In the first half of the year, the Austrian fiber group Lanzing made “significant improvements” in terms of revenue and earnings, which gave it credit for growing optimism in the textile and apparel industry.
The rise in revenue (27.5% to €1.03 billion) and higher demand for fiber in Asia have led to higher prices for viscose.
Lenzing CEO Stefan Doboczky said: “Lenzing had a very strong first half-year. The demand for our sustainably produced specialty fiber once again developed excellently.”
Its wood-based specialty fibers such as Tencel, Ecovera, and Veocel made up 72.8% of revenues, with a target of making up 75% by 2024, boosted by the new €400 million lyocell plant in Thailand.
Mr. Doboczky said, “The largest investment program in the company’s history is proceeding according to plan and we still expect to start up the new lyocell plant in Thailand in the fourth quarter.”
Also, the cooperation with Södra and their significant investment in the existing locations are the next milestones on their path towards a carbon-free future.
Lenzing is also investing €200 million in its production sites in Purwakarta (Indonesia) and Nanjing (China) to convert standard viscose capacity into a capacity for environmentally responsible specialty fiber.