In the context of the circular economy, materials in scientific development present opportunities for material design processes that begin at a raw state, before being introduced into established processes and applications. The common separation of the scientific development of materials from design intervention results in a lack of methodological approaches enabling designers to inform new processes that respond to new material properties. This paper presents the results of a PhD investigation that led to the development and application of a Material-Driven Textile Design (MDTD) methodology for design research based in the materials science laboratory. It also presents the development of the fabrication of a textile composite with regenerated cellulose obtained from waste textiles, resulting from the MDTD methodology informing novel textile processes. The methods and practice which make up this methodology include distinct phases of exploration, translation and activation, and were developed via three design-led research residencies in materials science laboratories in Europe. The MDTD methodology proposes an approach to design research in a scientific setting that is decoupled from a specific product or application in order to lift disciplinary boundaries for the development of circular material-driven fabrication and finishing processes at the intersection of materials science and design.