Explore the Textile Recycling Market in United States 2024

Theme:Textile Recycling
Region:United States
Year:2025
Updated:2025-02-14
Lang:

Abstract

The global textile recycling market was valued at USD 4,632.4 million in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 3.2% from 2023 to 2030. This growth is driven by increasing environmental concerns regarding textile waste and rising social awareness about sustainable practices. For instance, the Environmental Protection Agency (EPA) reports that textile waste occupies 5% of landfill space, highlighting the urgency for recycling initiatives. By 2030, the global market is expected to reach USD 7,193.3 million, reflecting a steady expansion fueled by technological advancements and regulatory support.

In the United States, the textile recycling market reached USD 1.82 billion in 2024 and is projected to grow at a CAGR of 5.90% to reach USD 3.23 billion by 2034. This growth is attributed to the country’s significant textile industry and high textile waste generation, with the average American discarding approximately 70 pounds of textiles annually. Government policies promoting recycling, advancements in mechanical and chemical recycling technologies, and the expansion of textile collection systems are key drivers of this market. Additionally, the U.S. accounted for 45.80% of the North American textile recycling market in 2022, further solidifying its leadership in the region.

We speculate that the market’s growth will be further accelerated by shifting consumer preferences toward sustainable fashion and increasing adoption of circular economy principles. Innovations in recycling technologies, such as improved sorting facilities and chemical recycling methods, are enhancing the quality and value of recycled textiles, making them more appealing to manufacturers and consumers alike. Moreover, government initiatives aimed at reducing textile waste and promoting sustainable practices are expected to play a pivotal role in shaping the market’s trajectory in the coming years.

1. Market Size

The global textile recycling market was valued at USD 4,632.4 million in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 3.2% from 2023 to 2030. This growth is driven by increasing environmental concerns regarding textile waste and rising social awareness about sustainable practices. For instance, the Environmental Protection Agency (EPA) reports that textile waste occupies 5% of landfill space, highlighting the urgency for recycling initiatives. By 2030, the global market is expected to reach USD 7,193.3 million, reflecting a steady expansion fueled by technological advancements and regulatory support.

In the United States, the textile recycling market reached USD 1.82 billion in 2024 and is projected to grow at a CAGR of 5.90% to reach USD 3.23 billion by 2034. This growth is attributed to the country’s significant textile industry and high textile waste generation, with the average American discarding approximately 70 pounds of textiles annually. Government policies promoting recycling, advancements in mechanical and chemical recycling technologies, and the expansion of textile collection systems are key drivers of this market. Additionally, the U.S. accounted for 45.80% of the North American textile recycling market in 2022, further solidifying its leadership in the region.

2. Market Segmentation

Market Segmentation Analysis of the U.S. Textile Recycling Industry

The U.S. textile recycling market is a dynamic and growing sector driven by increasing consumer awareness of sustainability, government initiatives, and technological advancements. To better understand this market, we can segment it based on textile waste type, end-use industry, distribution channel, and recycling process. Below, we analyze these segments in detail, compare their characteristics, and evaluate their potential and challenges.


Key Segments

1. By Textile Waste

  • Pre-consumer Textile Waste: This includes waste generated during the manufacturing process, such as excess fabric, defective garments, or unused materials. This segment is expected to grow rapidly due to its ease of collection and recycling .
  • Post-consumer Textile Waste: This consists of discarded clothing, footwear, and home textiles from consumers. Dominating the market in 2022, this segment is driven by fast fashion cycles and increasing consumer disposal rates .

2. By End-Use Industry

  • Apparel: The largest segment, valued at USD 3.3 billion in 2023, driven by the high volume of post-consumer apparel waste and growing sustainability concerns among brands and consumers .
  • Home Furnishings: A smaller segment due to longer replacement cycles and fewer recycling options .
  • Industrial & Institutional: Includes waste from industries and institutions, with moderate growth potential .

3. By Distribution Channel

  • Online Channels: Expected to be the fastest-growing segment due to increasing consumer preference for convenience and accessibility .
  • Retail & Departmental Stores: Traditional channels that still play a significant role in textile collection and recycling .

4. By Recycling Process

  • Mechanical Recycling: Dominated the market in 2024 with a 68.8% share due to its cost-effectiveness and widespread use for cotton, wool, and polyester fabrics .
  • Chemical Recycling: Limited by high costs and capacity constraints but holds potential for synthetic fiber recycling .

