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Oerlikon (c) Oerlikon
29.10.2020

Oerlikon: Less waste with the Smart Factory

A typical manmade fiber system produces well over 600 tons of yarn a day. This equals in around 700 winders in filament yarn production or 3 systems in staple fiber production. These figures show just how important smooth production processes are.

If an error creeps into the process at any point, the daily waste increases dramatically. It is obvious that all yarn manufacturers want to prevent this happening to ensure their production facilities operate efficiently. Here, digitalization provides invaluable support. A Smart Factory that networks all steps within the production chain – including all auxiliary processes – identifies and reports quality deviations at an early stage. Yarn manufacturers can quickly intervene in the production process and hence avoid generating waste.

A typical manmade fiber system produces well over 600 tons of yarn a day. This equals in around 700 winders in filament yarn production or 3 systems in staple fiber production. These figures show just how important smooth production processes are.

If an error creeps into the process at any point, the daily waste increases dramatically. It is obvious that all yarn manufacturers want to prevent this happening to ensure their production facilities operate efficiently. Here, digitalization provides invaluable support. A Smart Factory that networks all steps within the production chain – including all auxiliary processes – identifies and reports quality deviations at an early stage. Yarn manufacturers can quickly intervene in the production process and hence avoid generating waste.

Digital solutions ensures process reliability
And the Smart Factory is also the focus of Oerlikon Manmade Fibers. Here, it comprises considerably more than the Plant Operation Center, a system that has been well-established within the market for many years now. “This is about absolute transparency and traceability. At the end of the process, yarn manufacturers are able to track at which position its finished textured yarn packages were spun and even have information on the processed granulate and the specific production conditions”, comments Ivan Gallo, responsible for digital products at Oerlikon Manmade Fiber. In this way, the Smart Factory ensures process reliability, above all. The data are automatically entered into the system and the product assessed at each stage of yarn production at which values and data are recorded – such as during visual inspection and when weighing. In the event of anomalies in the intermediate laboratory and quality checks, this allows yarn producers to intervene in the production process and correct these anomalies.

Information on the chip feeding, on the drying and on the masterbatch are available, as are data on the climate control, on the compressed air supply and on further auxiliary systems. With this, yarn manufacturers have at all times a complete overview of the ongoing production process, including comprehensive information on quality and production costs.

Source:

Oerlikon

Oerlikon Barmag: Wiping robot (c) Oerlikon Barmag
01.10.2020

Oerlikon Barmag: Wiping robots increase production efficiency

Retrofitting a wiping robot to spinning systems is well worthwhile. This is confirmed by the experiences of those customers who have already installed the wiping robot. Oerlikon Barmag wiping robots have been cleaning spin packs at filament yarn manufacturing facilities in China and India for several months now, increasing efficiency considerably.

Regular wiping of the spin packs is important for process stability and yarn quality. These can be positively influenced using wiping robots, because – as confirmed by data acquisition and analysis at the respective manufacturing facilities – the yarn break rate can be reduced by up to 30% by automating the wiping process. And the yarn break rate has a direct impact on the key production figures; to this end, a considerable reduction translates into pure profit for yarn manufacturers.

Retrofitting a wiping robot to spinning systems is well worthwhile. This is confirmed by the experiences of those customers who have already installed the wiping robot. Oerlikon Barmag wiping robots have been cleaning spin packs at filament yarn manufacturing facilities in China and India for several months now, increasing efficiency considerably.

Regular wiping of the spin packs is important for process stability and yarn quality. These can be positively influenced using wiping robots, because – as confirmed by data acquisition and analysis at the respective manufacturing facilities – the yarn break rate can be reduced by up to 30% by automating the wiping process. And the yarn break rate has a direct impact on the key production figures; to this end, a considerable reduction translates into pure profit for yarn manufacturers.

Can also be retrofitted to existing systems
The Oerlikon Barmag wiping robot can be retrofitted to numerous spinning plants. Suspended from a track system mounted on the ceiling, the system automatically and autonomously targets the individual positions in accordance with the scheduled wiping cycles. In addition to the scheduled wiping processes, there are also events that cannot be planned or that are not immediately visible. Depending on the degree of integration into Oerlikon Manmade Fibers Smart Factory solutions, the wiping robot is able to identify issues such as yarn breaks or parallel wiping processes and to independently offer solutions.

The wiping robot operates in a cross-line manner. Here, the wiping quality remains constant 24/7. The high wiping quality has a positive influence on both the stability of the overall process and on the yarn quality. The time saved between cleaning cycles is a further advantage: using the robots, the interval between two wiping processes can be extended by up to 25%. The considerable increase in the spinning process efficiency achieved by the wiping robot also has a positive impact on margins. For example, one customer deploying the wiping robot was able to reduce its production costs for the same yarn by more than 3%.

More information:
Oerlikon Barmag filament yarn
Source:

Oerlikon

VacuFil (c) Oerlikon
24.09.2020

Recycling becomes a focus

Mountains of waste, plastic-infested oceans, negative CO2 footprints – the need for more sustainable ways of living has never been more urgent. Consequently, it is logical that recycling solutions are becoming increasingly important within the textile industry. This was also tapped into at the first virtual Global Fiber Congress in Dornbirn with a session that focused specifically on the topic. In front of around 400 participants, Markus Reichwein, Head of Product Management at Oerlikon Barmag, also spoke about solutions currently on the market.

