Continuous hydrolytic depolymerization of polyethylene terephthalate (PET) resin at high temperature and pressure was carried out in a co-rotating twin screw extruder. In this novel process, hydrolysis is achieved by injection of saturated steam at high pressure. Optimum conditions occur at relatively low screw speeds and water/PET ratios. Hydrolysis extent was measured using carboxyl end group titration, and by determination of molecular weights using NMR and GPC analysis. Low molecular weight products are obtained at low residence times in the extruder, suggesting high depolymerization rates. This is supported by the results of a simple kinetic model.