China discards about 26 million tons of old clothes every year, yet the recycling and reuse rate remains below 1%, according to a survey by the China Circular Economy Association. In stark contrast to the country's annual textile fiber processing volume of over 50 million tons and a garment market worth over one trillion yuan, old clothing recycling faces three major challenges: high costs, outdated mindsets, and immature business models. Yet it is also seen as a new economic direction with the potential to spawn a hundred-billion-yuan industry.

Key Points

  • Data from the China Circular Economy Association shows that about 26 million tons of old clothes are discarded in China each year, with a recycling and reuse rate of less than 1%.
  • Since launching its old clothing recycling service in March 2018, the Xianyu platform has recycled about 24 million items of old clothing; during the 2019 graduation season, about 380,000 garments from nearly 400 universities were recycled.
  • Jiang Shicheng, an academician of the Chinese Academy of Engineering, points out that the recycling and reuse of waste textiles will spawn a hundred-billion-yuan industry.

Where Does Old Clothing Recycling Fall Short?

Incinerating old clothes causes waste and pollution, while landfilling affects soil. Although many residential communities have recycling bins and many families have begun to try recycling, the recycling and reuse rate remains extremely low, and very few textiles can be regenerated into recycled fibers for secondary use.

Cost is the primary obstacle. Jiang Shicheng, an academician of the Chinese Academy of Engineering, explains that old clothing recycling and reuse typically follows four pathways: mechanical, physical, chemical, and thermal. The chemical method can reduce materials to the molecular level and regenerate fibers, which is relatively ideal, but production costs are high and large-scale production remains constrained.

Mindset is the second obstacle. A reporter's investigation found that many people prefer donating old clothes, and even when recycling, it is mostly for public welfare purposes; commercial use is harder to accept. Acceptance of recycled fiber products is even lower. Sun Huaibin, vice president of the China National Textile and Apparel Council, says that in some European and American countries, recycled fiber products are relatively common, with brands including ZARA and GAP offering corresponding product lines that have many fans even at slightly higher prices. In China, however, many people believe that textiles made from recycled fibers are unclean and unsafe. An industry insider reveals that, influenced by such attitudes, these international brands rarely launch recycled fiber lines in their domestic stores.

The most critical issue is the business model. An old clothing recycling practitioner says that currently the industrial chain is long, costs at each stage are high, enterprises struggle to profit, and the market is hard to open up. Sun Huaibin points out that inadequate back-end operations in particular lead to an entry point with no exit, preventing the industry from circulating. Citing the example of recycled paper taking decades to gain acceptance and popularity, he believes old clothing recycling has "a long road ahead."

A Hundred-Billion Market Waiting to Be Tapped

Despite the difficulties, innovation remains active in the old clothing recycling sector. On Alibaba's idle trading platform Xianyu, users can select items with one click and have clothes picked up at home; the garments then embark on a new journey through sorting, transportation, shredding, fiber opening, and other stages. Xianyu data shows that since launching the corresponding service in March 2018, about 24 million items of old clothing have been recycled. During the recent graduation season, about 380,000 garments from nearly 400 universities were recycled through Xianyu and transformed into automotive soundproofing cotton, greenhouse insulation cotton, and recycled fabrics.

Caocao Mobility, together with an old clothing environmental charity platform, jointly launched the "Old Clothing Recycling Plan," building a recycling and transportation network through shared mobility and other means, and dynamically tracking the recycling process.

Zhu Xingxiang, president of the China Circular Economy Association, believes that a large-scale user base enables platforms to conduct large-scale public welfare and commercial exploration. Information technology can improve resource utilization efficiency, solve management issues such as full-process traceability, and explore models such as sharing and co-creation, allowing more people to participate. "Internet Plus" provides new ideas for promoting the use of idle social resources.

Some textile and apparel enterprises are also leveraging industrial chain advantages to advance old clothing recycling. Underwear brand Aimer launched a recycling and environmental action on its official website mall, popularizing knowledge about waste clothing sorting, and partnering with logistics, decomposition, and other manufacturers to launch a nationwide underwear recycling campaign through methods such as recycling coupons. Around the industrial chain, a series of technological and model innovations in degradation treatment, fabric development, printing and dyeing textiles, and logistics and warehousing are also unfolding.

Jiang Shicheng believes that the recycling and reuse of waste textiles is not only an environmental project but also a new economy and new driving force that will spawn a hundred-billion-yuan industry.

Strengthening Management to Eliminate "Blind Spots"

For old clothing recycling to continue healthily, it is still necessary to improve policies, encourage innovation, and standardize management.

First, it is necessary to clarify who collects, how to collect, and other corresponding entities and standards. A reporter's investigation found that old clothing recycling is just starting out; apart from some major brands and platforms, most participants are startups and small and medium-sized enterprises, and the division of labor, coordination, and alignment within the industrial chain still need to be standardized and clarified. For example, many communities have set up recycling bins, but how to manage them afterward and how to track them remains unclear. Xu Yan, a resident of Chaoyang District in Beijing, hopes that regulatory authorities and management standards will be clarified as soon as possible, with qualifications and thresholds set, so that genuine recycling is achieved and illegal vendors are prevented from reselling for profit.

Second, it is necessary to manage and support industry development to better encourage innovation. At present, the main pathway for old clothing recycling is conversion into recycled fibers for secondary use; however, preferential policies for the corresponding recycled resource industry have not yet covered the waste textiles sector. Although some enterprises have made R&D breakthroughs, they lack enthusiasm for production due to high costs and low market acceptance of finished products. Experts suggest formulating relevant standards as soon as possible to ensure orderly old clothing recycling and utilization; providing preferential policies in taxation and other areas to encourage enterprise and platform innovation; encouraging scientific research on recycling and reuse; and strengthening internal and external oversight to eliminate industry chaos.

In addition, many people suggest establishing a "clear account" for the flow of recycled old clothing, so that it can be traced and verified, dispelling public doubts and promoting low-carbon lifestyles and scientific environmental awareness throughout society.

Source: 26 Million Tons Discarded Annually: What to Do with Old Clothing "Waste"? — An Old Clothing Recycling Investigation · Originally published on 2019-08-01