This development is considered a key advancement as the fashion industry moves towards more sustainable and circular viscose supply chains.

The facility will leverage both post-industrial and post-consumer textile waste collected from its supply chain affiliates to produce high-grade, low-carbon dissolving pulp suitable for various MMCF applications.

With an initial production capability of 1,500 tonnes (t) annually, the plant by Yibin aims to fulfil the increasing demand for sustainable materials that can serve as alternatives to traditional high-carbon forest fibre within the fashion industry.

This initiative is in line with China’s national objectives to cut down textile waste by 30% by 2030.

Building upon innovative efforts by entities like Circulose, Yibin plans to augment its Next Gen production to reach 60,000t by 2027, contingent on market support.

Canopy founder and executive director Nicole Rycroft said: “Canopy is thrilled with Yibin Grace’s leadership with the launch of China’s first Next Gen textile dissolving pulp mill.

“Expanding circular production positions the sector to withstand supply volatility associated with increased forest fires and to capture markets looking for low-impact materials. We look forward to Yibin scaling this technology to commercial levels and being an early-solution provider to the textile sector. This is just the beginning!”

Situated in Sichuan, China, Yibin Grace boasts a total production capacity of 450,000t per year across its range of products including viscose staple fibre, viscose filament yarn, and lyocell.

The company operates three distinct facilities. It also holds a 30% ownership interest in Xinjiang Ya’ao, a fourth mill situated in the Xinjiang Province of China.

Yibin Grace operates a single facility dedicated to producing viscose staple fibre, which has attained the aspirational level across three critical areas of chemical management: the recovery of chemicals, the discharge of wastewater, and the emission of air pollutants.

The company is also an early adopter of Circulose recycled pulp in its product lines, marketed under the ReGracell brand.

Since partnering with Canopy in 2018, the company has secured a Dark Green Shirt ranking in the Hot Button Report of 2024 in recognition for its commitment to environmental stewardship and maintains a record clear of sourcing from ancient and endangered forests.