Recycled Polyester Market Size to Worth USD 38.53 Billion by 2034

According to Towards Chemical and Materials, the global Recycled Polyester market size is calculated at USD 17.32 billion in 2025 and is expected to be worth around USD 38.53 billion by 2034, growing at a compound annual growth rate (CAGR) of 9.29% over the forecast period 2025 to 2034.

Ottawa, Oct. 20, 2025 (GLOBE NEWSWIRE) -- The global recycled polyester market size was valued at USD 15.85 billion in 2024 and is anticipated to reach around USD 38.53 billion by 2034, growing at a compound annual growth rate (CAGR) of 9.29% over the forecast period from 2025 to 2034. A study published by Towards Chemical and Materials a sister firm of Precedence Research.

The growth of the market is rising due to the demands for sustainability, tougher recycling rules, and improvements in recycling technologies. These factors are driving strong global growth in textiles, packaging, and automotive sectors.

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Recycled Polyester Market Overview

Recycled polyester is a sustainable fiber created from post-consumer PET bottles, textile waste, or other polyester products; it is as strong and functional as virgin polyester but is an excellent way to reduce waste and conserve resources.

Recycled polyester demand is growing due to increased demand for sustainable textiles, higher use in apparel, footwear, automotive and home furnishings, and sustainability goals of global businesses. Technology developments with mechanical and chemical recycling processes are advancing fibre quality, increasing application opportunities, and consumer awareness around plastic waste reduction and circular fashion are leading to an increase in the use of recycled polyester in various industries.

Recycled Polyester Market Report Highlights

The Asia Pacific recycled polyester industry is the largest and fastest-growing market, with a revenue share of 48.58% in 2024. akin to region is considered a major manufacturing and textile hub globally in the current period.
The North America is expected to grow at a notable rate in the future, owing to the increased awareness of sustainability.
By product type, the Cotton spinning material dominated the market in terms of revenue, accounting for a market share of 43.33% in 2024 akin to its wide application in the apparel and textile industry.
By product type, the filling material segment is anticipated to grow at a significant CAGR of 12.65% through the forecast period.owing to the increasing need for automotive interiors, home textiles, and soft furnishings in recent years.
By application type, the Apparel application dominated the market in terms of revenue, accounting for a market share of 52.32% in 2024. owing to the massive demand for clothing and the fashion industry's shift toward sustainable materials.
By application type, the home textile segment is anticipated to grow at a significant CAGR of 9.5% through the forecast period. owing to rising eco-consciousness in home décor and furnishing.

The Rise of Recycled Polyester in the Textile Industry

The textile industry is witnessing a significant shift towards sustainability with recycled polyester fabric at the forefront of this transformation. Polyester is one of the most commonly used fabrics, with its low cost and versatile properties making it useful for a wide range of product types. In 2020, polyester accounted for 52% of all fabrics produced globally. Unfortunately, conventional polyester comes with environmental problems, such as the fact that the main raw material for polyester is petroleum, a fossil fuel whose use is a major contributor to climate change.

rPET is rapidly gaining popularity as an alternative to conventional polyester, and currently represents 15% of all polyester fibers used in textile, apparel, and food industries. This surge in adoption underscores a collective move towards environmental responsibility, as brands and manufacturers incorporate rPET into their products to mitigate the adverse impacts associated with traditional polyester production. With The global recycled PET (rPET) market size was reached at USD 12.85 billion in 2024 and is expected to be worth around USD 29.19 billion by 2034, growing at a compound annual growth rate (CAGR) of 8.55% over the forecast period 2025 to 2034, it’s clear that rPET is well positioned to replace conventional polyester across the textile industry.

The shift towards rPET not only mirrors the industry's alignment with eco-friendly values but also caters to the growing consumer appetite for sustainable products, marking a pivotal evolution in textile production and consumption dynamics. To prepare for this transition, brands should start by assessing their current supply chain for opportunities to integrate rPET, educating their teams about its benefits, and communicating these changes to their customers to enhance their brand's sustainability narrative.

