From the Sector

Refashion, a textile industry’s eco-organisation, has renewed its authority approval until 2028. 6 years during which it will continue to transform the industry in keeping with the objectives set by the French Ministry of Ecological Transition and the French Ministry of the Economy, including the objective to collect 60% of CHF (clothing, household linen and footwear textiles) placed on the market by 2028. This new period is reflected in an ambitious road map and significantly increased investment. Nearly 1.2 billion euros, financed by the marketers, will be spent on transforming the industry during this new period of authority approval.

Determined to achieve the objectives set out in the ambitious specifications set down by the Secretary of State at the Ministry of Ecological Transition, Berangère Couillard, Refashion has worked on a road map with all of its stakeholders involved in the transformation that is underway. Maud Hardy, nominated as the eco-organisation’s CEO in January 2022, started a collaborative working method that will continue throughout this new period to support areas that are key in this transformation. In the next few months, projects will begin and will visibly highlight the progress made in the three phases of a product’s life cycle: production consumption, regeneration.

Production

• Recognising eco-design initiatives through the eco-modulation of the fees paid by marketers (durability, environmental information labelling, integration of recycled materials). For marketers, these initiatives should represent the scheme’s cornerstone. The aim is to involve all stakeholders in reducing the environmental impact of products.

Consumption

• As from 2023, Refashion will spend 5 million euros minimum per year in awareness-raising activities and on information to the general public by supporting an array of local authority initiatives.
• The launch of a repair fund in 2023, in particular to prolong the usage of textiles and footwear products. More than 150 million euros will be invested between 2023 and 2028 to change the habits of the French population to increase repairs by 35% (guideline target by the ADEME 2019).

Regeneration

• Accelerating clothing, household linen and footwear collection, in particular thanks to an operational mix in the sector. Funding traditional sorting operators will remain central, but Refashion will also develop an additional operational system in order to achieve the collection target of 60% of products placed onto the market (versus 34% in 2021).
• 5% of fees paid to Refashion will go towards the redeployment/reuse funds to provide support for reuse within the remit of stakeholders in the Social and Solidarity Economy. In addition to this funding, additional funding arrangements open to all stakeholders will be established. The total budget throughout the authority approval period represents 135 million euros.
• 5% of fees, i.e., 58 million euros in 6 years, will be spent on R&D to help achieve these milestones in order to industrialise the recycling of used CHF: recyclability that is considered during the design stage; automated sorting and recycling.

Celanese Corporation, a specialty materials and chemical company, and Under Armour, Inc., a company in athletic apparel and footwear, have collaborated to develop a new fiber for performance stretch fabrics called NEOLAST™. The innovative material will offer the apparel industry a high-performing alternative to elastane – an elastic fiber that gives apparel stretch, commonly called spandex. This new alternative could unlock the potential for end users to recycle performance stretch fabrics, a legacy aspect that has yet to be solved in the pursuit of circular manufacturing with respect to stretch fabrics.

NEOLAST™ fibers feature the powerful stretch, durability, comfort, and improved wicking expected from elite performance fabrics yet are also designed to begin addressing sustainability challenges associated with elastane, including recyclability. The fibers are produced using a proprietary solvent-free melt-extrusion process, eliminating potentially hazardous chemicals typically used to create stretch fabrics made with elastane.

NEOLAST™ fibers will be produced using recyclable elastoester polymers. As end users transition to a more circular economy, Celanese and Under Armour are exploring the potential of the fibers to improve the compatibility of stretch fabrics with future recycling systems and infrastructure.

In addition to the sustainability benefits, the new NEOLAST™ fibers deliver increased production precision, allowing spinners to dial power-stretch levels up or down and engineer fibers to meet a broader array of fabric specifications.

Solvay has announced capacity expansions at its Resolest®* and Solval® units, specifically designed for recycling residues from the flue gas cleaning process using the market-leading SOLVAir® solution. The rising demand for this advanced technology stems from the enforcement of stringent environmental standards governing emissions across various industries. By the end of 2025, Resolest® is poised to undergo a significant 60% surge in recycling capacity. Likewise, commencing January 2024, Solval® is set to witness a substantial 30% increase in its capacity.

Toray Industries, Inc. announced the successful development of recycled carbon fiber (rCF) derived from the production process of the Boeing 787 components using Toray’s advanced carbon fiber, TORAYCA™. The rCF, which is based on pyrolysis recycling process, has been integrated into the Lenovo ThinkPad X1 Carbon Gen 12 as reinforcement filler for thermoplastic pellets. Toray and Lenovo will continue to collaborate to expand the usage of rCF in other Lenovo products.