Segment Comparison

SegmentKey CharacteristicsMarket Size (2024)Growth PotentialChallenges
Pre-consumer WasteEasy to collect, generated during manufacturingModerateHighLimited volume compared to post-consumer waste
Post-consumer WasteDriven by fast fashion, high disposal ratesLargest segmentModerateCollection logistics, contamination issues
ApparelLargest end-use segment, dominated by post-consumer wasteUSD 3.3 billion (2023)HighFast fashion cycles, consumer behavior
Home FurnishingsLonger replacement cycles, fewer recycling optionsSmallLowLimited demand for recycled materials
Online ChannelsFastest-growing, convenient for consumersGrowingHighCompetition, logistics for collection
Mechanical RecyclingCost-effective, widely used for cotton, wool, and polyester68.8% market shareHighLimited to certain materials, quality degradation
Chemical RecyclingAdvanced, capable of recycling synthetic fibers on a molecular levelSmallModerateHigh costs, capacity constraints

Segment Analysis

1. Pre-consumer vs. Post-consumer Waste

  • Pre-consumer Waste: This segment is easier to manage due to its controlled generation during manufacturing. Its growth is supported by the increasing adoption of sustainable practices by manufacturers. However, its volume is limited compared to post-consumer waste .
  • Post-consumer Waste: While this segment dominates the market, it faces challenges such as contamination, inconsistent quality, and logistical issues in collection. Despite these challenges, it remains a critical area for growth due to the sheer volume of waste generated by consumers .

2. Apparel vs. Home Furnishings

  • Apparel: The apparel segment is the most significant driver of the textile recycling market, fueled by fast fashion and increasing consumer awareness of sustainability. However, the short lifecycle of garments and high disposal rates pose challenges for recycling efforts .
  • Home Furnishings: This segment has limited growth potential due to longer replacement cycles and fewer recycling options. However, innovations in recycling technologies could unlock new opportunities .

3. Online vs. Retail Channels

  • Online Channels: The online segment is growing rapidly due to its convenience and accessibility. However, it requires robust logistics and infrastructure to ensure efficient collection and recycling .
  • Retail & Departmental Stores: Traditional channels remain relevant, especially for consumers who prefer in-person drop-off points. However, they face competition from online platforms .

4. Mechanical vs. Chemical Recycling

  • Mechanical Recycling: This process is cost-effective and widely used, making it the dominant segment. However, it is limited to certain materials and can result in quality degradation .
  • Chemical Recycling: While promising for synthetic fibers, this process is hindered by high costs and capacity constraints. Its growth depends on technological advancements and cost reductions .

The U.S. textile recycling market is segmented into diverse categories, each with unique characteristics, growth potential, and challenges. The post-consumer waste and apparel segments dominate the market, driven by fast fashion and consumer behavior. Mechanical recycling remains the most widely used process due to its cost-effectiveness, while chemical recycling holds promise for the future. The online distribution channel is emerging as a key growth area, reflecting changing consumer preferences. Overall, the market's growth is supported by sustainability trends, government policies, and technological innovations, but challenges such as contamination, logistics, and high costs must be addressed to unlock its full potential.

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3. Players

The U.S. textile recycling market is characterized by a mix of established companies and innovative start-ups, each contributing to the industry’s growth through unique approaches to collection, processing, and recycling. Below are the top 10 key players in the market, along with their characteristics, advantages, and disadvantages:

1. American Recyclers

  • Characteristics: Extensive collection infrastructure and partnerships with retailers.
  • Advantages: Strong network for textile collection and processing.
  • Disadvantages: Limited focus on advanced recycling technologies.

2. Ambercycle, Inc.

  • Characteristics: Pioneering chemical recycling technologies for synthetic fibers.
  • Advantages: Cutting-edge technology for synthetic fiber recycling.
  • Disadvantages: High operational costs and scalability challenges.

3. Circ LLC

  • Characteristics: Innovative fiber-to-fiber recycling solutions.
  • Advantages: High-quality recycled fibers.
  • Disadvantages: Dependence on partnerships for raw material sourcing.

4. Evrnu, Inc.

  • Characteristics: Advanced recycling processes for creating high-quality fibers.
  • Advantages: High-quality output.
  • Disadvantages: Limited market penetration outside niche segments.

5. For Days, Inc.

  • Characteristics: Strong brand presence and consumer engagement.
  • Advantages: Effective consumer-facing recycling programs.
  • Disadvantages: Reliance on subscription-based models, which may limit scalability.

6. Lenzing AG

  • Characteristics: Global leader in sustainable fiber production.
  • Advantages: Established market presence and expertise in sustainable fibers.
  • Disadvantages: High competition in the U.S. market.

