From the Sector

KARL MAYER GROUP has developed a sophisticated system for considerable energy savings when operating the cylinder dryers in its PROSIZE® sizing machines and BLUEDYE dyeing plant.

Saving costs with inline energy recycling
The innovation is called CASCADE and focuses on steam as a heating medium in cylinder dryers. And for good reason: according to the IPCC report by ITMF Zurich, one tonne of steam cost between USD 20 and just under USD 27 internationally in 2021. The new solution relies on reuse to reduce the amount of process energy required.
"CASCADE recirculates parts of the process steam in cylinder dryers, enabling genuine, efficient energy recycling within the machine," explains Karl-Heinz Vaassen, Head of Textile Drying at KARL MAYER.
The customer benefits from significantly lower energy costs and CO2 emissions. With a view to the Asian market, a dryer with 14 cylinders and a running time of 7,000 working hours can achieve cost savings of up to USD 17,000 per year.

Precise, real savings values are available when looking at the machine dashboard. A sensor provides real-time data on the amount of steam circulating in the circuit, from which the corresponding reduction in CO2 equivalents can be calculated.

Utilizing the pressure drop
CASCADE reuses part of the invested process energy and uses the flash-steam in conjunction with the pressure ratios, which - nomen est omen - decrease in cascades in the different zones of the cylinder dryer.
The highest working pressure prevails in the first cylinder section. The heat transfer medium steam emits large amounts of energy for yarn drying and condenses without temperature loss.

The resulting hot condensate is not immediately discharged from the machine, but is instead fed into a flash tank, where vapor exhaust is formed as a result of the pressure reduction. In conventional systems, the carrier medium for gases is only created in the return line towards the boiler house and is eliminated as undesirable. Instead of being utilised in the process, it escapes into the environment. With the CASCADE system, this "freshly recycled steam" is used for the heat supply in the second cylinder section, but not without prior treatment.

In the system patented by KARL MAYER, the recycled steam is intelligently mixed with live steam and thus raised to the level of the required process conditions for use in the cylinder section at the end of the dryer. Here, the fabric moisture is reduced to the desired residual value at medium pressure and temperature conditions.

Market launch is underway
CASCADE was filed for patent by the KARL MAYER GROUP. It was published in September 2023.
The innovative solution at no extra charge was presented at ITM 2024 in Istanbul and was a visitor highlight at the KARL MAYER GROUP stand.

From January 2024, CASCADE will be part of the PROSIZE® as standard. The first sizing machine with the upgrade for greater energy efficiency will be delivered in the second quarter of this year. It will go to a manufacturer in Europe. In the next step, CASCADE will be integrated into other dryer types and will also be available for the BLUEDYE.

Rieter’s cumulative sales in the first nine months of 2023 amounted to CHF 1 092.9 million (2022: CHF 987.4 million), an increase of 11% compared to the prior-year period. In particular, supply bottlenecks eased slightly, which allowed more machines to be delivered than in the same period last year. Sales in the third quarter of 2023
were CHF 334.7 million (Q3 2022: CHF 366.8 million).

The Business Group Machines & Systems generated total sales of CHF 749.6 million in the first nine months of 2023 (+18%). The Business Group Components posted sales of CHF 206.8 million, 11% lower than in the corresponding period of the previous year, while the Business Group After Sales recorded growth of 13% to CHF 136.5 million in the first nine months of 2023.

Order intake in the reporting period was characterized by restrained investment in new machinery in almost all regions except China. Demand for consumables, wear & tear and spare parts continued to weaken due to the slowdown in spinning mill capacity utilization. Rising interest rates and high energy and raw material prices also had a dampening effect.

In this market environment, the Rieter Group received orders totaling CHF 452.2 million in the first nine months of 2023 (2022: CHF 1 095.8 million). In the third quarter of 2023, orders decreased by 44% year-on-year to CHF 127.2 million (2022: CHF 226.4 million).

Rieter expects the market to have bottomed out in the year 2023 and anticipates a gradual market recovery in the course of the 2024 financial year.

As of September 30, 2023, Rieter has an order backlog of around CHF 900 million (September 30, 2022: CHF 2 000 million). The current order backlog will allow good capacity utilization at the production facilities into the coming year. The cancellation rate in the reporting period was within the usual range, averaging around 5% of the order backlog, with a slight downward trend.