As one of only manufactureres, the Oerlikon Group’s Manmade Fibers segment offers the entire mechanical recycling chain –from preparing the recycled materials, producing the melt all the way through to the textured package. Here, the company utilizes the VacuFil solution supplied by its subsidiary Barmag Brückner Engineering (BBE) –which, in addition to mastering bottle-to-bottle and bottle-to-textile processes, is also able to process textile waste into chips. This permits the running of textile production operations very much in line with the zero-waste philosophy.

Mountains of waste, plastic-infested oceans, negative CO2 footprints – the need for more sustainable ways of living has never been more urgent. Consequently, it is logical that recycling solutions are becoming increasingly important within the textile industry. This was also tapped into at the first virtual Global Fiber Congress in Dornbirn with a session that focused specifically on the topic. In front of around 400 participants, Markus Reichwein, Head of Product Management at Oerlikon Barmag, also spoke about solutions currently on the market.

As one of only manufactureres, the Oerlikon Group’s Manmade Fibers segment offers the entire mechanical recycling chain –from preparing the recycled materials, producing the melt all the way through to the textured package. Here, the company utilizes the VacuFil solution supplied by its subsidiary Barmag Brückner Engineering (BBE) –which, in addition to mastering bottle-to-bottle and bottle-to-textile processes, is also able to process textile waste into chips. This permits the running of textile production operations very much in line with the zero-waste philosophy.

VacuFil ensures a stable process in the case of recycled quality yarns
The reliable removal of contaminants is vital for a stable and efficient spinning process and outstanding yarn quality. At the same time, stable operating conditions with minimal fluctuations are essential. The greatest challenge here is the differing qualities of the bottle flakes fed into the system, as the extrusion process is barely able to balance these fluctuations. Here, the VacuFil concept counters with blending silos, which reduce the differences in the viscosity of the polymers considerably and guarantee high yarn and fabric quality.

The VacuFil concept is installed upstream to an Oerlikon Barmag POY system, which transforms the recycled melt into filament yarn of the accustomed high quality. As texturing solutions, Oerlikon Barmag offers its state-of-the-art automatic eAFK-series systems, including the latest generation of the eAFK Evo, which was unveiled at the ITMA Barcelona last year. Yarn manufacturers wishing to continue texturing manually can use the eFK series.

With the VarioFil R+, producers of smaller batches now also have a compact system with an integrated recycled materials preparation unit at their disposal. The system offers a special extrusion system for bottle flake materials, the very latest metering and mixing technology for spin-dying and expanded 2-stage melt filtration. The four spinning positions are each equipped with an Oerlikon Barmag 10-end WINGS POY winder.

While mechanical recycling has already been extensively developed, chemical recycling for mixed fabrics is still presenting the textile industry with huge challenges. The Oerlikon Group’s Manmade Fibers segment is currently working on solutions and concepts for transforming these fabrics into new textiles.

 

More information:
Oerlikon Sustainability Yarns
Source:

Oerlikon

Oerlikon Barmag: Largest single industrial yarn order (c) Oerlikon Barmag
And the new Oerlikon Barmag systems at Fujian Billion will also be used to manufacture yarns for the automotive sector.
23.07.2020

Oerlikon Barmag: Largest single industrial yarn order

  • Textile yarn manufacturer Fujian Billion kicks off industrial yarn production

Remscheid – from the end of this year, the southern Chinese yarn manufacturer Fujian Billion Polymerization Technology Industrial Co., Ltd. will be producing industrial yarns using systems supplied by Oerlikon Barmag. With this, the company – considered to be the largest polyester yarn manufacturer in southern China – is now also entering the industrial yarn market.

With 124 positions and a capacity of around 250,000 tons per annum, this project is the largest single industrial yarn order placed with Oerlikon Barmag to date. And with this order, the southern Chinese yarn manufacturer instantly positions itself as one of the ten largest Chinese industrial yarn producers. “The systems at Fujian Billion come with our latest draw unit design, which has been optimized for use with Oerlikon Barmag automation solutions”, comments Roy Dolmans, Head of Development for the Industrial Yarn Process. As a result, the newcomer in the industrial yarn sector is now superbly equipped for the future.

  • Textile yarn manufacturer Fujian Billion kicks off industrial yarn production

Remscheid – from the end of this year, the southern Chinese yarn manufacturer Fujian Billion Polymerization Technology Industrial Co., Ltd. will be producing industrial yarns using systems supplied by Oerlikon Barmag. With this, the company – considered to be the largest polyester yarn manufacturer in southern China – is now also entering the industrial yarn market.

With 124 positions and a capacity of around 250,000 tons per annum, this project is the largest single industrial yarn order placed with Oerlikon Barmag to date. And with this order, the southern Chinese yarn manufacturer instantly positions itself as one of the ten largest Chinese industrial yarn producers. “The systems at Fujian Billion come with our latest draw unit design, which has been optimized for use with Oerlikon Barmag automation solutions”, comments Roy Dolmans, Head of Development for the Industrial Yarn Process. As a result, the newcomer in the industrial yarn sector is now superbly equipped for the future.