7. Martex Fiber

  • Characteristics: Expertise in post-consumer textile recycling.
  • Advantages: Proven track record in recycling.
  • Disadvantages: Limited innovation in chemical recycling.

8. Natural Fiber Welding, Inc.

  • Characteristics: Focus on natural fiber recycling and sustainability.
  • Advantages: Eco-friendly processes.
  • Disadvantages: Smaller scale compared to competitors.

9. Protein Evolution, Inc.

  • Characteristics: Innovative use of biotechnology in textile recycling.
  • Advantages: Innovative approach to recycling.
  • Disadvantages: Early-stage technology with unproven scalability.

10. Unifi, Inc.

- **Characteristics**: Established brand and large-scale recycling operations.  
- **Advantages**: Extensive recycling capabilities.  
- **Disadvantages**: Heavy reliance on mechanical recycling, which has limitations.  

Market Share

The U.S. textile recycling market was valued at USD 1.1 billion in 2024, with North America holding a dominant position due to its robust waste collection infrastructure and growing sustainability initiatives. While specific market share data for individual players is not available, companies like Lenzing AG and Unifi, Inc. are recognized as market leaders due to their extensive operations and technological advancements.

Players Comparison

The following table compares key metrics of the top players in the U.S. textile recycling market:

CompanyTechnologyMarket PositioningKey StrengthsKey Weaknesses
American RecyclersMechanical RecyclingCollection InfrastructureExtensive partnershipsLimited focus on advanced technologies
Ambercycle, Inc.Chemical RecyclingSynthetic Fiber RecyclingCutting-edge technologyHigh operational costs
Circ LLCFiber-to-Fiber RecyclingInnovation LeaderHigh-quality recycled fibersDependence on partnerships
Evrnu, Inc.Advanced Fiber CreationNiche Market LeaderHigh-quality outputLimited market penetration
For Days, Inc.Subscription ModelConsumer EngagementStrong brand presenceScalability challenges
Lenzing AGSustainable Fiber Prod.Global LeaderEstablished market presenceHigh competition
Martex FiberPost-Consumer RecyclingExpertise in RecyclingProven track recordLimited innovation
Natural Fiber WeldingNatural Fiber RecyclingSustainability FocusEco-friendly processesSmaller scale
Protein EvolutionBiotechnologyEarly-Stage InnovatorInnovative approachUnproven scalability
Unifi, Inc.Mechanical RecyclingLarge-Scale OperationsExtensive recycling capabilitiesReliance on mechanical recycling

Analysis

The competitive landscape of the U.S. textile recycling market is shaped by a combination of technological innovation, infrastructure development, and sustainability initiatives. Key players are focusing on expanding their collection networks and adopting advanced recycling technologies to address the growing textile waste crisis. However, challenges such as high operational costs, scalability issues, and reliance on mechanical recycling methods persist.

The market is also influenced by government initiatives and consumer awareness. For instance, programs like CheckSammy Drop and partnerships between cities and recycling companies are driving accessibility and convenience in textile recycling. Additionally, the rise of fast fashion and increasing environmental consciousness are creating both opportunities and challenges for the industry.

We speculate that the market will continue to grow as companies invest in innovative recycling technologies and collaborate with stakeholders to enhance sustainability. However, addressing scalability and cost challenges will be critical for long-term success. The integration of recycling into the textile value chain, coupled with stricter regulations, is expected to further shape the competitive landscape.

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4. Trends

The U.S. textile recycling market is being shaped by several transformative trends. Technological advancements in mechanical and chemical recycling are improving the efficiency and scalability of recycling processes, enabling the production of higher-quality recycled textiles3. Rising consumer awareness of environmental sustainability is driving demand for recycling solutions, as individuals and businesses seek to reduce their carbon footprint4. The fast fashion industry is a significant contributor to textile waste, generating a steady supply of materials for recycling1. Additionally, government initiatives and stricter regulations are promoting waste management and recycling practices, further accelerating market growth3.

The looming textile waste crisis, with only 14.7% of textiles recycled in 2018, is a key driver of these trends9. Population growth and increased consumer spending are exacerbating waste generation, necessitating effective recycling solutions6. The fast fashion sector, with its rapid production cycles, is another major driver, contributing significantly to textile waste1. Furthermore, environmental concerns and global sustainability goals are pushing both consumers and businesses toward eco-friendly practices8.

The market presents several opportunities, such as the potential for innovative recycling technologies to handle diverse materials like synthetic fibers1. Collaborations between brands, recyclers, and technology suppliers can enhance recycling processes and integrate sustainability into the textile value chain3. However, challenges include the need for scalable infrastructure and the complexity of recycling mixed textile materials1. Moreover, consumer behavior remains a hurdle, as many still discard textiles rather than recycle them1.

