Lyocell Production Expansions

Sanyou Chemical Fiber, a leading producer of cellulose fibers and part of the Tangshan Sanyou Group, has entered into a strategic partnership with Circ, a U.S.-based company specializing in textile-to-textile recycling technologies. The collaboration aims to advance the development and use of recycled cellulosic fibers, with a particular focus on lyocell, a sustainable and versatile fiber widely used in the textile industry.

As part of the agreement, Sanyou has committed to purchasing pulp from Circ’s first commercial-scale recycling facility, expected to begin operations in 2028, for a period of five years. This pulp will "be used to produce lyocell staple fibers containing 30% recycled content, significantly increasing the availability of recycled fibers for textile manufacturers."

Beyond increasing recycled fiber availability, this partnership signals a strategic shift toward supply chain resilience and innovation-driven sustainability. By aligning long-term procurement with emerging recycling technologies, Sanyou and Circ aim to address both the environmental impact of textiles and the evolving demands of global brands for diverse, traceable, and responsibly sourced materials.