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Recycled Polyester Market Report Scope

Report Attribute	Details
Market size value in 2026	USD 18.93 billion
Revenue forecast in 2034	USD 38.53 billion
Growth rate	CAGR of 9.29% from 2025 to 2034
Historical data	2021 - 2024
Forecast period	2025 - 2034
Quantitative units	Revenue in USD million, Volume in Kilotons, and CAGR from 2025 to 2034
Report coverage	Revenue forecast, competitive landscape, growth factors, and trends
Segments covered	Product, application, and region
Regional scope	North America; Europe; Asia Pacific; Latin America; Middle East & Africa
Country Scope	U.S., Canada; Mexico; Germany; UK; France; Italy; Spain, China; India; Japan; South Korea, Australia Brazil; Argentina, Saudi Arabia, South Africa, UAE
Key companies profiled	Indorama Ventures; Far Eastern New Century; Unifi Inc.; Reliance Industries Limited; Sinopec Yizheng Chemical Fibre; Alpek Polyester; Zhejiang Jiaren New Materials Co., Ltd.; Polyfibre Industries Pvt. Ltd.; Bottloop; Margasa Group

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Recycled Polyester Market Concentration & Characteristics

The market growth stage of the recycled polyester industry is medium and at an accelerating pace. The market exhibits a moderate-to-high degree of innovation, driven by technological advancements in recycling methods and product development. Innovations such as chemical recycling, which allows for higher purity and better quality rPET, are gaining traction alongside traditional mechanical recycling.

Governments across North America, Europe, and parts of Asia are implementing stricter policies to limit plastic waste and promote the use of recycled materials. Regulations such as extended producer responsibility (EPR), recycled content mandates, and bans on single-use plastics are pushing industries to adopt rPET. These measures not only increase demand but also create a more structured market environment, though compliance can be complex and costly for smaller players.

The presence of product substitutes poses a moderate threat to the recycled polyester industry. Alternatives such as organic cotton, recycled nylon, biodegradable plastics, and plant-based fibers offer sustainable solutions that can replace rPET in certain applications. However, recycled polyester maintains a strong position due to its durability, cost-efficiency, and compatibility with existing manufacturing infrastructure.

The recycled polyester industry exhibits a moderate to high degree of end user concentration, particularly dominated by the textile and apparel industry. Major global fashion brands and retailers have become key consumers of rPET as they shift toward more sustainable product lines. In addition, the packaging sector, especially for beverages and consumer goods, is increasingly incorporating rPET due to regulatory pressures and brand image considerations.

What are the Major Trends in the Recycled Polyester Market?

Expansion of Circular Fashion- Brands are deciding to incorporate recycled polyester into more of their product categories for the sake of circular economy goals, reducing the need for virgin plastic, and creating a viable and attractive option for plant-based consumers who demand sustainable apparel choices.
Improvements in Chemical Recycling- New breakthroughs in depolymerization technology are creating high-quality recycled polyester that cannot be distinguished from virgin fiber and can therefore promote more recycled polyester in performance wear, technical textiles, and luxury products.
More Sustainable Corporate Goals- The global trend for corporations to commit to 100% recycled or sustainably sourced materials in packaging and textiles will lead to broader adoption of recycled polyester across other industries in addition to fashion.
Growth in Non-Apparel Applications- The growing use of recycled polyester in automotive interiors, home furnishings, and industrial textiles is fueled by performance durability, a lower environmental footprint, and alignment with green manufacturing/construction practices.

Recycled Polyester Market Dynamics

Growth Factor

Does Sustainability in Fashion Provide New Growth for Recycled Polyester?

Sustainability commitments made by leading fashion and textile brands are unlocking significant growth for recycled polyester. Adidas, a leading global player, committed to using 100% recycled polyester in its products by 2024 and reported that they achieved 99% in 2024. These initiatives are raising the bar for the sustainability and circular economy goals of the industry.

While the recycled polyester material enables approximately ~70% reduced greenhouse gases (GHGs) emissions compared to virgin polyester, it is a material that brands can effectively use to meet environmental targets without sacrificing quality. A likely increase in regulatory pressure to reduce plastic waste and improved textile recycling supply and infrastructure will broaden capacity and capabilities. Together, these factors will position recycled polyester as a performance material that can allow brands to achieve their sustainability goals while improving competitiveness in the market.