In July 2023, the Group launched the “Next Level” performance program aimed at strengthening sales excellence, sharpening customer focus, improving cost efficiency in production and optimizing fixed cost structures. By taking these measures, Rieter intends to create the basis for providing an even more agile response to the cyclical nature of the machinery business. The objective of the planned initiatives is to ensure the profitable and sustainable development of the group.

The performance program includes provisions for the net reduction of approximately 300 positions in overhead functions across the group, primarily in Germany and Switzerland. The consultation processes initiated with the employee representatives in Ingolstadt (Germany) and Winterthur (Switzerland) were completed in the third quarter of 2023. The majority of these workforce reductions are expected to be implemented by the end of December 2023.

Due to the current market situation, further market- and volume-related adjustments in the range of 400 to 600 positions will be necessary, mainly in production. However, the actual number of positions to be reduced depends on the order intake in the coming months.

Rieter continues to expect that the strategic and operational measures initiated will result in one-off restructuring costs of around CHF 45 to 50 million, which will impact earnings in the 2023 financial year.

Outlook for the full year 2023 confirmed
As announced on July 20, 2023, in view of the economic situation and the ongoing cyclical market weakness, Rieter continues to expect below-average demand for new equipment in the coming months. A revival is not anticipated until the end of 2023 at the earliest. Likewise, Rieter believes that demand for consumables, wear & tear and spare parts will not recover until towards the end of 2023.

For the full year 2023, Rieter expects an EBIT margin of around 5 to 7% (including positive special effects of less than 2%) and sales at the previous year’s level of around CHF 1.5 billion.

In the first half of 2023, Rieter recorded a significant increase in sales of 22.2% to CHF 758.2 million, despite some cancellations or postponements of deliveries as a result of the earthquake in Türkiye. Cyclical market downturns in the individual market segments, which were already apparent in the second half of 2022, led to an order intake of CHF 325.0 million (-62.6%) in the reporting period, lower than in the corresponding period of the previous year.

Order intake in almost all regions was characterized by the reluctance to invest in new machines. Only in China did order intake increase due to investments by spinning mills in improving their local competitiveness. In addition, some customers held back pending investment decisions and waited for the innovations presented at ITMA in Milan in June 2023. At the same time, demand for consumables, wear & tear and spare parts declined due to the global market downturn.

On June 30, 2023, the company had a high order backlog of around CHF 1 100 million (June 30, 2022: around CHF 2 100 million). This therefore extends into the year 2024. As in the previous year, cancellations in the reporting period were around 5% of the order backlog, also impacted by the effects of the severe earthquake in Türkiye.

In the first half of 2023, Rieter posted a profit of CHF 25.2 million at the EBIT level, with an EBIT margin of 3.3% (first half of 2022: loss of CHF -10.2 million) and a net profit of CHF 13.3 million (first half of 2022: loss of CHF -25.2 million).

“Next Level” performance program planned
The challenging market situation over the past two years was marked by severe disruptions in the global supply chain in conjunction with rising material, energy, labor, and production costs. The current global demand for textile products remains at a low level. To increase long-term value for customers, employees, and shareholders, Rieter, as technology leader, is planning a performance program called “Next Level”. The goal of the program is to strengthen sales excellence, sharpen customer focus, improve cost efficiency in production and optimize fixed cost structures. The one-time cost of the program is anticipated to be around CHF 45 to 50 million, which will have an impact on the second half of 2023. Most of the program initiatives will be implemented before the end of 2023 with a view to achieving an expected impact from as early as 2024. With these measures Rieter is aiming to reduce operating costs by some CHF 80 million per year.

The program includes provisions for the net reduction of around 300 positions throughout the Group in relation to overhead functions. The possibility of further market- and volume-related adjustments in the order of 400 to 600 positions cannot be excluded. At the end of June 2023, Rieter had a global workforce of 5 555 employees.

Outlook
Given the economic situation and the ongoing cyclical market weakness, Rieter continues to expect below-average demand for new equipment in the coming months. A revival is not expected until the fourth quarter of 2023 at the earliest. Rieter also believes that demand for consumables, wear & tear and spare parts will not recover until later in 2023.

