As the Central America region becomes increasingly important for textile producers, material recycler Recover has entered into a joint venture with local manufacturer Intradeco to produce its recycled cotton fiber in El Salvador.
The two are aiming to advance recycled cotton fiber production and sustainable textile innovation in Central America.
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“Central America has become increasingly vital due to its proximity to major markets, especially the U.S. This joint venture between Recover and Intradeco, along with its vertical supply chains, allows us to supply recycled cotton products directly from the region, enabling quick and flexible supply chains, thus reducing lead times, costs and environmental impact, something that we believe will be very appealing to many North American brands trying to expand their material portfolios and introducing recycled content in their collections,” Recover chief executive officer Anders Sjöblom told WWD.
The Trump administration’s tariffs have “shaken the textile industry worldwide,” Sjöblom added. But El Salvador is poised to become a new strategic hub as it is only subject to the standard 10 percent tariff, thanks to the Central America-Dominican Republic Free Trade Agreement, CAFTA-DR, which remains in place.
Recover specializes in mechanical recycling for cotton and cotton-polyester blends.
The facility is located close to Central American textile waste and production streams, allowing for the fast lead times for textile producers in the Americas. It will also benefit companies looking to shorten their carbon footprint in transport, those nearshoring their operations and those seeking flexibility in an increasingly risky trade environment.
“Major non-American-based brands either have, or are setting up, sourcing operations in Central America to serve nearby countries, which really validates this move for us,” said Sjöblom.
“The region has become increasingly important over the past few years due to the global disruptions we’ve witnessed.”
Sourcing feedstock from Central America will also help U.S. textile and apparel manufacturers ensure compliance with the Uyghur Forced Labor Prevention Act, or UFLPA, and will support secured traceability for companies to shore up their supply chain claims.
“False claims or greenwashing have become very real threats to brand equity and though many companies would like to communicate more around efforts they are making, the textile production industry is still plagued with too many unserious players and fake claims,” he said.