Sweden’s Syre Group has announced plans to invest between $700 million and $1 billion in a high-tech polyester fiber recycling facility in Binh Dinh province, central Vietnam. The proposed plant aims to process approximately 250,000 metric tons of textile waste annually, converting it into raw materials for the garment and other industries.
During a meeting on Tuesday 18 February 2025 with the Binh Dinh provincial People’s Committee, Syre’s operations director, Tim King, highlighted challenges related to sourcing sufficient raw materials. The factory would require around 300,000 to 400,000 metric tons of input annually; however, domestic sources can only supply about 40,000 to 60,000 metric tons, necessitating imports. Currently, Vietnamese regulations classify used clothing and fabrics as banned imports, posing a potential hurdle for the project’s material needs.
King also raised concerns about the adequacy of Binh Dinh’s electricity infrastructure to support the facility’s large-scale, long-term energy demands. In response, Pham Anh Tuan, Chairman of the provincial People’s Committee, affirmed the government’s commitment to creating favorable conditions for sustainable investments. He indicated that regulations prohibiting the import of used textiles might be reconsidered and assured that the province would strive to meet Syre’s energy requirements.
Syre, founded in 2023, is dedicated to decarbonizing and reducing waste in the textile industry through large-scale textile-to-textile recycling. The company plans to establish multiple production plants worldwide, aiming to produce over 3 million metric tons of circular polyester within the next decade.
This investment aligns with Vietnam’s goals of promoting sustainable development and transitioning towards a circular economy. The successful implementation of Syre’s project could position Binh Dinh as a hub for innovative recycling technologies in the region.
