Circulo Club

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In 1938, Mr. Leopoldo Jorge Theodore Schmalz’s dream of producing threads and yarns for crafts from cotton came to life and today, Círculo is one of the largest textile industries in Brazil and has conquered the market through its quality products, manufactured in accordance with market trends, at each release, it seeks innovation and modernity through different textures and colors, with a combination of quality raw materials.

Our evolution, as a result of advanced vision and a desire to overcome difficulties, has highlighted us among the leading suppliers of yarn for fashion and decor, providing satisfaction, beauty, leisure and source of income, making us a respected and reputable company in the national and international scenario.

This consolidates our commitment to meet the expectations and demands of our customers, not only with yarns that turn into multiple results, but also with clothing and decor products that beautify and generate income.

 We have a research, design and development tem that is attentive to what happens in the fashion universe, so that the yarns that come to you are modern, distinctive and unique, bringing you satisfaction and income.

Our commitment is to provide the best products and the best service to our thousands of customers in Brazil and abroad, guaranteed by quality control that starts when raw materials arrive at our plant and continues until the moment when the goods are sent to customers.

MISSION To be a reference in fashion and interior design, providing solutions that encourage creativity, generate income and provide satisfaction and beauty.
VALUES Social Responsibility, Ethics, Credibility, Transparency, Autonomy, Commitment, Participation, Global Action and Vision.

Check out photos of Circulo




Schmalz & Circulo – Swiss blood and Brazilian heart. Synonymous with work, strength and pioneering. A worthy example of courage and confidence in the future.



Sao Paulo - Leopoldo Jorge Theodoro Schmalz, a graduated in textile mechanics, in Germany, developed machines to start a future factory of threads.

Sao Paulo - The “Circulo” ribbons and threads for mending and embroidery were marketed by Leopoldo.

Transfer to the city of Gaspar. Affection between the siblings Leopoldo and Lucia (wife of merchant Julio Schramm from Gaspar) brought, Circulo to Gaspar as a gift.

The capital: Julio Schramm (Gaspar) and Willy Schossland (Sao Francisco do Sul) became members of the factory owned by the brother-in-law Leopoldo J. T. Schmalz

In this photo: Leopoldo J. T. Schmalz, Julio Schramm and Willy Schossland.


The dream of producing threads for hand work is achieved. The “Leopoldo Schmalz & Cia Ltda” company was born on 01/23/1938.

In the photo provided , house ceded by Julio Schramm for the installation of the factory. Currently at Cel. Aristiliano Ramos Street. 342

January - With the aid of a small lathe and an electric grinder, Leopoldo started the “factory” manufacturing supports for “Mouline” and “Mend” threads, which started, with the “Trellised”, the sales for Circulo at Gaspar.

The factory already had manual dyeing. The names Embroidering, Twine, Mouline, Mend, Bright and the Circulo Trellised made up the production thread.


Circulo receives the “Grand Prize – Gold Medal” prize at the State Fair of Santa Catarina.  Mend yarn (for darning socks) and Mouline yarn (for embroidery).

The Circulo threads are featured in handicrafts exhibitions at the most renowned schools of Brazil.

Construction of the new facilities at 360 Dr. Nereu Ramos St. Self-acquired terrain and growth prospects.

Over 23 employees were admitted In the “new plant”, now with 45 employees. It's time to double the production area.

Second World War crisis. Ban on import of machinery. Fuel and electricity rationing. Circulo leads the way with technology developed by its founder, moved by steam and stationary engines already installed.

All employees of Circulo (68) posed for a photo.

The trajectory of “Circulo” (1938-1946) is profoundly affected the society of Gaspar. 

There is demand for urban land;

Commerce is streamlined with the circulation of fortnightly wages;

There is increased interest in personal presentation and studies;

New industries emerged and urban landscape changed with the construction of the new mother church.


The “Leopoldo Schmalz & Cia” firm was now called “Leopoldo Schmalz Thread Industry S/A”. Circulo products obtain extraordinary acceptance in the Brazilian market. Trellised, twine, embroidery, knitting and mending, now also crocheting and mercerized yarn for sewing in ninety colors.

Clea and Anne, female names of Germanic origin, make history in crochet fashion. Launch of the Frosting thread for sewing in wooden reels, in black and white colors. Success in record time.


Study and assembly of self-acquired twister

New dyeing with bleach, mercerizer, dyeing, oven and autoclave.

Circulo occupies an enviable position. Besides relying on self-acquired resources to develop its products, it also serves the regional industrial park, through services provided by welding and mechanical shop (the core of Circulo), woodworking, printing and dyeing.

Centenary of Gaspar Parish. Circulo is the highlight of the agro-industrial exhibition in the city.

Circulo celebrates its 25th anniversary.

Circulo took its biggest step towards self-sufficiency: it started to produce its own yarn from plume cotton.

Acquisition of manual injector for making cones, bobbins, spools and plastic spools.  “Plasvale” embryo, founded in 1977.

From plume cotton, the quality control of Circulo products guarantees 100% of its products. Circulo celebrates its 30 years.

“Leopoldo Schmalz Threads Industry S/A”

Product mix: 

Embroidery threads – 5 options

Sew threads – 10 different products

Crochet yarn – 6 options in 57 colors

Knitting threads – Raion Twine – 48 colors:

Cotton lace – Bilro;

Elastic rayon – 8 options

String and thread for sacks - 9 options

On December 23, Leopoldo Jorge Theodoro Schmalz - founder of Circulo – received, from the community, the title of Honorary Citizen of Gaspar. (Law no. 382)



New times! Physical enhancements for new deposits and wiring equipment arose.

