Waste PET bottles which is the main ingredients are PET (polyethylene terephthalate), is not easy to degrade under natural conditions. If without recycling rationally, waste plastic bottles will pollute the environment, that is of no advantage for “the construction of resource saving and environment-friendly society”. This paper introduces a new kind of recycling way – the technology of regenerating fibers – that will process the recycled PET bottle flakes into staple fiber (a kind of textile raw materials). And finally it can produce various raw materials of textile garments by the staple fiber. The process of PET bottle flakes recycling mainly takes five steps: sorting, separation, cleaning, crushing and using. This paper analyzes the domestic and foreign PET processing of technology on regenerating staple fiber. And it puts forward a complete set of modification technology program for regenerating staple fiber by PET on the basic of theory.