Syre secures strategic partnerships with Gap Inc., Target, and Houdini Sportswear to scale circular polyester production.
Gap to source 10,000 metric tons annually of Syre’s recycled polyester; Target commits to embedding circular fibers in its owned brands.
Syre’s North Carolina plant to launch in 2026, with further expansion into Vietnam planned, targeting over 3 million metric tons of output by 2032.
Syre, the H&M-backed textile recycling firm, has announced strategic partnerships with Gap Inc., Target, and Houdini Sportswear as part of its commercial launch, advancing its mission to decarbonize and dewaste the fashion industry.
These alliances are central to what Syre CEO Dennis Nobelius calls “the great textile shift.” The company is rapidly scaling textile-to-textile recycling, delivering circular polyester that reduces CO₂e emissions by up to 85% compared to virgin polyester.
“They are truly front runners, understanding the need to secure capacity of a scarce resource to be,” said Nobelius. “We’re confident that these collaborations will not only bolster commercial success but also help redefine the industry and drive the urgent shift towards true circularity.”
Commercial Momentum
Gap Inc., the largest specialty apparel retailer in the U.S., has committed to sourcing 10,000 metric tons of Syre’s circular polyester annually.
“Our ambition to utilize 10,000 metric tons per year of Syre’s recycled polyester chip is not only an innovation that we feel will resonate with our customer, but it is an important lever for Gap Inc. in our efforts to bridge the climate gap,” said Dan Fibiger, VP of Global Sustainability at Gap Inc.
Target plans to incorporate Syre’s recycled polyester into a selection of its owned brand products, supporting its goal to make 100% of those brands circular by 2040.
Houdini Sportswear, a circularity pioneer, will source 50% of its polyester from Syre over a three-year period.
“With nature as our blueprint, we envision a pure, waste-free and circular flow… in partnership with Syre’s ambition, we are closing in on that vision,” said Eva Karlsson, Co-founder and Chief Creative Officer at Houdini.
Scaling Production
Syre’s first U.S. plant, located in North Carolina, is expected to be operational by 2026 with a capacity of 10,000 tons annually. The company raised $100 million in 2023 to fund this “blueprint” facility and will begin construction on a Vietnam site in 2027, which could produce between 150,000 and 250,000 tons annually.
Co-founded by fast-fashion giant H&M and Vargas, Syre aims to produce over 3 million metric tons of recycled polyester by 2032. The company’s recycled polyester chip will be spun into yarn by brand partners.
RELATED ARTICLE: H&M-Backed Syre Raises $100M to Scale Textile-to-Textile Polyester Recycling Globally
Urgent Market Demand
A joint Syre–McKinsey study highlights a 10–12 million ton gap in the supply-demand forecast for circular polyester by 2030. New regulations and brand commitments are accelerating demand, especially as bottle-to-fiber recycling — the industry’s current go-to — is being phased out due to its linear limitations.
“We will co-develop circular polyester together, and it will lead to a commercial agreement over time,” Nobelius told Reuters.
These new partnerships mark a pivotal milestone for Syre and serve as a model for industry-wide collaboration to meet escalating circularity goals.
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