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PET is technically 100% recyclable. Once recycled, from either pre-consumer (such as factory off-cuts) or post-consumer waste, (after it's been used by a consumer), it is called rPET or Recycled Polyethylene Terephthalate.
PET can be recovered and recycled again and again by thorough washing and remelting for use in new PET products, or by chemically breaking down the PET into its constituent raw materials, which are then purified and converted into new PET.
Any PET that is unsuitable for recycling because it is too dirty or contaminated to be properly cleaned can be safely and efficiently burned as an energy source. This is called "thermal recycling."
PET can be recycled into many new products
It's used to make new bottles, but recycled PET can also be made into fiber for carpets; fabric for t-shirts or fleece jackets; fiberfill for sleeping bags, winter coats, and dog beds; industrial strapping; sheet and thermoformed (clamshell) packaging; and automotive parts such as headliners, bumpers, and door panels.