Responsible for 10 percent of global CO2 emissions, the fashion industry aims to reinvent itself with circular economic models. SYRE, a company in the H&M Group, is spearheading the change with a large-scale textile recycling system based on cleantech to reduce waste and decarbonize polyester production.
The fashion industry is not usually what comes to mind when we think of polluting industries. However, the entire value chain of manufacturing clothing and shoes is responsible for 10 percent of global carbon dioxide emissions and 20 percent of water pollution (especially in manufacturing and dying processes). In addition, it creates a major waste problem: each European discards an average of 11 kilograms of clothing every year. Globally, less than one percent is recycled.
The fashion industry is grappling with concerns about its sustainability. In response, various projects and initiatives have emerged in recent years aimed at enhancing fabric durability, utilizing cleaner energy in production, and promoting circularity by improving the collection and recycling of used garments. This is where SYRE, a company within the H&M Group, plays a role.
SYRE, on the way to decarbonizing the fashion industry
SYRE’s mission is to decarbonize the fashion industry and eliminate textile waste, with a focus on polyester. Polyester is the most widely used textile fiber in clothing production, with 60 million tons manufactured annually. As a petroleum-based material, it is also a significant contributor to the industry’s emissions, accounting for roughly 40 percent of its total emissions. Currently, the majority of recycled polyester used in fashion does not come from discarded garments, but rather from recycled plastic bottles.
SYRE’s business model focuses on establishing an efficient large-scale textile recycling system, facilitating the shift from a linear to a circular value chain, and reusing resources repeatedly. The company’s primary aim is to operate 12 production plants at full capacity by 2032. These plants are expected to produce over three million tons of recycled polyester annually, cutting manufacturing emissions by more than 15 million tons of carbon dioxide.
The importance of the circular economy
The circular economy is a key global strategy for reducing resource consumption and minimizing waste generation. Beyond the textiles and fashion sectors, industries such as plastics, food and electronics are increasingly viewing the circular economy not only as a means to enhance sustainability, but also as a significant economic opportunity. In fact, the Ellen MacArthur Foundation estimates that achieving full circularity in the complex manufacturing sector within the European Union alone could result in annual savings of $630 billion.
Opting for the circular economy means rethinking production and consumption models to be able to continue using the materials as long as possible, reducing waste and recreating natural systems. In this context, the circular approach not only improves the efficiency of resource use, it also creates new business opportunities and employment, fostering innovation in key sectors. Moreover, consumers are increasingly concerned about sustainability and demand products that have a lower environmental impact, which puts pressure on companies to make adjustments and adopt more responsible, circular practices.