Biodegradable Textiles Market Report 2026

The biodegradable textiles market size has grown rapidly in recent years. It will grow from $6.35 billion in 2025 to $7.23 billion in 2026 at a compound annual growth rate (CAGR) of 13.8%. The growth in the historic period can be attributed to increasing environmental concerns over synthetic textiles, growth of sustainable fashion movements, expansion of natural fiber textile production, rising awareness of textile waste impact, early adoption of biodegradable fibers.

The biodegradable textiles market size is expected to see rapid growth in the next few years. It will grow to $12.06 billion in 2030 at a compound annual growth rate (CAGR) of 13.7%. The growth in the forecast period can be attributed to expansion of biodegradable textiles in industrial applications, rising investments in bio-based fiber innovation, growing demand from fashion and home furnishing sectors, increasing regulatory support for sustainable textiles, advancement in biodegradable fiber performance. Major trends in the forecast period include increasing use of bio-based textile materials, rising demand for sustainable apparel fabrics, growing adoption of non-toxic textile treatments, expansion of biodegradable textile applications, enhanced focus on end-of-life textile management.

The increasing consumer awareness about environmental sustainability is expected to drive the growth of the biodegradable textiles market going forward. Environmental sustainability refers to the responsible management of natural resources and ecosystems to meet present needs without compromising the ability of future generations to meet theirs. Consumer awareness is rising due to increased media exposure and growing concern over pollution and waste caused by conventional fabrics. Biodegradable textiles promote environmental sustainability by offering eco-friendly alternatives that address these concerns. For instance, in November 2023, according to the World Business Council for Sustainable Development, a Switzerland-based non-profit organization, in the United States, 96 percent of consumers recognize that the climate is changing. Among environmentally concerned Americans, 85 percent of self-identified liberal voters are very or extremely worried about climate change, while only 39 percent of conservative voters share the same level of concern. Therefore, the increasing consumer awareness about environmental sustainability is driving the growth of the biodegradable textiles market.

Key companies operating in the biodegradable textiles market are focusing on developing innovative solutions such as biodegradable fusible cotton textiles to meet the growing consumer demand for eco-friendly products. Biodegradable fusible cotton textiles refer to environmentally friendly cotton fabrics that bond with other materials through heat and naturally decompose without causing harm to the environment. For instance, in April 2023, Freudenberg Group, a Germany-based manufacturing company, introduced the apparel industry’s first biodegradable fusible cotton shirt interlining range, known as the 46xx series. This product is certified biodegradable and non-toxic by Germany’s Hohenstein Laboratories and meets recognized biodegradation standards. The interlining features a 100 percent degradable bio-polymer adhesive and can be fused at a lower temperature of 127 degrees Celsius, saving energy compared to traditional interlinings. It is certified OEKO-TEX STANDARD 100 Class II, washable up to 40 degrees Celsius, and resistant to dry cleaning. Designed to reinforce collars, cuffs, and plackets in shirts and blouses, this sustainable interlining supports environmentally responsible fashion and business apparel.

In July 2025, Altri SGPS S.A., a Portugal-based industrial company specializing in sustainable cellulosic pulp production, acquired a majority share of AeoniQ for an undisclosed amount. Through this acquisition, Altri aims to strengthen its position in the sustainable textiles sector by incorporating AeoniQ’s biodegradable and climate-positive filament yarn technology into large-scale production. AeoniQ is a Switzerland-based cleantech company that produces biodegradable cellulosic filament yarn designed to replace polyester and nylon in high-performance textile applications.

Major companies operating in the biodegradable textiles market are Asahi Kasei Corporation, Toray Industries Inc., Grasim Industries Limited, Eastman Chemical Company, Teijin Limited, Elevate Textiles Inc., Milliken & Company, Lenzing AG, Sateri Holdings Limited, Unifi Inc., Fulgar S.p.A., Kelheim Fibres GmbH, NatureWorks LLC, Schoeller Textil AG, Rajshree Fabrics Pvt. Ltd., Vivify Textiles Pty Ltd., Ecological Textiles BV, Paul Hartmann AG, U‑Long High‑Tech Textile Co. Ltd., Linwood Fabric Company Limited.

Asia-Pacific was the largest region in the biodegradable textiles market in 2025. The regions covered in the biodegradable textiles market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the biodegradable textiles market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The biodegradable textiles market consists of sales of clothing and apparel, home textiles, nonwoven textiles, medical textiles, and footwear and accessories. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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