5. Demographics

The U.S. textile recycling market is influenced by a diverse demographic profile. The average American household spends nearly $1,800 annually on apparel, with Gen-Z contributing significantly by spending $767 per year on fast fashion1. This indicates a younger demographic, particularly Gen-Z and Millennials, as key contributors to textile waste due to their high consumption of fast fashion. Additionally, the average American discards approximately 70 pounds of textiles annually, highlighting a widespread issue across all age groups9.

The high disposable income of U.S. consumers, coupled with the popularity of fast fashion, drives the rapid turnover of clothing and subsequent textile waste1. This behavior is particularly pronounced among younger demographics, who are more likely to engage in frequent clothing purchases and disposal. However, this also creates an opportunity for textile recycling, as increased awareness of environmental sustainability grows, especially among younger, eco-conscious consumers1.

DemographicAnnual Apparel SpendingTextile Waste Contribution
Gen-Z$767High
Millennials$1,200Moderate
Baby Boomers$1,000Low

6. Buying Behavior

The decision-making process for consumers in the U.S. textile recycling market is increasingly influenced by environmental consciousness and sustainability goals. Consumers are becoming more aware of the environmental impact of textile waste, with the average American discarding approximately 70 pounds of textiles annually9. This awareness drives them to seek out recycling options for post-consumer waste, such as damaged or outdated garments, which are often discarded through donation centers, thrift stores, or collection drives1. Additionally, the rise of fast fashion and its rapid production cycles have further intensified the need for effective textile recycling methods1.

The key drivers of consumer purchasing behavior in this market include environmental awareness, government initiatives, and the availability of recycling infrastructure. Government measures aimed at reducing waste and promoting sustainable practices have significantly influenced consumer behavior3. Moreover, the robust collection and processing infrastructure in the U.S. has made it easier for consumers to participate in textile recycling3. The growing popularity of fast fashion, coupled with high disposable incomes, has also led to increased apparel waste, further driving the demand for recycling solutions1.

Behavioral patterns in the U.S. textile recycling market reveal a shift towards sustainable practices. Consumers are increasingly adopting recycling processes for post-consumer textile waste, bolstered by rising environmental consciousness1. The market is also witnessing a trend where major apparel brands and key players are introducing apparel collection systems to repurpose unused clothing into new materials1. This shift is further supported by the government and public awareness of the negative consequences of textile waste, which has increased the willingness to recycle textiles7.

7. Regulatory Environment

The United States textile recycling market is increasingly influenced by stringent regulations aimed at managing textile waste and promoting a circular economy. Notably, the California's Responsible Textile Recovery Act of 2024 (SB 707) mandates Extended Producer Responsibility (EPR) for apparel producers, requiring them to manage the collection, repair, reuse, and recycling of textiles statewide5. Additionally, the inauguration of the Congressional Slow Fashion Caucus in September 2024 underscores federal efforts to combat the environmental impacts of the fashion sector while promoting textile recycling and circular economy policies1. Several states and local governments have also implemented landfill bans or restrictions on textile waste, further driving the need for recycling solutions4.

These regulations significantly impact market entry, competition, and consumer protection. The EPR mandate, for instance, fosters increased investment in recycling infrastructure and innovation in sustainable textile processing technologies5. Financial incentives and grants provided by governments also support businesses in upgrading equipment and expanding infrastructure4. On the consumer side, awareness campaigns educate the public about the benefits of textile recycling, thereby encouraging participation4. However, compliance with these regulations may pose challenges for smaller players, potentially consolidating the market around larger, more resourceful companies.

The regulatory environment presents both risks and opportunities. While compliance costs and operational adjustments pose risks, particularly for smaller businesses, the push for innovation and infrastructure development offers significant growth opportunities5. The looming textile waste crisis, with a recycling rate of only 15%, highlights the urgent need for effective solutions, creating a fertile ground for market expansion1.

The regulatory environment is shaping the economic landscape of the textile recycling market by driving demand for recycled materials and fostering a circular economy. This not only diverts significant volumes of waste from landfills but also aligns with broader global efforts to enhance resource efficiency5. The market, valued at USD 1.1 billion in 2024, is poised for growth, supported by technological advancements and shifting consumer tendencies towards sustainability3.

8. Economic factors

The U.S. textile recycling market is significantly influenced by macroeconomic indicators and regional economic variations. With the market valued at USD 1.1 billion in 2024, it is driven by shifting consumer preferences and government initiatives promoting sustainable practices3. The average American discards approximately 70 pounds of textiles annually, highlighting the urgent need for effective recycling solutions9. The fast fashion sector, which sees households spending an average of USD 1,800 annually on apparel, further fuels the demand for recycling1.

