. It also aims to respond to the growing demands for both nearshoring and proximity to production locations.
Recover CEO Anders Sjöblom said: “We are thrilled to partner with Intradeco to bring our sustainable textile solutions to the Americas and address the increasing demand for nearshoring in the region. This joint venture is another step in our journey to enable large-scale sustainable change in fashion through business value and inspiration. Together, we aim to support changed trade patterns and drive innovation and sustainability in the textile industry.”
The joint venture is expected to begin operating in 2025 and initial shredding activities will be temporarily handled by Recover's facility in Spain.
Recover specialises in manufacturing sustainable recycled cotton fibre and cotton fibre blends, while Intradeco produces apparel across a range of categories.
With operations spanning Spain, Bangladesh, Vietnam, Pakistan, and now El Salvador, Recover extends sustainable and economically viable offerings to brands and retailers across key global textile hubs.
The company prides itself on creating low-impact, superior-quality recycled cotton fibre. This technological prowess is expected to bolster the venture's capacity to provide innovative and sustainable textile options to its clientele.
Intradeco CEO Jaime Miguel added: “Intradeco is excited to partner with Recover to enhance our production capabilities and deliver high-quality, recycled products at scale to our customers. This partnership represents a significant step forward in our commitment to sustainability.”