Pioneering circularity since 2009

Textile-to-Textile Recycling: Turn Excess Inventory into Impact

July 23, 2025
By Looptworks Team

Textile to Textile Recycling: We're turning Excess Inventory Into New Fiber

The Problem: What Happens to Unsold Product?

Here’s How Retailers and Manufacturers Can Join the Circular Economy

Is excess inventory piling up? It certainly doesn’t have to go to waste. Looptworks specializes in transforming unsold and overstocked textiles into innovative new fibers, effectively closing the loop in production and unlocking significant value in the process. By participating in this circular economy initiative, retailers and manufacturers can not only reduce waste but also contribute to a more sustainable future for the fashion industry.

For retailers and manufacturers, excess inventory is more than just a logistics problem—it’s a liability. Overstocked goods tie up capital, occupy space, and, if left unmanaged, often end up in landfills or incinerators. This results in environmental damage, lost value, and increased pressure from consumers and regulators demanding better outcomes. Traditional offloading solutions—discounting, jobbers, or export—don’t cut it anymore.

The question isn’t just how to get rid of it. It’s about doing it responsibly, transparently, and with long-term brand value in mind.

The Solution: Looptworks’ Textile - to - Textile Recycling System

Looptworks offers a better path forward: turning your excess inventory into raw material for future products. As a textile-to-textile recycler, Looptworks is building the infrastructure and systems to:

Receive and sort excess inventory from brands and mills
Recover high-quality fiber through mechanical recycling
Downcycle lower-quality inputs into shoddy and other industrial materials
Return recycled fiber back into your supply chain or release it into the circular market

What We Do with Your Excess Textiles

We assess what’s recyclable.
Garments or rolls with a mono-material composition (such as 100% cotton or 100% polyester) are ideal. We analyze each item to determine the best use: either fiber recovery or downcycling.
We recover usable fiber.
Using mechanical processing, we break down qualifying textiles into raw fiber suitable for spinning and knitting. That fiber is traceable, clean, and ready to be put back into production.
We downcycle the rest.
Items that can’t be recycled into fiber—due to blends, finishes, or low-quality content—are transformed into shoddy for use in insulation, padding, and industrial applications. Nothing goes to waste.
We help you tell the story.
We provide impact data and traceability to help your team communicate the environmental benefit of choosing circularity over disposal.

Why This Matters for Retailers and Manufacturers

Reduce Waste Costs
Avoid the high financial and environmental cost of landfilling or incineration.

Meet Sustainability Goals
Turn unsold inventory into an opportunity to advance ESG commitments and circularity targets.

Protect Brand Integrity
Ensure excess inventory doesn’t flood off-price or gray markets where it could harm your pricing and reputation.

Close the Loop
Use recovered fiber in future collections or product lines—showing your customers you walk the talk.

We’re Building the Loop — With You

At Looptworks, we know that circularity only works if it’s applied in real business. That’s why we’ve made our fiber-to-fiber recycling services practical, scalable, and easy to integrate. Whether you’re holding last season’s unsold inventory or unused fabric rolls from production overages, we’ll help you turn that material into a resource, not a write-off.