Circulo products were successful all over Brazil; they spontaneously arrived at the Latin American market.  Paraguayans and Bolivians came personally to purchase the Circulo “hilum”, which came to be the most used yarn in these countries.

Fresh blood now influences initiatives by Circulo.  Leopoldo Adolfo observes the daily routine of the factory with his father, assuming the Presidency in 1977. A new organizational system is deployed.

The Circulo Recreation Association (ARCI) brings sports and recreation to Gaspar.

Modernization of laboratory and dyeing. The company has 1,600 employees.

Handicrafts courses in shops and TV commercials trigger strong growth in sales.

Internal Week for the Protection Against Work Accidents - Sipat. Formation of CIPA.


Novelsul is created in Rio do Sul (SC) to expand Clea’s production in color white.

Expansion of the domestic market, with regional offices in Sao Paulo, Rio de Janeiro and Recife.

The Circulo Foreign Trade is created; facilitator of exports to Europe, Asia, North America, Central America and South America.

The floods of the Itajai Açu River disastrously affected the premises of Circulo. Government measures of monetary and fiscal policy established a sharp financial crisis to be overcome.


Dilatory Preventive Bankruptcy (10/30).

Administrative and financial restructuring. A united effort indeed happened. Círculo has managed to settle the dilatory agreement before the legal term.

Inauguration of the Leopoldo Schmalz Museum.

Circulo exports 1 million kg to Belgium, Italy, Germany, Japan, United States, Canada and others.

Circulo threads – half a century coloring emotions.

Release of knitting yarns: Mollet, Exuberance and Melange in a magnificent event called Mil Tramas (A Thousand Weaves).

To greet the employees, the board organized a memorable event:  “50 years of effort brought us here. Perseverance will take us further.”

The Clea Yarn Trophy is delivered at the National Sales Contest.

Creation of the waste-water treatment station.

Schools in Santa Catarina begin receiving the Circulo at School social project, where Circulo offered free courses in knitting and crochet for students of municipal schools.

A needles factory is established. From this date, knitting and crochet needles begin to be produced at Circulo.

Circulo renews and expands its sales force by 50%.

Circulo starts the resale of polypropylene yarns this year.

The "Fastest Crochet maker in Brazil" contest has awarded the winner a brand-new vehicle.

Circulo innovates the tapestry market by launching Baroque, a unique multicolor yarn.

Launch of the Autumn/Winter Collection with different knitting yarn.

Círculo starts to manufacture internally polypropylene yarns.

Needles, sewing accessories and towels increase the product mix, initiating the Accessories segment.

In respectfor the environment, Circulo starts the process of reuse of dyeing baths (effluent). With reuse, the company no longer generates wastewater, reusing bath dyeing and contributing to the environment. The first colors to be reused were shades of red, totaling 6. Circulo is one of the pioneering companies in this procedure!

Circulo becomes a leader in the market for winter yarns.

Partnership with top designers leads Circulo to the catwalks of the most important fashion weeks in Brazil.

The collection of fabrics for handicrafts is launched, further expanding the mix of Circulo products.

Circulo strengthens its presence on the internet with the creation of the Circulo Blog and with the onset of social media presence.

Circulo reinvents knitting by launching lace and fabrics for knitting. The Knitting Lace and Knitting Fabric are unique products, internationally patented by Circulo!

Four years after the start of the re-use of the dyeing bath, Circulo now has 33 colors for which the bath is re-used. This technique reduces discharges of organic and inorganic products.

A new dyeing system is installed at the factory. More technology in the yarn dyeing process.

Circulo innovates once again by launching the Knitwear Leather, a synthetic leather strip with small holes for kniting.

Accessories for patchwork such as cutting base, rulers and cutters are incorporated into Circulo products.

The company currently has 35 000 m² of land, being the largest yarn industrial park for handicrafts in Latin America, with 1,200 direct employees.

Circulo celebrates a successful 75 years with a series of special events dedicated to employees.

The new mill is installed.

The first Circulo Feijoada Charity was held to raise funds for the ‘Circulo at School’ social project, to promote an essay contest among sixth grade students from participating schools. Winners are awarded with a trip to Beto Carrero World.

Total success. 1.000 people attended the event.

In the month of August, the Circulo Annual Sales CoIn the month of August, the Circulo Annual Sales Convention was held in Bombinhas (SC), gathering the whole sales team and the internal staff of Circulo for four days of learning, training and relaxation.

A família Barroco não para de crescer. Na Reunião Nacional de Vendas, lançamos o Barroco Maxcolor, um fio 100% algodão de massa pura, com toque macio, suave e uniforme. São 25 cores vibrantes que compõem a cartela. 

Em Agosto, inovamos novamente ao criar a Círculo na TV, um portal de vídeos online com canais diversos, como: Faça Você, Culinária, Tendências, Beleza, Dicas, Acontece na Círculo e Gastronomia. Após muita pesquisa sobre os hábitos dos nossos consumidores, conseguimos criar um canal interativo com conteúdo exclusivo feito especialmente para eles! Acesse: 

O crochê é a sensação da temporada e a Círculo é uma das principais indústrias de fios para o crochê do Brasil.  Comemorando esta fase tão especial, a empresa trouxe para estrelar sua nova campanha a modelo Ana Paula Siebert fotografando este momento tão refinado da marca e que servirá de inspiração para centenas de artesãs em todo o país.

Em Dezembro, inauguramos um novo espaço para a equipe de Marketing. Um espaço criativo, projetado e construído para despertar emoções em quem trabalha e em quem visita. Com estúdio próprio, iluminação especial para análise de fios e tecidos, a sala é conectada à internet, de onde chegam muitas inspirações.

A decoração descontraída e os elementos artesanais contribuem para um visual moderno e criativo.