Plastics recycling startup MacroCycle has signed a new agreement with Meta to accelerate the development of its first commercial recycling plant in the United States.
The three-year-old startup, based in Cambridge, Massachusetts, has developed a technology that processes plastic waste while removing contaminants from the material. As a result, MacroCycle says its recycled output can offer customers a quality comparable to new plastic. The company also claims that its technology produces 80% fewer carbon emissions than new, non-recycled virgin PET plastic, which is widely used in bottles, containers, and textiles.
Under the agreement, Meta will pay MacroCycle for the rights to the emissions reductions generated by its recycling process. This arrangement will allow Meta to count those reductions towards its own carbon footprint. The deal comes as Meta’s emissions continue to rise amid the company’s growing investment in artificial intelligence infrastructure. A Meta spokesperson confirmed that the agreement represents the company’s first deal of this kind.
Meanwhile, payments linked to environmental attribute credits (EACs) will create an additional revenue stream for MacroCycle. The startup plans to use the proceeds to support the construction of its first commercial plant in the U.S.
However, Meta’s interest extends beyond acquiring environmental attribute credits. The technology company also wants to help develop a market for low-carbon materials such as recycled plastics, which companies across its supply chain use for applications including packaging and hardware. As demand for these materials increases, greater availability could help Meta reduce its broader carbon footprint.
MacroCycle expects its demonstration plant to produce 5,000 metric tons of recycled plastic annually. The company’s process dissolves and purifies PET from multiple waste streams, including textiles. Textile waste remains particularly difficult to recycle, with only 0.5% currently undergoing recycling, according to research cited by the company.
The company’s technology takes its name from the way it processes plastic polymers. MacroCycle converts the polymers into rings known as macrocycles. Solvents then remove contaminants and leave the macrocycles behind. Afterward, the company opens the loop and reconnects the polymers to create higher-quality plastic.
As a result, MacroCycle says its recycled material can become indistinguishable from new plastic. Furthermore, the company uses solvents rather than heat during the recycling process, which significantly reduces energy consumption and could also lower production costs.
MacroCycle ultimately aims to manufacture recycled textiles domestically at prices that can compete with overseas suppliers. The company is targeting the U.S. textile market, which has experienced a substantial decline over the past 25 years. Employment in the apparel manufacturing sector has fallen by 85% during that period.
At present, MacroCycle is working to secure buyers for the recycled material that its first plant will manufacture. According to MacroCycle co-founder and CEO Stewart Peña Feliz, the agreement with Meta could make it easier for the startup to secure similar partnerships with other companies.
Going forward, the company plans to scale its manufacturing network significantly. Peña Feliz said future MacroCycle plants could produce up to 50,000 metric tons of recycled material annually, potentially expanding access to lower-carbon recycled plastics across industries.