Toray rCF is the outcome of Boeing and Lenovo’s shared commitment to minimize their environmental impact. Boeing’s objective is to reduce solid waste going to landfill and produce recyclable materials, while Lenovo has been exploring materials to reduce the carbon footprint of their products. Toray rCF connects these visions by repurposing Toray’s high-performance carbon fiber from the Boeing aircraft production process into Lenovo’s ultra-light laptop PC.

TORAYCA™ is an established aerospace material known for its high strength, stiffness, and lightweighting properties. These qualities have led to its adoption in other applications such as electrical and electronic equipment housings, sports equipment, and other industrial applications.

A key advantage of carbon fiber is the ability to retain its primary mechanical properties even after the recycling process. Toray is actively advancing recycling technologies and establishing a strategic business model for rCF. Given that the carbon footprint of rCF is lower than that of virgin carbon fiber, Toray is proactively recommending the adoption of rCF to reduce the environmental impact of customers’ products. This commitment aligns with Toray’s dedication to fostering a circular economy, thereby reducing landfill waste.

Leveraging insights from Wealth in Waste, Fashion for Good released a toolkit designed to revalorise textile waste in India.

"The Sorting for Circularity India toolkit is a milestone in our journey towards a waste-free world. We have mapped the textile waste landscape, unpacking the huge potential, as well as the roadblocks and commercial opportunities in India’s textile waste industry. We are excited to move beyond rhetoric with this powerful coalition of partners and translate our findings into a roadmap for concrete actions", said Katrin Ley, Managing Director, Fashion for Good.

In 2021, Fashion for Good launched the Sorting for Circularity India Project to organise the Indian textile waste market in a three-phase approach so as to streamline, strengthen and foster the Indian textile waste market to drive the transition to a more circular economy that recaptures value to its maximum potential.

The project brought together various industry players including Fashion for Good partners adidas, Levi Strauss & Co., PVH Corp., Target, Arvind Limited, Birla Cellulose, and Welspun India, as well as Fashion for Good innovators Reverse Resources, PICVISA, and Matoha; H&M, Primark, and TESCO also joined as external partners. The project is supported through catalytic funding provided by Laudes Foundation and IDH, and knowledge support from Canopy and Circle Economy Foundation.

Drawing upon the invaluable insights gained throughout the project, Fashion for Good unveils a toolkit designed to harness the untapped potential of textile waste in India. Together, these resources provide valuable insights, assessments, and practical guidance to advance recycling in India's textile industry.

Eastman Naia™ Renew cellulosic fiber received Global Recycled Standard (GRS) certification on December 13. This certifies Naia™ Renew recycled content, chain of custody, social and environmental practices, and chemical restrictions.

Textile Exchange, a global non-profit for sustainable change in the fashion and textile industry, manages the GRS certification process. Certification is achieved through an audit from independent third-party certifying body SCS Global Services and applies to the full supply chain and addresses traceability, environmental principles, social requirements, chemical content and labeling.

"We’re honored to add GRS certification to our list of Naia™ certifications that support our sustainability goals,” said Claudia de Witte, sustainability leader for Eastman textiles. “Third-party certifications help us build our brand trustworthiness. It’s our goal to make sustainable textiles available to all, and we do that by building trust with our customers and collaborators. This certification adds even more credibility to our fibers and our sustainability story, which we’re proud to share.”

In June 2023, Textile Exchange made an important announcement regarding its Alternative Volume Reconciliation (VR2) policy, which broadened the range of chemical recycling technologies eligible for mass balance. Notably, this expansion now encompasses gasification, the technical description of Eastman’s molecular recycling technology known as carbon renewal technology. Eastman collaborated with Textile Exchange and other stakeholders to educate the industry about the value and contribution of its molecular recycling technology. This policy update is critical for Eastman because it allows the company’s innovative material-to-material recycling technology to be audited for GRS certification.

Molecular recycling technologies at Eastman break waste down into its molecular building blocks allowing the materials to be used in new materials that are indistinguishable from non-recycled materials. By expanding the GRS to include gasification, the global standard now allows for a broader approach to making sustainable textiles accessible to everyone.