The well-known company – located in the Chinese Fujian Province – will be predominantly manufacturing high-tenacity (HT) and low-shrinkage (LS) yarns from the end of this year. These sophisticated yarns are deployed both in the automotive, geotextiles and safety sectors (HT yarns) and in the manufacture of coated industrial textiles such as truck tarpaulins and tents (LS yarns).

Founded in Jinjiang, Quanzhou, in 2003, Fujian Billion Polymerization Technology Industrial Co., Ltd. is one of the top 500 privately-owned enterprises in China. Annually, the yarn manufacturer produces around 2.8 million tons of filament yarn and ethylene-propylene side-by-side (ES) fibers.

Oerlikon Barmag systems convince with product diversity (c) Oerlikon
From super-low-shrinkage (SLS) through to high-tenacity (HT): depending on the configuration, Oerlikon Barmag systems are suitable for manufacturing industrial yarns with the most diverse properties.
25.06.2020

Oerlikon Barmag systems convince with product diversity

  • Industrial yarn: Capacity expansion in the high-end sector

Remscheid – the Chinese industrial yarn manufacturer Zhejiang Kingsway High-Tech Fiber Co., Ltd. is expanding its production capacities by a further 40,000 tons per annum with 5 Oerlikon Barmag lines. Kingsway is already successfully manufacturing special high-quality yarns, exclusively deploying Oerlikon Barmag industrial yarn systems.

The 21 new spinning positions will be used to manufacture a broad product range: in addition to super-low-shrinkage (SLS) and high-tenacity (HT) yarn, the business also plans to produce automotive yarns for seat belts and airbags. This flexibility is made possible as a result of the Oerlikon Barmag systems’ configuration. The new systems are expected to commence manufacturing next year.

Industrial yarns for greater safety

  • Industrial yarn: Capacity expansion in the high-end sector

Remscheid – the Chinese industrial yarn manufacturer Zhejiang Kingsway High-Tech Fiber Co., Ltd. is expanding its production capacities by a further 40,000 tons per annum with 5 Oerlikon Barmag lines. Kingsway is already successfully manufacturing special high-quality yarns, exclusively deploying Oerlikon Barmag industrial yarn systems.

The 21 new spinning positions will be used to manufacture a broad product range: in addition to super-low-shrinkage (SLS) and high-tenacity (HT) yarn, the business also plans to produce automotive yarns for seat belts and airbags. This flexibility is made possible as a result of the Oerlikon Barmag systems’ configuration. The new systems are expected to commence manufacturing next year.

Industrial yarns for greater safety

As a quality-conscious industrial yarn producer, Kingsway has been manufacturing its sophisticated, high-end yarns on Oerlikon Barmag filament yarn systems since 2015. Alex Yang Yu Long, CEO of Kingsway, is proud of relying on engineering artistry from Remscheid: “As expected, the yarns are first-class in terms of quality. Our products are used in safety equipment, sometimes in situations where lives depend on them. Therefore, there can be no compromises. To this end, we select our partners with the utmost care."

More information:
Oerlikon yarn industrial yarns
Source:

Oerlikon Manmade Fibers

Lenzig Logo
Lenzig
06.02.2020

Second pilot plant completed for TENCEL™ Luxe filament yarn

The Lenzing Group completed the second pilot production plant announced in May 2018 for its innovative filament yarn TENCEL™ Luxe. Construction of the facility at the Lenzing site involving investments of EUR 30 mn could be concluded on schedule and within budget after 20 months of intensive work. The new pilot production line, which was put into operation in the middle of December 2019, gives Lenzing sufficient capacity for commercial programs and further application development.

The Lenzing Group completed the second pilot production plant announced in May 2018 for its innovative filament yarn TENCEL™ Luxe. Construction of the facility at the Lenzing site involving investments of EUR 30 mn could be concluded on schedule and within budget after 20 months of intensive work. The new pilot production line, which was put into operation in the middle of December 2019, gives Lenzing sufficient capacity for commercial programs and further application development.

Innovation in the eco-couture segment
Thanks to TENCEL™ Luxe, Lenzing is able to embed the issue of sustainability in the premium luxury market in combination with superior aesthetics. The properties of the fine filament yarn can be compared to those of silk due to its airy feeling on the skin and the matte finish. At the same time, TENCEL™ Luxe also stands out because of its extensive strength and high level of environmental compatibility. It is perfectly suited for very fine fabrics and as a blending partner for silk, cashmere and wool. “TENCEL™ Luxe opens up new markets for Lenzing and thus contributes to the successful implementation of their sCore TEN corporate strategy.

More information:
Lenzing Group Tencel
Source:

Lenzing Group

(c) Trevira GmbH
30.01.2020

Trevira at Heimtextil 2020

The Trevira CS joint booth at Heimtextil 2020 was once again a success.

Trevira looks back on a successful trade fair appearance at Heimtexil 2020. The concept of a joint booth together with customers along with the presentation of product innovations and a special exhibition dedicated to the contract sector has once again proved its worth. Trevira hosted 31 co-exhibitors thus increasing the number of participants again compared to last year. Members of the entire textile value chain were present at the Trevira stand: from the fibre production and yarn manufacture, to the colouring, weaving and warp and weft knitting stages, to the textile editor.