For the full year 2023, Rieter expects an EBIT margin of around 5 to 7% (including positive special effects of less than 2%) and sales at the previous year’s level of around CHF 1.5 billion.

On June 1, EREMA hosted the EREMA Discovery Day focusing on the post consumer segment from a European perspective. Live demonstrations showcased the latest machine innovations for PET and polyolefin recycling.

The invitation was accepted by around 400 customers and partners, mainly from Europe, to find out about the wide range of recycling technologies for PO and PET plastic waste. The technology that was presented and explained by EREMA experts and guest speakers during lectures in the morning, could then be seen live in-action in the afternoon when the recycling machines were demonstrated in operation. A total of six innovative recycling technologies were on display: INTAREMA® TVEplus® DuaFil® Compact, INTAREMA® TVEplus® RegrindPro® + ReFresher, the COREMA® cascade extrusion system, a VACUREMA® Inline Sheet line equipped with new EcoGentle technology, the new INTAREMA® FibrePro:IV machine, and the PCU-
TwinScrew. These allowed visitors to witness their performance and the high quality of recycled pellets that they produce.

"This wide range of technologies is necessary because the recycling process each of our customers choose depends on the type of plastic, the level of contamination of the input material, and which product will be made using the recycled pellets. Following the expansion of our Ansfelden site and with the new site nearby in St. Marien, we can now demonstrate all these processes, carry out test runs with customers' material and focus on development work independently of our Customer Centre," says EREMA's Managing Director Markus Huber-Lindinger.

EREMA is driving forward research and development work in the company's new R&D Centre. Two halls with a total area of 1,550 square metres and a new office building offering space for 50 workplaces has been built. Here, the company bundles cross-departmental test machines and laboratory facilities for post consumer and inhouse recycling applications. R&D is decentralised at EREMA. Employees from different departments handle process engineering challenges, innovations in mechanical engineering and automation technology - all with the aim of meeting customer requirements and achieving the highest possible quality of recycled pellets.  

On the evening before Discovery Day, EREMA celebrated its 40th anniversary together with customers and partners. A review covered the company's history - from the first workshop in a garage in 1983, to its position today as a innovation pioneer and one of the market leaders.

In the run-up to ITMA, VDMA is presenting an overview of the textile recycling technologies offered by member companies exhibiting at ITMA. VDMA and its members are committed to a responsible use of all resources used in textile production. VDMA members create the technical prerequisites for the efficient reuse and recycling of textile raw materials.

In the spirit of the circular economy, VDMA companies offer solutions for the entire processing and production chain. The production programme and services include equipment and technologies for recycling textile production waste, textiles, textile auxiliaries or waste heat and for processing recycled materials into textiles.

An overview of the available technologies is provided here: Way2ITMA-Recycling
The short descriptions of the solutions offered by the member companies are structured according to the following headings:

• Recycling of textile production waste and textiles
• Recycling of caustic soda and waste heat
• Processing of recycled materials

From April 25^th to 27^th, 2023, the Institute of Textile Machinery and High Performance Material Technology (ITM) of TU Dresden will be exhibiting at the pavilion SAXONY! at JEC World 2023.

The ITM will provide a comprehensive overview of its current research in the field of machine and product development along the entire textile process chain.

The upcoming JEC 2023 exhibition will highlight innovative Customised Connective Cores (CCC), which are custom-made core-insert structures additively manufactured using cellular metal and a form-fit integrated insert. These CCCs can be seamless integrated either as patches or as full-surface core material into lightweight panels, offering significantly improved load-bearing behavior (especially 4 times the load-bearing capacity and fail-safe behavior) compared to existing technologies. This breakthrough opens up new possibilities for fastening lightweight panels.

Another highlight at the exhibition is the repair process for fibre-reinforced composites (FRP) developed at the ITM. Instead of mechanically grinding the damaged area, the matrix in the repair area is locally dissolved using a UV-rays-induced depolymerisation process. Damaged fibres can thus be replaced by a customized repair patch. Free yarn ends on the textile repair patches are spliced with the UV-exposed yarn ends in the repair area using an adapted splicing process. In this way, a very clean, simplified and mechanically improved repair area can be achieved compared to the state of the art.