In recent years, the textiles industry has shifted toward circular materials to help tackle one of the largest challenges facing the planet: waste pollution, especially textile waste. Eastman molecular recycling is complementary to mechanical recycling and is a solution for hard-to-recycle waste material, including textiles, which are impacted by factors like fiber blends, chemicals and additives.

Naia™ Renew is produced from 60% sustainably sourced wood pulp and 40% GRS-certified* waste materials that would otherwise be destined for landfills through Eastman's patented molecular recycling technology. The certification verifies the processes of chemical recycling, concentrating, extrusion, and spinning of the undyed yarns and fibers.

Autoneum’s sustainable, textile and lightweight Propylat technology reduces both interior and exterior noise of vehicles. Propylat was originally developed by Borgers Automotive, which was acquired by Autoneum in April 2023. The versatile technology is characterized by a flexible material composition of natural and synthetic fibers with a high recycled content and contributes to significant waste reduction thanks to its complete vertical integration. In addition, the fully recyclable technology variant Propylat PET is now part of the sustainability label Autoneum Pure.

The ongoing electrification of mobility as well as increasingly strict regulatory requirements for vehicle performance in terms of sustainability and acoustics are presenting new challenges to car manufacturers worldwide. With Propylat, Autoneum now offers another lightweight, fiber-based and versatile technology whose sound-insulating and -absorbing properties as well as high content of recycled materials help customers address these challenges. Propylat-based products not only contribute to reducing pass-by noise and improving driver comfort, but they are also up to 50 percent lighter than equivalent plastic alternatives; this results in a lower vehicle weight and, consequently, less fuel and energy consumption as well as lower CO2 emissions.

Autoneum's innovative Propylat technology consists of a mixture of recycled synthetic and natural fibers – the latter include cotton, jute, flax or hemp, for example – that are consolidated using thermoplastic binding fibers without adding any further chemical binders. Thanks to the flexible fiber composition and the variable density and thickness of the porous material, the properties of the respective Propylat variant, for example with regards to acoustic performance, can be tailored to individual customer requirements. This allows for a versatile application of the technology in a variety of interior and exterior components such as wheelhouse outer liners, trunk trim, underbody systems and carpets. For instance, Propylat-based wheelhouse outer liners significantly reduce rolling noise both inside and outside the vehicle while at the same time offering optimum protection against stone chipping and spray water.

In terms of sustainability, Propylat always contains a high proportion of recycled fibers – up to 100% in some variants – and can be manufactured with zero waste. Thanks to the full vertical integration of Propylat and Autoneum’s extensive expertise in recycling processes, the technology also contributes to a further significant reduction in production waste. Moreover, the Propylat PET technology variant, which consists of 100% PET, of which up to 70% are recycled fibers, is fully recyclable at the end of product life. For this reason, Propylat PET has been selected for Autoneum Pure – the Company’s sustainability label for technologies with excellent environmental performance throughout the product life cycle – where it will replace the current Mono-Liner technology going forward.

Propylat-based components are currently available in Europe, North America and China.

Suedwolle Group introduces ACTIVEYARN®, the company’s first seasonless corporate collection: ACTIVEYARN® is composed of a selection of weaving, flat and circular knitting, hosiery and technical yarns, with advanced spinning technologies, wool blends and other natural and traceable fibres. It is a seasonless collection of yarns suitable for different occasions, to support everyone’s attitude and style.

This idea is expressed by the concept of “Get active”, which is not just about using Suedwolle Group’s products in sports applications, but about a new mindset, a changing perspective. By taking a fresh look at the company’s wide offer, ACTIVEYARN® provides new opportunities and inspiration to explore Suedwolle Group’s full potential in terms of technology, sustainability and innovations. It considers with a new point of view on the collections for knitting, weaving and technical uses, creating new connections among them and offering a mosaic of new possibilities and versatile combinations.

This theme of the collection and the new mindset may be represented in the concept of a “kaleidoscope”, symbol of the active change inspiring Suedwolle Group’s creativity.

The yarns in the ACTIVEYARN® collection embody the company’s six strategic pillars of innovation – sustainability, circularity, traceability, design, performance and technology – drivers of the entire process of design and production.

Jasmin GOTS Nm 2/48 (100% wool 19,5 μ X-CARE) is a natural, renewable and biodegradable yarn with GOTS certification that meets the company’s demand for sustainability. X-CARE, the innovative treatment by Suedwolle Group, uses eco-friendly and chlorine-free substances that make wool environmentally friendly and suitable for easy-care quality.