Klaus Holz, CEO Trevira GmbH: „We are pleased about the very positive feedback we got on our joint booth at Heimtextil 2020 from our customers and the visitors to our stand. It shows that our concept is successful and that the booth works well as a market place for Trevira CS.”

The Trevira CS joint booth at Heimtextil 2020 was once again a success.

Trevira looks back on a successful trade fair appearance at Heimtexil 2020. The concept of a joint booth together with customers along with the presentation of product innovations and a special exhibition dedicated to the contract sector has once again proved its worth. Trevira hosted 31 co-exhibitors thus increasing the number of participants again compared to last year. Members of the entire textile value chain were present at the Trevira stand: from the fibre production and yarn manufacture, to the colouring, weaving and warp and weft knitting stages, to the textile editor.

Klaus Holz, CEO Trevira GmbH: „We are pleased about the very positive feedback we got on our joint booth at Heimtextil 2020 from our customers and the visitors to our stand. It shows that our concept is successful and that the booth works well as a market place for Trevira CS.”

Product novelties were presented in an Innovation Park. Under the headline “Recycling at Trevira” the fibre producer presented its sustainable product range and diversified approaches to recycling: flame retardant fibres are produced from residual materials, which are reprocessed in an agglomeration plant. The recyclates are then deployed in the spinning facility to make new, high-quality products consisting of 100 % pre-consumer recycled material. Recycled, flame retardant filaments are produced from PET bottles and have a recycled content of 50 %. Standard polyester spun-dyed filament yarns are also available in a recycled version. Produced from PET bottles these yarns have a recycled content of 100 %.

In order to produce flame retardant fabrics which are also high-performing  in outdoor applications, Trevira now offers six more colours in addition to the existing colour range of 24 UV-stable, spun-dyed filament yarns. Trevira had been awarded the „Brandenburger Innovationspreis Kunststoffe und Chemie 2019“ for this innovation.

Cationic dyeable fibres and filament yarns enhance the Trevira portfolio of flame retardant specialties. They are used to create melange designs in fabrics, which still represents a strong trend in the home textile sector.

To meet the ever more complex demands of the market for more flexibility in design and additional functions as well as for sustainable products Trevira has introduced an enhanced Trevira CS branding concept, consisting of the three brands Trevira CS, Trevira CS flex und Trevira CS eco. Assigned according to product features, all of them stand for tested safety.

(c) Oerlikon
16.01.2020

Domotex 2020: Manmade Fibers shows BCF S8 with new CPC-T

Market leader Oerlikon Neumag has its finger firmly on the pulse of their customers with the new Color Pop Compacting unit (CPC-T) for the BCF S8 carpet yarn plant, which is now available for the Polyamide 6 process. The new solution, which was on show from 10-13 January 2020 at the Domotex 2020 in Hannover, attracted great interest from many trade visitors.

Following the trend for multicolored carpets, BCF S8 sets new standards in regards to color separation. The plant, launched as a tricolor solution at last year’s ITMA in Barcelona, makes anything possible – from mélange to strongly separated. It promises carpet yarn producers even more flexible color mixing variants for product differentiation. The core component in this process, the Color Pop Compacting unit (CPC-T), offers more than 200,000 different color shades from three colors. The innovation, which has been filed for patent, is available for polypropylene and polyester polymers as well as for the polyamide 6 process.

Market leader Oerlikon Neumag has its finger firmly on the pulse of their customers with the new Color Pop Compacting unit (CPC-T) for the BCF S8 carpet yarn plant, which is now available for the Polyamide 6 process. The new solution, which was on show from 10-13 January 2020 at the Domotex 2020 in Hannover, attracted great interest from many trade visitors.

Following the trend for multicolored carpets, BCF S8 sets new standards in regards to color separation. The plant, launched as a tricolor solution at last year’s ITMA in Barcelona, makes anything possible – from mélange to strongly separated. It promises carpet yarn producers even more flexible color mixing variants for product differentiation. The core component in this process, the Color Pop Compacting unit (CPC-T), offers more than 200,000 different color shades from three colors. The innovation, which has been filed for patent, is available for polypropylene and polyester polymers as well as for the polyamide 6 process.

Polyester, recycling polyester and fine titers are on trend
During numerous conversations with customers, Martin Rademacher, Head of Sales Oerlikon Neumag, observed a noticeable trend for polyester in the carpet industry even outside the USA. Sustainable solutions are equally sought after: “Our customers increasingly demand plants that can process recycled polyester,” explains Martin Rademacher.

The Manmade Fibers segment presented an additional solution by Oerlikon Barmag for polyester applications that need fine single filament titers from 0.5 dpf and high filament counts: Puffy, soft polyester filament yarns with BCF-similiar properties are produced on the basis of a POY and texturing process. Core components of the processes are the POY take-up unit WINGS HD as well as the new texturing machine eAFK Big-V.

