Primark & H&M: Pursuing Textile Manufacturing Circularity

The textile and clothing sector, accountable for around 10% of worldwide carbon emissions, surpasses the combined emissions of all international flights and maritime shipping.

Yet, a startling figure emerges: only 1% of textile waste is reintegrated as new fibre, compelling the industry towards a crucial transformation.

This pressing need for change is addressed in the Global Fashion Agenda's Upstream Circularity Playbook.

“The playbook is a comprehensive resource designed to help garment manufacturing regions scale circular business models by valorising post-industrial textile waste," said GFA. 

“It provides a clear roadmap for reducing dependency on virgin resources, driving economic impact, and enabling a scalable, circular future in manufacturing regions.”

Developed with assistance from the Deutsche Gesellschaft für Internationale Zusammenarbeit and the H&M Foundation, the playbook is a comprehensive guide based on more than 20 case studies from significant textile producing regions such as Bangladesh, Cambodia, Indonesia and Vietnam.

These studies demonstrate effective collaborative strategies that could unlock the potential of textile recycling technologies.

Current challenges & opportunities 

The sustainability and circularity metrics of the textile industry are less than favourable. Critical issues include:

Less than 1% of textile waste is recycled into new fibre, resulting in financial losses exceeding US$100bn annually.

The circularity rate of the industry declined from 9.1% in 2018 to 7.2% in 2023, with 90% of materials being wasted or unused globally.

Additionally, a study by GFA highlights significant disparities in the accessibility to recycled materials across key manufacturing regions: 66% of companies reported good access while 18% faced poor access.

"With textile consumption and waste set to continue to grow, the need for scalable solutions is more pressing than ever," notes the GFA.

“Capturing and recycling post-industrial textile waste presents significant opportunities on multiple fronts, among them economic development, job creation and the environment.

The playbook reveals that scaling post-industrial recycling could prove economically beneficial for many nations.

Transitioning to a circular economy could foster up to nine million new jobs worldwide by 2030 in areas such as sorting, recycling, upcycling, and repair.

“From an economic perspective, it is estimated that scaling post-industrial recycling in key manufacturing countries such as Vietnam, Turkey, India, Malaysia, Indonesia and Bangladesh holds a market opportunity to the tune of US$4.5bn," the GFA continues.

“Leading brands and manufacturers have outlined ambitious goals, with 80% of brands and 86% of producers setting targets on textile-to-textile recycling of post-industrial and post use waste by 2030.”

Studies indicate that current recycling technologies could achieve 80% circularity in fashion if they are fully leveraged, providing a more cost-effective solution than using virgin materials.

This shift is also gaining traction with increasing momentum towards adopting circular practices, aimed at eliminating the use of virgin resources, reducing waste and greenhouse gas emissions, and ensuring a fairer distribution of value.

Steps towards greater manufacturing circularity

The playbook outlines five strategic steps to bolster collaboration and enhance circularity within the textile production sector:

1 – Segregating textile waste in factories: Critical to efficient recycling processes is the implementation of waste management systems within apparel factories to handle, segregate and trace post-industrial textile waste, effectively separating waste streams at the source.

2 – Digital traceability of textile waste: Enhancing the use of shared digital platforms for consistent data sharing and traceability of waste aids in registering quantities and characteristics of waste, aligning separated materials with recycler requirements.

3 – Collecting, aggregating and sorting: Defining roles and streamlining operations among intermediaries, including collectors and sorters, is essential to ensure that textile waste is adequately prepared and delivered to recyclers while maintaining process compliance.

4 – Matching textile waste to best use case: It is crucial to align different types of textile waste with the most appropriate recycling technology to optimise the quality of recycled material output.

5 – Design and recycled materials: The integration of recycled material outputs into the manufacturing value chain requires careful consideration of material properties in design, product development and testing phases.

The playbook also emphasises the need for supportive policy frameworks, including favourable tax and tariff conditions, the adoption of advanced recycling technologies, accessible financing, and capacity building across the supply chain.

One of the illustrative case studies in the playbook involves Primark, which, in conjunction with Recover's mechanically recycled cotton fibres, launched its Circular Product Standard.

This framework guides product design towards prioritising durability, recyclability, and sustainable fibre use.

Since the introduction of this initiative, Primark sold over three million items in its first circular product collection and plans to expand its use of sustainable practices and materials.

The transformative shift towards circularity in textile manufacturing not only promises significant environmental benefits but also offers substantial economic opportunities, signalling a robust future for the industry.

”Our collaboration is a key part of embedding circularity into our product design and we’re proud to be driving positive change that enhances product durability and reduces textile waste," says Lynne Walker, Director, Primark Care.

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