US next-generation materials company Circ has reached an agreement with Huafon Group, one of China's largest spandex producers, to build a textile recycling plant within Huafon's industrial park in China. It is Circ's second recycling facility after its French plant. The project will use Circ's chemical textile-to-textile recycling technology to process polycotton waste textiles, separating and recovering recycled PTA, recycled MEG and recycled cellulose pulp for making new textiles.

Key points

  • Circ has signed with Huafon Group to build a textile recycling plant within the latter's Chinese industrial park to process polycotton waste
  • The project will advance in phases; phase one is designed to process about 200 tonnes of textile waste per day, with later expansion; investment amount not disclosed
  • Circ's first plant is in Saint-Avold, France, with expected investment of US$500 million and annual processing capacity of 70,000 tonnes; currently under construction

Why Huafon was chosen

In its statement, Circ said the partnership combines Circ's polycotton recycling technology with Huafon's manufacturing capacity, infrastructure and position in the Chinese market. Huafon's expertise in engineering, procurement, logistics and sales provides an effective path to industrialising the technology, while Circ brings a mature global brand network, textile manufacturing partners and downstream customers ready to adopt its output materials.

Construction funding for the new plant will be shared by Circ and Huafon, with participation from "other select investors." Circ's existing shareholders include Spain's Inditex Group, Breakthrough Energy Ventures founded by Bill Gates, Japan's Marubeni, 8090 Industries and US textile manufacturer Milliken.

French plant first

Circ is headquartered in Danville, Virginia, USA. The company is currently building its first industrial-scale recycling facility in Saint-Avold, northeastern France, with expected investment of US$500 million and a designed annual processing capacity of 70,000 tonnes of textile waste. The Huafon project will follow the French plant.

Industry significance

By extending the industrialisation of its chemical polycotton recycling to China, Circ is beginning to export its technology route from a single European base to the core of Asia's textile manufacturing belt. For the global used-clothing and textile-waste handling chain, moving processing capacity closer to garment production helps shorten the circular radius from waste to recycled raw materials; and the involvement of Huafon, a spandex giant, with its manufacturing and market resources, also provides an industrial support path for scaling chemical recycling technology.

Source: Circ Joins Forces With Huafon to Develop China Textile Recycling Factory - Modaes Global · Originally published 2026-10-12