(c) Schoeller Textil AG
17.05.2019

Industrial partnership wear2wear: recycled, recyclable and PFC-free functional fabrics

wear2wear is an innovative industrial partnership dedicated to high-quality and sustainable clothing. Five expert partners in Europe have come together to cover the entire recycling loop. On cutting-edge production systems, textile fibres from used clothing will be turned into functional fabrics. Schoeller Textil AG is supplying a wholistic textile portfolio for the workwear area. At Schoeller Textil, the recyclable, functional fabrics from the wear2wear concept belong to the Inspire fabric group. These are high-quality protective workwear fabrics made of 100 percent polyester, which offer the greatest clothing comfort and often feel just like cotton. They are also compliant with the stringent requirements of the bluesign® system.

wear2wear is an innovative industrial partnership dedicated to high-quality and sustainable clothing. Five expert partners in Europe have come together to cover the entire recycling loop. On cutting-edge production systems, textile fibres from used clothing will be turned into functional fabrics. Schoeller Textil AG is supplying a wholistic textile portfolio for the workwear area. At Schoeller Textil, the recyclable, functional fabrics from the wear2wear concept belong to the Inspire fabric group. These are high-quality protective workwear fabrics made of 100 percent polyester, which offer the greatest clothing comfort and often feel just like cotton. They are also compliant with the stringent requirements of the bluesign® system.

The sustainable wear2wear concept is synonymous with high-quality, responsible clothing. In European operations, textile fibres from used garments are used to produce new functional fabrics. Depending upon the area of intended use, they also meet strict waterproofing, breathability, protection and comfort requirements. To ensure that the raw material cycle comes full circle, these textiles can be recycled again when they reach the end of their service life. As a result, there is no waste, and they go on to produce new garments. As the wear-2-wear partner companies guarantee that – from the quality of the raw materials to the guaranteed recycling end process – these are 100 percent recyclable, functional fabrics made of recycled textile fibres. Water- and dirt-repelling technologies based on renewable raw materials, along with the most advanced membrane technology, will ensure that the textiles are manufactured and impregnated entirely without the use of PFC in the future too.

Five partner companies  
The five European partner companies in the wear2wear cooperation cover the entire recycling loop. Heinrich Glaeser Nachfolger GmbH is a German fibre and yarn producer and the “recycler” in the loop. Märkischen Faser GmbH (D) is the “upcycler” and fibre manufacturer. Carl Weiske GmbH & Co. KG (D) develops the polymers, fibres, yarns, chemical additives and textile systems, and TWD Fibres GmbH (D), a fully-integrated filament yarn producer, covers the entire range of polyester and polyamide 6.6 continuous filament yarns. Schoeller Textil AG, the innovative Swiss company, is responsible for textile production and manufactures sustainable high-tech fabrics with maximum clothing comfort. The matching climate-neutral and similarly 100 percent recyclable PTFE and PFC-free membrane, as well as recycled outer materials and linings, are supplied by Sympatex Technologies (D), the ecological alternative among the textile function specialists. DutchSpirit is a Dutch company which has been dedicated to environment-friendly clothing since 2010. Its mission is to significantly increase the awareness for sustainable clothing and offer recyclable clothing in the workwear segment. DutchSpirit is the initiator for the development of the Inspire products from Schoeller Textil and provided the inspiration for the wear2wear concept. Further garment-making partners who now also belong to the cooperative group include: Anchor Workwear BV (NL), Hüsler Berufskleider AG (CH), Groenendijk Bedrijfskleding BV (NL), Bedrijfskledingdiscounter BV (NL) and Rifka'S (NL).

(c) Lenzing AG
07.11.2018

Lenzing Group reports solid results in a demanding market environment

Decline in revenue due to lower prices for standard viscose, less favorable currencies and lower production volume

  • Pressure on prices for key raw materials remains high
  • Positive impact due to focus on specialty fibers and further optimization of the product mix
  • Expansion project in Mobile temporarily mothballed
  • Acquisition of the remaining 30 percent of Lenzing (Nanjing) Fibers Co. Ltd.

The Lenzing Group recorded a solid business development in the first three quarters of 2018. The decline in revenue and earnings compared with the same period of the previous year was essentially based on a mix of lower prices for standard viscose, more unfavorable exchange rates and price increases for key raw materials. The Lenzing Group’s strategic orientation with a focus on specialty fibers had a positive impact in this environment.

Decline in revenue due to lower prices for standard viscose, less favorable currencies and lower production volume

  • Pressure on prices for key raw materials remains high
  • Positive impact due to focus on specialty fibers and further optimization of the product mix
  • Expansion project in Mobile temporarily mothballed
  • Acquisition of the remaining 30 percent of Lenzing (Nanjing) Fibers Co. Ltd.

The Lenzing Group recorded a solid business development in the first three quarters of 2018. The decline in revenue and earnings compared with the same period of the previous year was essentially based on a mix of lower prices for standard viscose, more unfavorable exchange rates and price increases for key raw materials. The Lenzing Group’s strategic orientation with a focus on specialty fibers had a positive impact in this environment.

Revenue decreased by 5.2 percent to EUR 1,636.2 mn over the comparative period of the previous year. Apart from the high starting base, this was primarily attributable to the expected challenging market environment for standard viscose, less favorable exchange rates and lower production volume. EBITDA (earnings before interest, tax, depreciation and amortization) recorded a decline by 26.8 percent to EUR 290.6 mn due to price increases for key raw materials and higher energy and dissolving wood pulp prices. The EBITDA margin dropped from 23 percent in the first three quarters of the previous year to 17.8 percent. EBIT (earnings before interest and tax) fell by 36.2 percent to EUR 190.3 mn, leading to a lower EBIT margin of 11.6 percent (01-09/2017: 17.3 percent). Net profit for the period dropped by 39 percent from EUR 219.3 mn in the previous year to EUR 133.8 mn. Earnings per share equaled EUR 5.06 (01-09/2017: EUR 8.12).

