[pageLogInLogOut]

#Recycling / Circular Economy

Crisis in Europe’s textiles sorting and recycling sector could trigger a domino effect

Europe’s textile sorting and recycling industry is currently experiencing an unprecedented crisis, even more significant than during the COVID-19 pandemic. The sector is under immense pressure due to several global disruptions, including the war in Ukraine, logistical challenges in Africa, and the rise of ultra-fast fashion.
Demand for recycled materials, such as recycled cotton, remains low compared to virgin cotton © 2024  TexData International
Demand for recycled materials, such as recycled cotton, remains low compared to virgin cotton © 2024 TexData International


As a result, there is an oversupply of used textiles and a sharp decline in demand from traditional export markets. The trade in used textiles between the EU and non-EU decreased from 464,993 tonnes in 2022 to 430,185 tonnes in 2023 /1. Looking at Germany alone, the exports of used textiles to Ghana (one of Europe’s key export markets) have decreased from 7911.2 tonnes in 2020 to 4532.9 tonnes in 2023 /2. Additionally, demand for recycled materials remains low: recycled cotton had an estimated production volume of 319 000 tonnes in 2023 (compared to 24.4 million tonnes of virgin cotton) globally /3.

Consequently, prices for second-hand textiles have plummeted, while the costs of collection, sorting, and recycling have skyrocketed. Since spring 2024, the prices for sorted second-hand garments no longer cover processing costs, leading to major cash flow problems for sorting operators. Warehouses are becoming overwhelmed, increasing the risk of textile waste being incinerated. We call on the EU to encourage Member States to lower VAT on textile repair, reuse, and recycling activities, within the existing VAT Directive framework, and explore the possibility of introducing a tax on new, petroleum-based materials. Such measures, if adopted at national levels, would incentivise the use of recycled materials and reduce the environmental impact of virgin textile production.

This situation is likely to raise processing costs for municipalities, potentially resulting in higher waste disposal fees for residents, with the fear that the textiles will be thrown in the residual waste instead. Downstream players in the recycling chain, such as tearing and spinning mills, are also feeling the strain, leading to significant staff cuts.

To avert widespread bankruptcies, immediate financial and legislative support is essential. Short-term financial incentives for EU companies that contribute significantly to a sustainable circular textile chain are needed to safeguard the industry from collapsing. Investment in recycling technologies and infrastructure, alongside targeted support for municipalities dealing with textile waste stagnation, is crucial. We urge the EU to facilitate public-private partnerships to foster innovation in textile recycling and to scale up recycling technologies. This will help increase Europe’s capacity to process textile waste sustainably and efficiently. A swift revision of the Waste Framework Directive (WFD) and rapid implementation of Extended Producer Responsibility (EPR) schemes are also imperative.

In the mid-term, efforts should focus on making the textiles reuse and recycling sector competitive, in line with Commission President Ursula Von der Leyen’s ambition for a competitive and strong circular economy (through a future Clean Industrial Deal and Circular Economy Act). To reach this ambition, the EU needs to increase demand for recycled textiles, expand recycling capacity, and promote the use of sustainable materials through upcoming ecodesign requirements. We call for the mandatory inclusion of a percentage of recycled textile content (most preferably from post-consumer textiles) in all new textile products placed on the EU market, with a clear trajectory for increasing this percentage over the coming years. Without urgent action, Europe risks undermining its climate goals and jeopardising the future of its textile sorting and recycling industry.

1 Eurostat

2 German Federal Statistical Office

3 Textile Exchange, Materials Market Report 2024





More News from Recycling Europe (ex EuRIC AISBL)

More News on Recycling / Circular Economy

#Recycling / Circular Economy

Sahil Kaushik appointed CEO of Infinited Fiber as the company advances a phased path to commercial scale

Infinited Fiber has appointed Sahil Kaushik as Chief Executive Officer. Kaushik has served as Acting CEO alongside his role as Chief Operating Officer and will continue to oversee operations until a new COO is appointed.

#Recycling / Circular Economy

trinamiX with new management

BASF is examining strategic options for its subsidiary trinamiX GmbH. trinamiX specializes in biometric imaging and mobile material analysis. These activities are not part of BASF’s core business, on which the company is focusing as part of the implementation of its new strategy.

#Recycling / Circular Economy

Reju announces site selection for first U.S. industrial sized facility regeneration hub in Rochester, New York

Reju, the textile-to-textile regeneration company, today announced it has selected the site for its first U.S.-based industrial facility marking a significant milestone in its efforts to scale globally. This future Regeneration Hub will be in Rochester, New York, reinforcing Reju’s commitment to the adoption of circular textile system across key regions worldwide.

#Business

Canopy introduces a first-of-its-kind $2 billion USD investment blueprint to decarbonize global materials supply chains

Today, the global, solutions-driven not-for-profit Canopy joined partners at Davos to introduce a new finance model designed to accelerate the growth of low-carbon materials and transform the paper, packaging, and textile supply chains. The event was anchored by a keynote speech from Sri A Revanth Reddy, Hon’ble Chief Minister of Telangana, with India set to host the first iteration of the new investment blueprint.

Latest News

#Functional Fabrics

“Action helps us change what we do!”

DAY 0 takes place deliberately before PERFORMANCE DAYS begins. It is conceived as a space for reflection, dialogue and active engagement — a moment to pause before the fair, rethink established systems and address sustainability not as a trend, but as a fundamental transformation challenge. Under the guiding metaphor “Turn the Tap Off”, DAY 0 focuses on root causes rather than symptoms, systemic change rather than isolated solutions, and collective responsibility rather than individual silos.

#Textiles & Apparel / Garment

Pets in fashion: functional and sustainable textiles find new market at Intertextile Apparel

China’s pet economy is booming, especially amongst younger generations, and pet apparel – from designer outfits to functional garments – was a RMB 3.5 billion (over USD 500 million) market in 2024, growing more than 20% annually¹. To help exhibitors harness this trend, Intertextile Shanghai Apparel Fabrics – Spring Edition 2026 will launch the Pet Boutique, presenting a range of innovative, sustainable materials that prioritise both functionality and comfort for pets.

#Sustainability

VAUDE eliminates PFAS from all products

PFAS (per- and polyfluoroalkyl substances) are now detectable worldwide – in drinking water, soil and the human body. These so-called “forever chemicals” are considered hazardous to health and potentially carcinogenic, as they do not break down and remain in the environment permanently. Despite these risks, PFAS are still used in a wide range of products. More than 15 years ago, VAUDE made a strategic decision to gradually eliminate PFAS from all product categories.

#Man-Made Fibers

Lenzing AG to become majority owner of TreeToTextile AB and accelerates industrialization of new fibers

The Lenzing Group is taking another strategic milestone by acquiring a controlling majority in the Swedish innovation company TreeToTextile AB. This step strengthens Lenzing’s position as a leading provider of sustainable, wood‑based specialty fibers and expands its innovation pipeline with a highly scalable, patent‑protected technology platform. The transaction is executed through the issuance of new shares.

TOP