Market Opportunity

Can Advanced Chemical Recycling Unleash the Next Growth Wave for Recycled Polyester?

Advanced chemical recycling processes are being increasingly utilized to create another opportunity in the recycled polyester market. Unlike mechanical recycling that uses recycled polyester at a "fiber" level, chemical recycling converts the post-consumer PET waste back to its original pure monomers, resulting in virgin quality polyester, without any disintegration from the fiber. Recently in March 2024, Eastman received the US$ 375 million investment for second molecular recycling project in Longview, Texas, from DOE which is the turning point from operating small-scale to offering high-purity output at a large scale.

Recycling that combined or colored fibers into one product before was impossible, offering a huge potential feedstock supply as we help alleviate pressures from fashion, packaging, and automotive industries for a wide variety of recycled materials. These advances could help quickly facilitate the desirable objectives of sustainability without high-value use-action potential.

Limitations and Challenges in the Recycled Polyester Market

Quality Degradation- Recycled polyester may have lower fiber strength and durability than virgin polyester, degrading the quality of the recycled material. This degradation limits the types of applications in which it may be used, often requiring a blend with other materials and increasing the complexity of the production methods.
Limited Recycling Infrastructure- Globally, recycling systems for PET waste are inconsistently developed. Only certain regions have functioning collection, sorting, and processing facilities with advanced recycling technologies, which constrains the regularity with which they would have consistent high-quality raw material available for producing recycled polyester.
Microplastic Pollution- Similar to virgin polyester, recycled polyester can release microplastics when washed. Microplastics contribute to polluting waterways, drawing environmental concern and regulatory scrutiny, which could affect the image of recycled polyester's sustainability advantages.
High Processing Costs- The procedure for converting PET waste into recycled polyester is energy-intensive and requires advanced technology. This increased production cost decreases the competitive advantage of the product, especially against lower-priced virgin polyester in more cost-sensitive markets.

Recycled Polyester Market Segmentation Insights

Product Insights

Why did Cotton Spinning Material Segment Held the Largest Market Share Recycled Polyester Market in 2024?

The cotton spinning material segment dominated the recycled polyester market in 2024, due to its common use in the production of quality yarns for apparel and textiles. Since the cotton spinning material can be used with current spinning practices and delivers comfort and durability, denim and woven apparel industries have adopted the recycled polyester, with significant international textile manufacturers represented in this segment. Apparel was the leading application area as recycled polyester is used in sportswear, fashion clothing, and outerwear, taking advantage of the sustainable benefits of polyester and the performance benefits of recycled yarns.

The filling materials segment is expected grow at a notable rate in projected period due to the increase in use in bedding, home upholstery, and insulation fill products, all driven by demand for sustainable filling solutions and demand for hypo-allergenic products. In comparable fashion, the applications for home textiles is also expected to grow rapidly, given trends and purchasing behavior towards sustainable home furnishings, curtains, carpets, and other home textile establishments. This is complemented by new innovations in recycled polyester textures, softness and color fastness.

Application Insights

Why Did Apparel Segment Dominated the Recycled Polyester Market In 2024?

The apparel segment dominated the recycled polyester market in 2024, as recycled polyester shows strong growing preferences in practically every area of apparel including sportswear, casual wear, and fashion. Apparel and fashion brands can utilize recycled polyester products to achieve lightweight, durability and moisture wicking characteristics for performance apparel, while appealing to sustainable product preferences of environmentally conscious consumers. A growing awareness of circular fashion and commitment by primary apparel manufacturers to use recycled fibres contributes to demand for the apparel segment.

The home textile segment is expected to experience the notable growth during the forecast period, as consumers have increasing interest in sustainable solutions in the home. Recycled polyester is used in curtains, mats, bedsheets and upholstery, because it is durable, stain resistant and aesthetically pleasing in finished woven fabrics. New weaving techniques and fabric finishing technologies such as laser finishing and dye setting have improved the hand feel and the colour fastness, which has encouraged recycled polyester by premium and mass-market home furnishing brands to use recycled polyester worldwide.

Regional Insights

Why is the Recycled Polyester Market Dominated by Asia Pacific?

