In this study, life cycle assessment has been applied to analyse the environmental impacts from a novel technology to recycle textile waste developed within the project RE:Spin. This technology allows for the dissolution of textile fibres and re-spinning them into new fibres within the same process setting, reducing the amount of process steps and increasing efficiency. The goal of this life cycle assessment is to analyse and quantify the potential environmental impacts of the RE:Spin process, to validate the hypothesis that the technology can potentially reduce the environmental impacts of chemical recycling. A secondary goal of the study is to identify hotspots as knowledge support for further developments. The study has a cradle-to-gate scope; and includes the processes of shredding, dissolution, filtration, coagulation, washing and drying. The study also includes support processes for recovery and recirculation of solvents and chemicals. The inventory data has been provided by the project partners, consisting only of lab-scale data from the tests and experiments carried out within the project. This data has been complemented by industrial scale simulations using a specialized software called WinGEMS, which provided mass balances and material flows for the system while energy use was calculated separately. The study analysed all the environmental impact categories required in the environmental footprint 3.1 framework. The results indicate that the RE:Spin technology has the potential to reduce the environmental impact of chemical recycling of cellulosic fibres. The potential environmental impacts from the RE:Spin fibres seem to achieve reductions in most impact categories in reference to conventional fibres, as well as in reference to the results obtained in other studies for chemical recycling of cotton. However, this outcome depends on certain key assumptions, such as the foreground system for ethanol production and heat generation. The most important aspect to focus on for future developments is to ensure a high recovery and recirculation rate of ethanol, sodium hydroxide and hydrochloric acid; which can potentially reduce the environmental impact from the RE:Spin process even further, while avoiding emissions of losses to air and water.