Tirano Betaspun® RWS FSC (41,5% wool 17,2 μ TEC RWS certified, 41,5% LENZING™Lyocell 1,4 dtex 17% polyamide filament 22 dtex GRS certified) is a fully traceable high performance yarn, suitable for sportswear and activewear.

OTW® Midway GRS Nm 2/60 (60% wool 23,5 μ X-CARE, 40% polyamide 3,3 dtex GRS certified) comes from the recycling of pre-consumer polyamide and thus is a perfect example of circular production. Suitable for weaving, it combines the added performance that comes from our OTW® patented technology applied to a high durability blend, ideal for active garments.

Wallaby Betaspun® Nm 1/60 (87,5% wool 18,4 μ TEC, 12,5% polyamide filament 22 dtex) is the result of application of latest-generation Betaspun® technology to a natural fibre like wool, allowing production of fine yarns with extra strength and abrasion resistance, ideal for seamless and wrap knitting.

Banda TEC X-Compact Nm 2/47 (100% wool 17,2 μ TEC) is a 100% natural, renewable and biodegradable yarn benefitting from the innovative X-Compact, permitting production of particularly linear yarns ideal for clean design and fabrics appropriate for today’s fashions.

Caprera GRS Nm 1/60 (45% wool 19,3 μ Non mulesed X-CARE 55% COOLMAX® EcoMade polyester 2,2 dtex GRS certified) increases the performance of the wool-based non mulesed fibre through combination with COOLMAX® EcoMade polyester. This is a material coming from recycling of post-consumer PET bottles, dyeable at low temperatures, that aids evaporation of moisture from the skin to maintain stable body temperature, enhancing the comfort of activewear and urban garments.

Partnership between Nouvelles Fibres Textiles, Pellenc ST and ANDRITZ promotes circular economy for textiles.

France’s first industrial plant for automated sorting and recycling of textile waste was officially inaugurated at Nouvelles Fibres Textiles, Amplepuis, on November 30, 2023. The plant is the result of an ambitious partnership between textile recycling company Nouvelles Fibres Textiles, waste sorting specialist Pellenc ST and international technology group ANDRITZ, a specialist in textile recycling machinery and processes.

Capable of automatically sorting garments by composition and color, the new line meets the needs of both post-consumer and post-industrial waste markets. The line also removes hard parts such as buttons and zippers to prepare the material for further processing in an ANDRITZ tearing machine.

The automated textile sorting line at Nouvelles Fibres Textiles is dedicated to industrial-scale production, customer trials and projects, and the R&D activities of the partners. It will process textile waste to produce recycled fibers for the spinning, nonwovens, and composites industries.

Automated sorting was the last missing link needed to develop a complete ecosystem in France, where the fashion industry, social and solidarity economy actors, waste management companies, and textile producers from different sectors are working together towards a textile circular economy.

The EU's strategy for sustainable and circular textiles aims to ensure that by 2030 textile products are made to a great extent of recycled fibers and incineration and landfilling of textiles are minimized.

Re:NewCell AB (publ) has created a patented process for 100% textile-to-textile recycling and has invested over SEK 1,300 million to establish an innovative and efficient textile recycling plant. The industrial scale plant in Ortviken currently has a capacity to produce up to 60,000 tonnes on an annual basis.

As communicated on 12 October, the Company has experienced lower than anticipated sales volumes to fiber producers in the third quarter and as communicated on 1 November and 7 November, the Company had low sales volumes in October. In addition, sales volumes in November are now expected to be lower than previously anticipated and in line with October sales volume. Discussions are ongoing with a number of customers to secure orders, but it is uncertain when they will materialise.

Therefore, Re:NewCell hereby announces that its Board of Directors has decided to immediately initiate a strategic review to explore and evaluate various funding alternatives. As part of this process, the Board of Directors will consider all potential alternatives to secure funding and optimise shareholder value. Such alternatives may include additional debt funding, equity injection through the form of a rights issue, equity injection through a directed issue targeted to a financial or strategic investor or other possible strategic transactions.
The Board of Directors has retained ABG Sundal Collier as financial advisor to assist in its review of alternatives. Vinge has been appointed as legal advisor in connection with the review process.

The Board of Directors has not set a timetable for completion of its review, but the process will be initiated immediately. Subject to compliance with its ongoing disclosure obligations pursuant to applicable laws and regulations, Re:NewCell undertakes no obligation to make any further announcements regarding the strategic review until a final decision is made by the Company’s Board of Directors.