Lululemon, Samsara Eco Deepen Partnership For Recycled Materials, Targets Circularity by 2030

Lululemon Athletica Inc. (NASDAQ:LULU) is one of the best Canadian stocks with huge upside potential. On June 11, Lululemon announced an expanded 10-year partnership with Samsara Eco through an off-take agreement for recycled nylon and polyester. The collaboration underscores Lululemon’s commitment to building a circular ecosystem for its products and supports its goal of using more preferred materials by 2030.

The deal could enable Samsara Eco to produce ~20% of the fibers in Lululemon’s portfolio. The announcement builds upon a previous multi-year agreement between Lululemon and Samsara Eco, which was initiated in 2023 and aimed at creating infinitely recycled nylon and polyester. In 2024, Lululemon debuted its first product featuring Samsara Eco’s material. This was a limited-edition packable anorak, which also marked the world’s first enzymatically recycled nylon 6,6 product sample.

The Chief Supply Chain Officer at Lululemon, Ted Dagnese, stated that the company is diversifying by investing in multiple partnerships to develop solutions and reduce its reliance on fossil-fuel-derived resources. Lululemon’s latest impact report indicates progress in integrating preferred materials, with 38% of products procured in 2023 containing over 50% of materials deemed environmentally preferable by the company.

Lululemon Athletica Inc. (NASDAQ:LULU) designs, distributes, and retails technical athletic apparel, footwear, and accessories under the lululemon brand internationally.

Samsara Eco is an Australia-based company that specializes in enzymatically recycling nylon 6,6 products.

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Disclosure: None. This article is originally published at Insider Monkey.