China's Yibin Grace launches first recycled textile pulp plant to drive circular viscose shift

China’s Yibin Grace, a top producer of man-made cellulosic fibres (MMCF), has inaugurated the country’s first recycled textile dissolving pulp facility in Sichuan. This pilot plant marks a key milestone in building a circular and low-carbon viscose supply chain. It will convert post-industrial and post-consumer textile waste into high-quality dissolving pulp for use in viscose staple fibre, filament yarn, and lyocell production.

With an initial capacity of 1,500 tonnes per year, the facility is designed to reduce dependence on virgin forest-based materials and aligns with China’s goal to cut textile waste by 30 per cent by 2030. Yibin Grace aims to scale up its Next Gen pulp production to 60,000 tonnes annually by 2027.

Environmental group Canopy praised the move, calling it a timely solution to supply risks linked to rising forest fires and growing demand for sustainable fibres. Yibin Grace, which operates 450,000 tonnes per year of MMCF capacity, was an early adopter of Circulose recycled pulp under its ReGracell brand.

It has collaborated with Canopy since 2018 and earned a top sustainability score in the 2024 Hot Button Report, with no sourcing risk from Ancient and Endangered Forests.