Loop Industries form strategic alliance with Taiwan's Shinkong; secures Gujarat site for Infinite Loop facility

Loop Industries Inc., a Canada-based clean technology company producing 100% recycled PET plastic and textile-to-textile (T2T) polyester, has entered into a strategic alliance with Shinkong Synthetic Fibers Corporation, a leader in Taiwan’s polyester industry and manufacturer of polyester and synthetic fibre products. The partnership combines Loop’s T2T technology with Shinkong’s fibre-spinning expertise and customer network to accelerate the shift from a linear to a circular textile economy.

Loop’s patented technology converts end-of-life polyester textile waste into Twist, a high-purity circular polyester resin for the textile and apparel sector. Unlike conventional recycling, the process removes dyes, blends, and contaminants, making it highly effective for complex waste streams. The result is a fully traceable material, from feedstock to finished product, that meets the quality, performance, and transparency standards demanded by global brands.

Shinkong, part of the Shinkong Group, invests heavily in R&D to produce high-quality, value-added products such as functional and eco-friendly fibres, while advancing green manufacturing and circular economy initiatives in line with global sustainability trends.

Through the alliance, Loop and Shinkong aim to meet growing demand from international apparel brands for next-generation materials. By combining Loop’s T2T technology with Shinkong’s spinning expertise and customer network, the partnership advances the Infinite Loop India project and enables the worldwide supply of Twist-branded recycled yarns to more than 100 customers.

Loop Industries’ Chief Revenue Officer, Giovanni Catino, said the partnership marks a key step in advancing circular polyester solutions, combining Shinkong’s technical strengths with Loop’s Infinite Loop platform to help brands achieve performance and sustainability goals. Shinkong Vice President, Sam Hu, added that the collaboration addresses growing demand for sustainable polyester by leveraging Loop’s technology and Shinkong’s supply chain to deliver eco-efficient materials at scale and expand opportunities in premium, sustainability-focused markets.

In a recent development, Loop Industries’ Indian joint venture has agreed to acquire a strategic site in Gujarat for the planned Infinite Loop manufacturing facility. The US$10.5 million purchase represents a US$5 million saving from the US$176 million capital cost estimate in the FEED package prepared by Tata Consulting Engineers. The land is being secured with an initial deposit of US$1.7 million.

The site, near Surat, India’s synthetic textile hub, provides direct access to abundant polyester textile waste feedstock. The facility will operate on 80% renewable electricity and biofuel, reducing its carbon footprint significantly. The PET resin produced will have up to 80% lower carbon emissions compared to virgin, petroleum-based PET.

The 93-acre site, located within a Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR), can host an initial 70,000-tonne-per-year facility, with an additional 100,000 tonnes planned once fully operational. The PCPIR designation expedites permitting, expected by end-2025, and provides access to skilled petrochemical labour, while its proximity to a deep-water port ensures cost-efficient resin exports.

Loop Industries COO, Adel Essaddam, said the land acquisition in Gujarat lays the foundation for the Infinite Loop India project, offering the infrastructure, logistics, and feedstock required to deploy the company’s technology competitively.

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