“The Lenzing Group is currently operating in a challenging environment. Against this background, we are satisfied with the solid business development and the corporate strategy sCore TEN has a positive impact. The new production line in Heiligenkreuz started up successfully and customers’ feedback has been positive,” says Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “While many viscose producers are faced with a very tense profit situation, we are well positioned due to our specialty strategy and still expect a satisfactory full year”, Doboczky adds.

Key strategic measures were implemented during the first three quarters of 2018 in line with the sCore TEN strategy. The start-up of new capacities for lyocell fibers in Heiligenkreuz, the production start of LENZING™ ECOVERO™ fibers at the Nanjing site and the investment in another pilot line for TENCEL™ Luxe filaments are important steps to accomplish the goal of increasing the share of specialty fibers in total revenue.

Project in Mobile temporarily mothballed
Due to the decision to temporarily mothball the lyocell expansion project in Mobile, Alabama (USA), in view of the buoyant US labor market and trade tensions between the major trading blocks, the implementation of the expansion plan for specialty staple fibers will be slowed down. The Lenzing Group will put all its effort to readjust the execution of its growth plan to meet strong market demand for its lyocell fibers. This includes an increased focus on the lyocell expansion project in Prachinburi (Thailand).

Advancing forward solutions
Regarding the capacity expansion for specialty products such as TENCEL™ Luxe filaments and LENZING™ ECOVERO™ viscose fibers, Lenzing is still on track. After the introduction of TENCEL™ Luxe branded lyocell filament yarns in the previous year, Lenzing continues to drive innovations in the area of the value chain. In September, the company also announced the successful development of the LENZING™ Web Technology, a new technology platform focusing on sustainable nonwoven products, which will lead to new market opportunities for the industry. Following several years of research and development work and investments totaling EUR 26 mn, the pilot plant at the headquarters in Lenzing has been successfully put into operation.

Largest dissolving wood pulp line worldwide
At the end of June, the Lenzing Group and Duratex, the largest producer of industrialized wood panels of the southern hemisphere, announced that they had agreed on the terms and conditions to form a joint venture to investigate building the largest single line dissolving wood pulp plant in the state of Minas Gerais (Brazil). This decision supports the self-supply with dissolving wood pulp and the growth in specialty fibers. The joint venture is investigating the construction of a 450,000 t dissolving wood pulp plant, which is expected to become the largest and most competitive single line dissolving wood pulp plant in the world. The final investment decisionto build the dissolving wood pulp plant is subject to the outcome of the basic engineering studies and the approval by the respective supervisory boards.

Acquisition of Chinese operation
At the beginning of November the takeover by the Lenzing Group of the remaining 30 percent of its Chinese subsidiary Lenzing (Nanjing) Fibers Co. Ltd. (LNF) from its state-owned joint venture partner NCFC was completed. After closing of the transaction, the Lenzing Group will hold 100 percent of LNF. The acquisition will have a negative impact on net profit of approx. EUR 21 mn for the fiscal year 2018. The purchase of the shares supports Lenzing’s strategic growth as a producer of specialty fibers from the renewable raw material wood in China and worldwide. It paves the way to setting up further production lines for specialty fibers. Lenzing wants to convert LNF into a specialty fibers hub over time.

Expansion of capacities
CAPEX (investments in intangible assets and property, plant and equipment) rose by 35.5 percent year-on-year to EUR 174.1 mn in the first three quarters of 2018. This is primarily attributable to capacity expansions in Heiligenkreuz and the expansion of the existing dissolving wood pulp plant in Lenzing as well as the investments made so far in Mobile.

Outlook
Demand development on the global fiber market remains positive. Lenzing expects wood-based cellulosic fibers to continue to grow at a higher rate than the overall fiber market. In a challenging market environment the Lenzing Group expects solid results for 2018, albeit lower than in the outstanding last two years.

For 2019, Lenzing expects standard viscose markets to remain under pressure because of an ongoing oversupply and very high raw material prices. Lenzing’s specialty fiber business is expected to continue the very positive development.

The above-mentioned development reassures the Lenzing Group in its chosen corporate strategy sCore TEN. Lenzing is very well positioned in this market environment and will continue its consistent focus on growth with specialty fibers.

More information:
Lenzing Group
Source:

Lenzing AG

Lenzing invests in new capacities for TENCEL Luxe (c) Lenzing
23.05.2018

Lenzing invests in new capacities for TENCEL Luxe

  • Market success above expectations
  • Product and market development accelerated
  • Investment up to EUR 30 mn

Lenzing – The Lenzing Group is setting another milestone as a specialist for extremely high-quality products made of the renewable raw material wood. Capacities will be significantly expanded due to strong demand for Lenzing’s TENCELTM Luxe filament yarn which was first launched on the market just a few months ago. Lenzing will invest up to EUR 30 mn in a further pilot line at the Lenzing site. Basic engineering for construction of the new facility has already been initiated.