The Asia Pacific recycled polyester industry is the largest and fastest-growing market, with a revenue share of 48.58% in 2024. Asia Pacific is leading the way with dense textile manufacturing clusters, available bottle recovery streams for PET, and brands aggressively sourcing from China, India, Vietnam, and Indonesia. Governments have mandated stricter single-use plastics regulations while brands are pushing to maximize recycled content into apparel, footwear, and home textiles. Also, rPET flake and pellet supply chains have matured with reduced conversion costs, and are lowering the lead times for yarn spinners and fabric mills when sourcing recycled fibers. While fashion, packaging, and automotive interiors localize their supply, Asia-Pacific's integrated ecosystem continues to maintain the region as structurally ahead from a relative price, capacity, and reliability basis.

Market Trends in China

China's scale underpins regional dominance, with the largest number of operational bottle-to-bottle and bottle-to-fiber facilities globally, broad decontamination technologies in place, and established significant networks of buyers. Collectively, large post-consumer volumes of PET, standardized bale quality, and established logistics enables consistent flake supply to many yarn spinners. In June 2024, Carbios, a France-based company specializing in biological recycling technologies, signed a joint letter of intent with Zhink Group, a China-based producer of polyethylene terephthalate (PET), to establish a biorecycling plant in China based on Carbios' patented enzymatic depolymerization technology with the intent to service the global market.

With scale, technical expertise, and connectivity for exports to customer base, China will clear signalling challenges across the entire network from establishing pricing.

Why is North America showing up the Fastest Growth in Recycled Polyester?

North America expects the fastest growth in the market during the forecast period. North America is speeding up fuelled by state-level recycled-content mandates, brand refill and reuse pilots, and the recent influx of domestic bottle-to-bottle capacity announcements. Retailers are ramping up private label lines in apparel and packaging with minimum recycled content, while CPGs are looking for local supply to de-risk imports. Corporate decarbonization targets are furthering alignments with extended producer responsibility programs and long-term offtake contracts are already being signed. All of this is coalescing together with existing federal and state incentives and private investment to close the supply gap, igniting multi-year growth across packaging, textiles, and durable goods applications.

U.S. Market Trends

The U.S. is leading this regional growth through new food-grade rPET plants, advanced sorting (NIR/AI) at Materials Recovery Facilities (MRFs), and expanding deposit systems in more states. Apparel brands are anchoring contracts for recycled filament yarns, while beverage producers are locking up bottle-to-bottle volumes already, thereby enhancing the bankability of projects. With strong capital markets, logistics advantages and a significant end-use base that spans beverages to performance apparel, the U.S. is developing a vertically resilient, domestic rPET value chain to reduce dependence on imports and further support and sustain the rapid growth across the region.

Europe Recycled Polyester Market Trends

Europe recycled polyester industry represents a highly mature market for recycled polyester, characterized by strong regulatory frameworks and a deeply entrenched culture of sustainability. The European Union’s mandates for recycled content and waste reduction have accelerated the adoption of rPET in both the textile and packaging industries. Brands operating in Europe often face consumer pressure for transparency and environmental responsibility, making rPET a strategic material choice.

Germany recycled polyester industry is a leader within the European region, known for its sophisticated waste management and recycling infrastructure. The country has stringent regulations regarding plastic use and recycling, encouraging widespread adoption of sustainable materials like rPET. German textile companies, particularly in home furnishings and technical textiles, are actively incorporating recycled polyester to align with EU sustainability directives. Germany also plays a central role in research and innovation around circular materials and advanced recycling technologies.

Latin America Recycled Polyester Market Trends

The Latin America recycled polyester markets emerging with rising awareness of sustainability and increasing investments in local recycling capacity. While adoption is still in its early stages compared to more developed markets, demand is being driven by the region’s growing textile industry and efforts to boost exports to environmentally conscious markets such as the U.S. and Europe.

Saudi Arabia recycled polyester industry is at a nascent stage but shows strong potential due to national sustainability goals outlined in Vision 2034. The country is beginning to invest in recycling infrastructure and green industrial development as part of broader economic diversification efforts. While the market for rPET is currently limited, increasing interest from government and industry stakeholders’ signals potential for future growth, especially as local manufacturers align with international sustainability standards.

