Loop Industries, a company that recycles polyethylene terephthalate (PET) plastics and polyester fiber into recycled PET resin and polyester fiber, has partnered with Ester Industries, an India-based manufacturer of polyester films and specialty polymers, to establish an “Infinite Loop” manufacturing facility in India to recycle waste polyester into new feedstocks.

The facility will have an annual production of 70,000 tons of low-carbon recycled dimethyl terephthalate ("rDMT"), and 23,000 tons of recycled mono-ethylene glycol ("rMEG") which can be used to manufacture of polyester fiber, fabrics, and polyethylene terephthalate (PET) resin. The facility is expected to commence operation in early 2027.

Analyst QuickTake: The facility marks the latest development on a partnership between the companies that spans four years. In addition to being a low-cost manufacturing location, India is also attractive because of Ester Industries’ expertise in sourcing PET plastic and polyester fiber waste feedstocks. In January 2024 , the company partnered with Reed to commercialize its technology in Europe.