  • Market success above expectations
  • Product and market development accelerated
  • Investment up to EUR 30 mn

Lenzing – The Lenzing Group is setting another milestone as a specialist for extremely high-quality products made of the renewable raw material wood. Capacities will be significantly expanded due to strong demand for Lenzing’s TENCELTM Luxe filament yarn which was first launched on the market just a few months ago. Lenzing will invest up to EUR 30 mn in a further pilot line at the Lenzing site. Basic engineering for construction of the new facility has already been initiated.

“Thanks to TENCELTM Luxe, Lenzing is currently positioning itself in the premium luxury market and is embedding the issue of sustainability there in combination with superior aesthetics”, says Robert van de Kerkhof, Chief Commercial Officer of the Lenzing Group. “The fine filament yarn is comparable to natural silk due to its airy feeling on the skin and the matte finish. It is perfectly suited for very fine fabrics made exclusively from this yarn and as a blending partner with silk, cashmere and wool”, he adds.

“On the occasion of the launch of TENCELTM Luxe filaments, the luxury brands already realized what opportunities they would have by using this yarn made of the renewable raw material wood. For this reason, demand is already so high that we have decided to take an intermediate step to expand capacities before building a large commercial production plant. The decision to construct a new line will serve as the basis for generating a three-fold increase in capacity compared to the previous volume. The additional capacity will be available to customers at the end of next year”, states Stefan Doboczky, Chief Executive Officer and Chairman of the Management Board of the Lenzing Group. “The Lenzing site was selected because research and technological know-how in plant construction are connected in a special way, which will in turn enable us to further develop this special product”, Doboczky adds.

The new capacities will enable Lenzing to more effectively fulfil the needs of customers for TENCELTM Luxe filament yarn than in the past. At the same time, Lenzing will press ahead with technical planning for a large-scale commercial line at the Lenzing site.

This strong level of demand is further evidence of the Lenzing Group’s innovative strength. The yarn is opening up new markets for the company in the eco-couture segment, thus contributing to the successful implementation of the sCore TEN strategy.

Lenzing Group with substantial earnings increase in the first nine months of 2017 ©The Lenzing Group
Lenzing Group Vorstand
15.11.2017

Lenzing Group with substantial earnings increase in the first nine months of 2017

  • Revenue up 9.4 percent to EUR 1,726.6 mn
  • EBITDA improvement of 23.9 percent to EUR 397.1 mn
  • Retail bond of EUR 120 mn redeemed – Lenzing with net liquidity as at end of September
  • State-of-the-art application innovation center opened in Hong Kong

Lenzing – The Lenzing Group generated a substantial increase in revenue and earnings in the first nine months of the 2017 financial year compared to the prior-year period. The company is continuing the implementation of its Group strategy sCore TEN in order to further expand the offering of specialty fibers and be even closer to its customers and business partners.

  • Revenue up 9.4 percent to EUR 1,726.6 mn
  • EBITDA improvement of 23.9 percent to EUR 397.1 mn
  • Retail bond of EUR 120 mn redeemed – Lenzing with net liquidity as at end of September
  • State-of-the-art application innovation center opened in Hong Kong

Lenzing – The Lenzing Group generated a substantial increase in revenue and earnings in the first nine months of the 2017 financial year compared to the prior-year period. The company is continuing the implementation of its Group strategy sCore TEN in order to further expand the offering of specialty fibers and be even closer to its customers and business partners.

Consolidated revenue climbed 9.4 percent year-on-year to EUR 1,726.6 mn. This increase is mainly attributable to higher prices for all three fiber generations. Consolidated earnings before tax, depreciation and amortization (EBITDA) rose 23.9 percent to EUR 397.1 mn, corresponding to an EBITDA margin of 23 percent, up from 20.3 percent in the prior-year period. Earnings before interest and tax (EBIT) increased by 34.6 percent to EUR 298.4 mn, resulting in a higher EBIT margin of 17.3 percent (Q1-3 2016: 14 percent). The profit for the period improved by 35.3 percent to EUR 219.3 mn, and earnings per share rose 36 percent to EUR 8.12 per share. In September Lenzing redeemed the retail bond of EUR 120 mn. At the end of the reporting period the Group had net liquidity of EUR 16.9 mn.

“In the first three quarters of 2017, we successfully captured value in a very positive market environment and we continue to implement the sCore TEN strategy with great discipline. The opening of our new application innovation center in Hong Kong is an important step to boost our regional innovation capabilities. We were particularly proud to launch TENCELTM Luxe as a sign of Lenzing’s ongoing commitment to innovation and sustainability”, states Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “After three excellent quarters we are confident to deliver substantially better operating results in 2017 compared to 2016, but at the same time we do expect more headwinds in 2018.”

Focus on customer intimacy

In September 2017, the Lenzing Group opened a new application innovation center (AIC) in Hong Kong, thus setting a further milestone in strengthening its innovation offering to all partners along the value chain. New applications for Lenzing fibers will be developed and tested at the new facility, among them applications for recent innovations such as the TENCELTM Luxe branded lyocell filament, the RefibraTM branded lyocell fiber and the EcoVeroTM branded viscose fiber.

Furthermore, new sales and marketing offices were opened in Turkey and South Korea in the first half of 2017. The direct contact to customers and well-equipped showrooms featuring products made of LenzingTM fibers serve as the basis for providing even better customer support.