Competitive Landscape in the Recycled Polyester Market

Indorama Ventures- One of the world’s largest rPET producers. Operates numerous recycling plants globally. Major circular economy advocate.
Far Eastern New Century- Leading rPET producer in Asia. Supplies to major brands (e.g., Nike). Focused on both mechanical and chemical recycling.
Unifi Inc.- Pioneer in branded rPET fiber (REPREVE). Converts billions of plastic bottles into performance textiles.
Reliance Industries Limited- India’s largest recycler of PET bottles. Integrates rPET into textile and packaging divisions.
Sinopec Yizheng Chemical Fibre- Large-scale polyester producer in China. Developing chemical recycling technologies for sustainable polyester.
Alpek Polyester- Major PET producer in the Americas. Invested in bottle-to-bottle recycling infrastructure.
Zhejiang Jiaren New Materials Co., Ltd.- Specializes in chemical recycling of polyester. Operates closed-loop systems with global supply chains.
Polyfibre Industries Pvt. Ltd.- Produces recycled polyester staple fiber. Active in Indian domestic rPET market.
Bottloop- Focuses on PET bottle collection and reuse. Small but innovative player promoting circular solutions.
Margasa Group- Recycles textile waste into reusable fibers. Contributes to rPET indirectly via mechanical textile recycling.

More Insights in Towards Chemical and Materials:

Polyester Hot Melt Adhesives (PHMAs) Market : The global polyester hot melt adhesives (PHMAs) market size was reached at USD 505.05 million in 2024 and is expected to be worth around USD 1,491.92 million by 2034, growing at a compound annual growth rate (CAGR) of 11.44% over the forecast period 2025 to 2034.
Polyester Resin Dispersion Market : The global polyester resin dispersion market size was valued at USD 9.79 billion in 2024 and is estimated to reach around USD 10.20 billion by 2034, exhibiting a compound annual growth rate (CAGR) of 4.15% during the forecast period 2025 to 2034.
Recycled Engineering Plastics Market : The global recycled engineering plastics market size was valued at USD 4.85 billion in 2024 and is expected to hit around USD 7.89 billion by 2034, growing at a compound annual growth rate (CAGR) of 4.99% over the forecast period from 2025 to 2034.
Recycled Plastic Pipes Market : The global recycled plastic pipes market size was approximately USD 7.85 billion in 2024 and is projected to reach around USD 20.08 billion by 2034, with an estimated compound annual growth rate (CAGR) of about 9.85% between 2025 and 2034.
U.S. Recycled Polyethylene Terephthalate Market : The U.S. recycled polyethylene terephthalate market size is calculated at USD 3.85 billion in 2024, grew to USD 4.12 billion in 2025, and is projected to reach around USD 7.53 billion by 2034. The market is expanding at a CAGR of 6.94% between 2025 and 2034.
U.S. Recycled Plastics in Green Building Materials Market ; The U.S. recycled plastics in green building materials market size was reached at USD 846.20 million in 2024 and is expected to be worth around USD 1,941.65 million by 2034, growing at a compound annual growth rate (CAGR) of 8.66% over the forecast period 2025 to 2034.
Recycled PET Flakes Market : The global recycled PET flakes market size was reached at USD 12.25 billion in 2024 and is expected to be worth around USD 36.06 billion by 2034, growing at a compound annual growth rate (CAGR) of 11.40% over the forecast period 2025 to 2034.
Recycled Plastics Market : The global recycled plastics market size was reached at USD 83.19 billion in 2024 and is expected to be worth around USD 183.80 billion by 2034, growing at a compound annual growth rate (CAGR) of 8.25% over the forecast period 2025 to 2034.
Recycled Polystyrene Market : The global recycled polystyrene market size was reached at USD 4.95 billion in 2024 and is expected to be worth around USD 7.49 billion by 2034, growing at a compound annual growth rate (CAGR) of 4.23% over the forecast period 2025 to 2034.
Recycled Plastics In Green Building Materials Market : The global recycled plastics in green building materials market size was reached at USD 5.31 billion in 2024 and is expected to be worth around USD 12.24 billion by 2034, growing at a compound annual growth rate (CAGR) of 8.71% over the forecast period 2025 to 2034.
Recycled Thermoplastics Market : The global recycled thermoplastics market size was estimated at USD 57.85 billion in 2024 and is expected to hit around USD 145.34 billion by 2034, growing at a compound annual growth rate (CAGR) of 9.65% over the forecast period from 2025 to 2034.
Recycled Polyolefin Market : The global recycled polyolefin market size accounted for USD 61.19 billion in 2024, grew to USD 66.67 billion in 2025, and is expected to be worth around USD 144.2 billion by 2034, poised to grow at a CAGR of 8.95% between 2025 and 2034.
Aerospace Foam Market : The global aerospace foam market size was approximately USD 6.85 billion in 2024 and is projected to reach around USD 13.27 billion by 2034, with an estimated compound annual growth rate (CAGR) of about 6.84% between 2025 and 2034.
Copper Scrap Market : The global copper scrap market size was approximately USD 64.87 billion in 2024 and is projected to reach around USD 148.57 billion by 2034, with an estimated compound annual growth rate (CAGR) of about 8.64% between 2025 and 2034
Low-Carbon Construction Material Market : The global low-carbon construction material market size is calculated at USD 298.22 billion in 2025 and is expected to reach USD 601.63 billion by 2034, growing at a CAGR of 8.11% from 2025 to 2034.
Water Treatment Chemicals Market : The global water treatment chemicals market size was reached at USD 38.88 billion in 2024 and is expected to be worth around USD 58.16 billion by 2034, growing at a compound annual growth rate (CAGR) of 4.11% over the forecast period 2025 to 2034.
Carbon Black Market : The global carbon black market stands at 15.15 million tons in 2025 and is forecast to reach 21.83 million tons by 2034, advancing at a 4.14% CAGR.

