Pact partners with Plan B Circular to accelerate textile-to-textile (T2T) recycling. This comes ahead of the anticipated EU legislation expected in 2028. The agreement evaluates expansion options for Asia and other key growth markets. Most brands use bottle flake as their source of recycled polyester. EU legislation is expected in 2028 and is set to trigger a market-wide pivot affecting every fashion brand in Europe.

Plan B Circular, Pact Group, and Project Re:claim are building the infrastructure to change the way textiles are recycled. Project Re:claim is a joint venture between Plan B Circular and Salvation Army Trading Company Ltd (SATCoL) and operates the first commercial-scale post-industrial and post-consumer polyester textile recycling plant in the UK.

Project Re:claim recycles 100% of post-industrial and post-consumer polyester textiles that would otherwise be incinerated or sent to landfill. They are converted into recycled PET pellets that can be spun back into yarn. Trials are already underway with multiple spinners and fabric mills internationally, and with the addition of Pact’s global reach, Plan B is well positioned to scale quickly to meet growing demand. SATCoL is the largest charity-owned textiles collector in the UK; together with Plan B Circular, the pair hope to solve the UK’s post-consumer textile waste challenge.

“We have spent years developing the technology and building the infrastructure to make textiles truly circular,” said Tim Cross, CEO of Plan B Circular. “The legislation expected in 2028 is the moment the whole market catches up. Brands that act now will have verified, traceable sourcing routes in place. Those that wait will be scrambling. Pact’s partnership gives us the reach to make this happen at global scale.”

Pact EGM Retail Solutions’ Camillo Colombo added, “Pact’s existing presence in the global fashion supply chain through our Retail Solutions business enables us to expand our expertise across the fashion and textile sectors beyond just hanger and packaging reuse. This investment in Plan B Circular demonstrates our commitment to leading the circular economy through partnerships and collaboration to offer sustainable, verifiable solutions for clothing manufacturers and retailers ahead of the anticipated 2028 regulatory changes.”