Circulose has announced the restart of its commercial-scale production facility at Ortviken in Sundsvall, Sweden, marking an important milestone in scaling next-generation circular materials for the global fashion industry. The company plans to resume production of CIRCULOSE®, a recycled pulp made entirely from discarded cotton textiles, in the fourth quarter of 2026.
“The preparations are in full swing, and new pulp is expected to roll out of the factory by the end of the year, ensuring there is no gap in supply,” said Jonatan Janmark, CEO of Circulose.
Following its acquisition in 2024 by private equity firm Altor, the company adopted a renewed strategy focused on securing long-term volume commitments from partner brands to support commercial-scale production.
“Our plan was to align the production restart with confirmed demand, and with commitments from 11 brands, we are now moving forward with confidence,” Janmark said. He added that the company has also signed strategic partnerships with fiber producers Tangshan Sanyou, Aditya Birla, and Jilin Chemicals.
With Ortviken returning to operation, Circulose will be positioned to supply fashion brands and fiber producers with high-quality recycled raw materials at commercial scale, helping divert textile waste away from landfills and incineration. In the interim, customer orders are being fulfilled using existing inventory produced by Renewcell prior to its bankruptcy.
“Restarting Ortviken is a major milestone for Circulose and for scaling next-generation materials,” Janmark added. “The fashion industry needs solutions that work at industrial scale and integrate seamlessly into existing supply chains. CIRCULOSE® is designed to do exactly that.”
The Ortviken facility is recognised as the world’s first commercial-scale chemical textile recycling plant. Its restart highlights renewed industry momentum toward scaling proven circular solutions beyond pilot projects and into sustained industrial production.