Recycled Polyester Market Top Key Companies:

Indorama Ventures
Far Eastern New Century
Unifi Inc.
Reliance Industries Limited
Sinopec Yizheng Chemical Fibre
Alpek Polyester
Zhejiang Jiaren New Materials Co., Ltd.
Polyfibre Industries Pvt. Ltd.
Bottloop
Margasa Group

Recent Developments

In April 2025, Swiss cleantech company DePoly announced the upcoming launch of a 500-tonne-per-year demonstration plant in Monthey, Switzerland. This facility will showcase DePoly's proprietary chemical recycling technology, which transforms PET and polyester waste into virgin-quality raw materials without the use of fossil fuels. The process effectively handles various forms of plastic waste, including water bottles and discarded textiles, converting them into high-purity monomers suitable for producing new bottles, textile fibers, and cosmetic packaging.
In March 2025, PUMA and RE&UP Recycling Technologies announced a multi-year collaboration aimed at advancing circular textile solutions by transforming textile waste into RE&UP’s next-generation recycled cotton fibers and recycled polyester chips. This partnership supports PUMA's Vision 2030 sustainability goals, particularly its objective to have 30% of polyester fabric in apparel sourced from fiber-to-fiber recycling by 2034.
In April 2025, Unifi launched Repreve with Ciclo technology, a recycled polyester and nylon yarn with a biodegradable additive that speeds the degradation in soil or seawater. Unifi hopes their work will help to solve synthetic microplastic pollution, while still achieving competitive performance against existing yarns.
In May 2025, HUGO BOSS announced NovaPoly, a new degradable yarn made from recycled textile waste with a natural additive to mitigate microplastic pollution. HUGO BOSS have the exclusive rights for one year, and plan to license the material throughout the industry in that timeframe.
In May 2025 Syre, a textile-to-textile recycling startup backed by H&M Group and Vargas, has raised $100 million Series A investment. With this investment, they will proceed to scale-in polyester recycling internationally, deploying 10-12 polyester recycling plants by 2032, as well as saving over 15 million tonnes of CO₂e emissions.

Recycled Polyester Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2019 to 2034. For this study, Towards Chemical and Materials has segmented the global Recycled Polyester Market

By Product

Cotton Spinning Material
Filling Material
Non-woven
Other Products

By Application

Apparel
Home Textiles
Automotive Interior
Construction Material
Healthcare & Hygiene
Other Applications

By Regional

North America
Europe
Asia Pacific
Latin America
Middle East & Africa

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