Investment program in progress

The Lenzing Group aims to increase the share of specialty fibers as a percentage of revenue to 50 percent by 2020. Following the capacity expansion initiatives in Heiligenkreuz (Austria) and Mobile, Alabama (USA) which are both underway, Lenzing announced its intention to construct the next plant to produce TENCEL® fibers in Thailand.

A new era of sustainable production

In October 2017, the Lenzing Group presented a new product, TENCELTM Luxe, at an exclusive event held in Paris. The TENCELTM Luxe branded filament yarn represents Lenzing’s entry in the filament market. This fiber will support the Lenzing Group’s path towards becoming a true specialty player in the market for botanic materials derived from the sustainable raw material wood.

The launch volumes of TENCELTM Luxe are being produced at the Lenzing site. The basic engineering for a commercial scale plant was commenced.

Outlook
Demand development on the global fiber market remains positive within the context of a generally friendly macroeconomic environment. Lenzing expects wood-based cellulose fibers to grow at an even higher rate than the overall fiber market. After three excellent quarters, the Lenzing Group will achieve an operating result in 2017 that is significantly better than 2016.

For 2018, Lenzing sees a number of somewhat opposing factors that limit visibility regarding fiber price developments. Overall market demand is expected to remain high. However, the Group expects a substantial increase on the supply side, especially for viscose but also for cotton. Price trends for selected key raw materials, especially caustic soda, are difficult to predict. Against this background the Lenzing Group expects a much more challenging market environment for standard viscose during the upcoming quarters.

The above-mentioned development reassures the Lenzing Group in its chosen corporate strategy sCore TEN. The Group initiated its transformation from a volume-oriented viscose player to a value-oriented specialty fiber player at the end of 2015, and will continue the disciplined implementation of its business strategy.

Key Group indicators (IFRS) in EUR mn

 

 

 

 

 

 

 

 

 

 

Sustainable in many different ways: recycling at Trevira © Trevira GmbH
Sinfineco-Label
05.10.2017

Sustainable in many different ways: recycling at Trevira

Bobingen - On the 4th October 2017 a new brand was introduced at Trevira: Trevira SINFINECO®. This label may be carried by all textiles that contain sustainable Trevira products. Sustainable, innovative, high-value and responsible – these are the values the new brand stands for.

As an industrial enterprise, Trevira is conscious of its special responsibility for an intact environment and has long advocated the recycling of valuable raw materials and waste products. Trevira CEO Klaus Holz: “We at Trevira wish to preserve the environment and at the same time work to create value. These are the criteria of our sustainability concept.“

Creation of the new brand is therefore only a logical step, one that enables customers to label their sustainable Trevira products as such. Trevira is known for the high quality of its products. In every way recycled products are as good as the original materials in terms of quality and performance.

Two vital elements in Pre-Consumer Recycling and an important concept in Post-Consumer Recycling form part of the sustainability strategy of Trevira to conserve resources and maintain value. :

Bobingen - On the 4th October 2017 a new brand was introduced at Trevira: Trevira SINFINECO®. This label may be carried by all textiles that contain sustainable Trevira products. Sustainable, innovative, high-value and responsible – these are the values the new brand stands for.

As an industrial enterprise, Trevira is conscious of its special responsibility for an intact environment and has long advocated the recycling of valuable raw materials and waste products. Trevira CEO Klaus Holz: “We at Trevira wish to preserve the environment and at the same time work to create value. These are the criteria of our sustainability concept.“

Creation of the new brand is therefore only a logical step, one that enables customers to label their sustainable Trevira products as such. Trevira is known for the high quality of its products. In every way recycled products are as good as the original materials in terms of quality and performance.

Two vital elements in Pre-Consumer Recycling and an important concept in Post-Consumer Recycling form part of the sustainability strategy of Trevira to conserve resources and maintain value. :

In the area of Pre-Consumer Recycling, on the one hand, residual materials resulting from the manufacture of polyester fibres and filaments in Bobingen and Guben, dependent on the manufacturing step, are processed in the agglomeration plant and restored to become serviceable primary material. The recyclates are then fed back to our fibre and filament spinning mills, to be made into new top-quality products.

On the other hand, in fibre production there occurs in the manufacture of tow a small proportion of tow that cannot be used for converting and has to be cut out. Instead of selling this material as waste, it is cut up, pressed into balls and then carded / combed by a partner, resulting in a 1A quality product. The GRS certification (Global Recycled Standard) is requested for this. As with converter tow from new material, the recycled tow is mostly incorporated into polyester wool blends (55 % PET / 45 % wool), which are used primarily in corporate wear and uniforms.

In the area of Post-Consumer Recycling, Trevira offers filament yarns consisting of 100 % recycled PET bottles. Our parent company Indorama manufactures very high quality recycled chips from PET bottles. Since only transparent PET bottles are used in Thailand, the flakes and chips are of a particularly good and very uniform quality. The recycled chips, fibres and filaments from Indorama bear the GRS certificates (Global Recycled Standard) and RCS-NL (Recycled Claim Standard). Trevira processes the regranulate made by Indorama from bottle flakes into filament yarns consisting 100 % of recycled material. The filament yarns are available in titres 167 and 76 dtex normal polyester. Alongside technical applications, they are used in the automotive and apparel sectors. In addition, many promising developments with the recycled material are on their way.