HCMC – Swedish textile firm SYRE said that it plans to invest US$1 billion in building a recycled fabric manufacturing complex in Binh Dinh Province, aiming to make Vietnam the world’s first global hub for high-tech, circular textile production.

Prime Minister Pham Minh Chinh met in Hanoi on April 23 with Susanna Campbell, chairwoman of SYRE, and Johan Ndisi, Swedish ambassador to Vietnam, reported the Government news site.

During the meeting, Campbell expressed interest in selecting Vietnam as a strategic investment destination, citing the country’s strong growth in green energy and the textile sector.

The firm is committed to maximizing the use of Vietnamese materials and strengthening its supply chain and manufacturing operations in Vietnam.

SYRE plans to turn out up to 250,000 tons of recycled polyester fabrics per year at the planned Binh Dinh complex.

The project is expected to begin operations by the end of 2028, making Vietnam the world’s first global hub for high-tech, circular textile manufacturing in line with U.S. and EU standards.

PM Chinh praised SYRE’s plan to invest in a green and clean polyester fabric recycling complex, which will utilize textile-related waste and help improve the environment in line with the spirit of COP26 to COP28 climate conferences.

SYRE’s project also aligns with Vietnam’s strategy to diversify its markets, products, and supply chains in order to better adapt to global market changes, he said.

The PM suggested that the Swedish firm prioritize using local green materials such as lotus fiber and jute, as well as textile scraps and discarded clothing in Vietnam as inputs.

SYRE is a subsidiary of H&M Group, a globally renowned Swedish fashion brand, and Swedish technology investment firm Vargas. The company is building a global circular textile ecosystem through large-scale, high-tech recycling centers powered by renewable energy. SYRE aims to establish major recycling complexes in key strategic locations worldwide, including Vietnam.