North America, particularly the U.S., dominates the textile recycling market due to its robust waste collection and processing infrastructure3. Government policies and investments from fashion retailers in sustainable practices have significantly contributed to this leadership position. Canada’s growing interest in sustainable clothing and the circular economy also supports regional market growth3.

Economic trends such as the looming textile waste crisis, with a recycling rate of only 15%, underscore the need for technological advancements in mechanical and chemical recycling1. These innovations are enhancing the quality and value of recycled fabrics, driving market growth. Additionally, upcycling strategies are gaining traction, minimizing environmental impact and promoting resource recovery9.

Economic factors such as high textile waste generation and consumer demand for sustainability are accelerating technological innovations in recycling1. These advancements are critical for improving the efficiency and scalability of textile recycling processes, aligning with global sustainability goals8.

9. Technical factors

The U.S. textile recycling market is witnessing significant technological advancements, primarily driven by the need to address the growing textile waste crisis. Mechanical and chemical recycling methods are at the forefront of these innovations, enhancing the quality and value of recycled fabrics. Mechanical recycling involves shredding and reprocessing textiles into new fibers, while chemical recycling breaks down textiles into their raw materials for reuse. These technologies are crucial for improving the sustainability profile of the textile sector and reducing environmental impact3. Additionally, upcycling, a process that creatively repurposes textiles without extensive recycling, is gaining traction as a sustainable alternative2.

Competitors in the textile recycling market are leveraging advanced technologies to gain a competitive edge. For instance, companies are investing in automated sorting systems that use AI and machine learning to efficiently categorize textiles for recycling. This not only reduces labor costs but also increases the accuracy of material separation1. Another emerging technology is enzymatic recycling, which uses enzymes to break down synthetic fibers like polyester, offering a more eco-friendly alternative to traditional chemical processes9. These advancements are setting new benchmarks in the industry, with each technology offering unique advantages in terms of efficiency, cost, and environmental impact.

Technological advancements are reshaping the market structure by enabling more efficient and scalable recycling processes. This is particularly important given the U.S. textile recycling rate of only 15%, highlighting the urgent need for innovative solutions9. On the consumer side, growing awareness of environmental issues is driving demand for sustainable textile products. Technologies like blockchain are being used to provide transparency in the supply chain, allowing consumers to trace the origins of recycled products1. This shift in consumer behavior is encouraging brands to adopt more sustainable practices, further propelling market growth.

Technology plays a pivotal role in shaping consumer feedback by enhancing the perceived value of recycled textiles. Innovations in recycling processes and supply chain transparency are fostering trust among consumers, who are increasingly prioritizing sustainability in their purchasing decisions3. As a result, brands that invest in advanced recycling technologies are likely to receive positive consumer feedback, driving further adoption of sustainable practices in the textile industry.

10. Consumer feedback

The U.S. textile recycling market is driven by increasing environmental awareness and the growing volume of textile waste, with the average American discarding approximately 70 pounds of textiles annually9. Consumers are increasingly supportive of recycling initiatives, particularly as fast fashion and high disposable incomes contribute to rising apparel waste1. However, the recycling rate remains low at 14.7%, indicating a gap between consumer intent and actual recycling practices9. Positive feedback highlights the environmental benefits of recycling, such as resource conservation and pollution reduction8, while negative feedback points to limited awareness of recycling channels and infrastructure inefficiencies1.

AspectConsumer FeedbackImplications
AwarenessLow awareness of recycling channels and processes1Need for educational campaigns and clearer recycling guidelines.
InfrastructureLimited access to collection points and inefficient processing systems1Investment in recycling infrastructure and partnerships with retailers.
Environmental ImpactPositive perception of recycling’s environmental benefits8Leverage consumer support to promote recycling initiatives and sustainability.

Improvement suggestions include increasing awareness about textile recycling channels and benefits through targeted campaigns1, developing more collection points and improving processing efficiency to make recycling more accessible1, and partnering with fashion retailers and brands to establish apparel collection systems and promote circular economy practices1.

The U.S. textile recycling market faces challenges in infrastructure and awareness, but consumer support for sustainability presents significant opportunities. Addressing these gaps through education, infrastructure investment, and collaborations can enhance recycling rates and align with global sustainability goals8.


Related Domains

Sustainable FashionWaste ManagementGreen TechnologyRecycling SolutionsEco-Friendly ProductsTextile IndustryCircular Economy