December 14, 2024
Sustainability

Europe’s Textile Recycling Industry Facing Severe Crisis

Europe’s textile sorting and recycling sector is grappling with a severe crisis, surpassing even the challenges experienced during the Covid-19 pandemic. The industry is under intense strain due to global disruptions, including the war in Ukraine, logistical issues in Africa and the accelerated demand for ultra-fast fashion.

As a result, Europe faces an oversupply of used textiles, while demand in traditional export markets has sharply declined. Trade in used textiles between the EU and non-EU nations fell from 464,993 tonnes in 2022 to 430,185 tonnes in 2023. Germany alone saw its exports of used textiles to Ghana drop from 7,911 tonnes in 2020 to 4,533 tonnes in 2023. Demand for recycled materials, including recycled cotton, remains low—its production reached only 319,000 tonnes globally in 2023 compared to 24.4 million tonnes of virgin cotton.

The decline in demand has caused second-hand textile prices to plummet, while collection, sorting and recycling costs have surged. Since early 2024, the revenue from sorted second-hand garments no longer covers processing expenses, creating cash flow challenges for operators and overflowing warehouses, raising concerns about potential textile incineration. Calls have intensified for the EU to encourage member states to lower VAT on textile repair, reuse and recycling, and to consider taxing new petroleum-based materials, which could promote the use of recycled resources and reduce virgin textile production’s environmental impact.

This crisis may lead to higher processing costs for municipalities, potentially increasing waste disposal fees for residents and causing more textiles to end up in residual waste. Downstream recyclers, including tearing and spinning mills, face mounting financial pressures, leading to significant job cuts across the sector.

Immediate financial and legislative support is essential to prevent widespread bankruptcies. Short-term incentives for EU companies committed to a sustainable, circular textile economy are needed to protect the industry. Investments in recycling technology and infrastructure, along with targeted support for municipalities managing the textile waste backlog, are crucial. The EU is urged to foster public-private partnerships to drive innovation and scale up recycling technologies, enhancing Europe’s capacity to sustainably process textile waste.

In the mid-term, achieving a competitive, sustainable textile recycling sector aligns with Commission President Ursula Von der Leyen’s goals for a strong circular economy. To realize this, the EU must boost demand for recycled textiles, expand recycling capacity and promote sustainable materials through eco-design requirements. A proposed mandate for a minimum percentage of recycled textile content in new textile products, ideally from post-consumer sources, would help build momentum for increased circularity. Without urgent action, Europe risks compromising its climate objectives and the future of its textile sorting and recycling industry.

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *