Swedish textile recycling start-up Syre has signed a strategic deal with US sportswear giant Nike to scale its circular solutions globally. The agreement supports Syre’s plans for textile-to-textile recycling facilities, starting with a EUR 857 million plant in Vietnam.
Construction on the new facility, in the central province of Gia Lai, starts in 2027. Syre says it will convert polyester from textile waste into high-grade PET pellets for yarn and fabric production. It adds it will position Vietnam as a leading hub for circular textile manufacturing.
The long-term supply agreement means Nike will integrate Syre’s recycled polyester into core product lines. This move supports a closed-loop system where discarded garments are repurposed into feedstock for new performance apparel.
Vietnam’s supply chain role
The Vietnamese textile industry is a major economic pillar. It is the third-largest global exporter of textiles with a 2024 export value of about EUR 37 billion.
Vietnam is also Nike’s largest manufacturing base, producing 51% of its footwear and 31% of its clothing. These figures surpass China and Cambodia, which each contribute 15%. Nike operates 162 factories across 98 suppliers in Vietnam, employing more than 493 000 workers.
Meanwhile, the partnership is expected to influence regional circular practices, as the plant will serve as a blueprint for future recycling facilities worldwide. Syre’s collaboration with Nike highlights growing industry momentum towards sustainable, closed-loop textile supply chains.
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