The diverse possibilities offered by the structure and process simulation of textile high-performance materials and textile manufacturing processes will also be presented. By means of multi-scale modelling and simulation, a profound understanding of materials and processes is achieved at the ITM. Finite element models on the micro, meso and macro scale have been developed and validated for this purpose. Examples from current ITM research projects demonstrate the various possibilities and areas of application of modern simulation methods in the field of textile technology.

Moreover, an innovative process for the integral manufacturing of 3D rib-stiffened preforms with complexly arranged stiffeners in 0°, 90° and ± 45° orientation was developed and successfully implemented at the ITM. Due to the process-integrated structure fixation and the continuous fibre reinforcement between shell and rib structure, the 3D preforms are perfectly suited for the production of highly load-bearing FRP components with increased bending stiffness, which will be exhibited at JEC. Hence, the lightweight construction potential of high-performance fibres can be fully exploited.

A successfully established development are partially flowable 2D textile reinforcement fabrics that are continuously manufactured in one single process step. For this purpose, the entire process chain was developed at the ITM, which allows a cost-effective and high-volume production of load-bearing thermoplastic 3D FRP components with continuous fibre reinforcement between shell and stiffeners.

At JEC 2023, the ITM will also present a partially embedded textile latice girder as reinforcement for carbon concrete applications, which was produced by means of an innovative textile manufacturing process based on the multiaxial warp knitting technology. Through the development of a customized warp insertion, manipulation and take-off system as well as appropriate shaping methods, it is now possible to produce tailored textile semi-finished products, e.g. for use in wall and ceiling panels. These textile latice girders represent a resource-saving alternative to conventional steel girders due to the reduced among of concrete required and the additional cavity for media and cable guidance.

The integration of textile actuators and sensors in FRP provides structures with additional functionalities. The research and application of such interactive FRP with different matrix materials (e.g. with thermoset, elastomer or concrete matrix systems) for structural health monitoring or adaptive systems is one of the key research areas of the ITM.

Moreover, the development and implementation of innovative yarn constructions based on recycled high-performance fibres (e.g. rCF, rGF, rAR) for sustainable FRPs is successfully promoted at ITM. By use of a special carding machine, recycled fibres are opened up, separated and joined to form a wide, uniform ribbon. Subsequently, innovative hybrid yarn constructions made of evenly mixed recycled high-performance and thermoplastic fibres with variable fibre volume fractions can be manufactured by means of various spinning technologies. Selected yarn constructions and components will be showcased at JEC.

Norbert Klapper, who has led Rieter as CEO for nine years, has informed the Board of Directors that he wishes to take on new professional challenges. Thomas Oetterli has been appointed as his successor as CEO of Rieter.

Thomas Oetterli (53) has made a significant contribution to the successful development of the world-leading Schindler Group, starting in 2006 as CEO Switzerland, later as a member of the Group Executive Committee responsible for Europe and China, and from 2016 until 2022 as CEO of the Group. With his comprehensive leadership skills and many years of industrial and international experience, Thomas Oetterli brings ideal prerequisites to lead Rieter as a global market leader through the current challenges and successfully develop it further in the long term. He will take over the function of CEO from Norbert Klapper on March 13, 2023.

The Board of Directors would like to thank Norbert Klapper for his many years of hard work for Rieter and his lasting contribution to the company, particularly in terms of further strengthening its technology leadership, developing the components and service business, completing the systems offering. Following his departure as CEO, he will be available to the Chairman of the Board of Directors as Senior Advisor until the end of September 2023.

In view of the current challenges Rieter is facing in the current economic and market situation, which require close cooperation between the Board of Directors and the Group Executive Committee, the Board of Directors considers a dual function of Thomas Oetterli as CEO and member of the Board of Directors to be advantageous and in the interest of all stakeholders. It will therefore propose Thomas Oetterli for election as a member of the Board of Directors at the upcoming Annual General Meeting on April 20, 2023.

SHIMA SEIKI announces a sales promotion package for the apparel industry together with KDDI, Linking 3D fashion design with cross-reality― realizing digital catalogs, VR showrooms and new customer experience allowing 360-degree viewing without actual samples

Leading fashion technologist SHIMA SEIKI MFG., LTD. of Wakayama, Japan together with telecommunications company KDDI Corporation of Tokyo, Japan launched "XR Mannequin for APEXFiz," a sales promotion package that links SHIMA SEIKI's APEXFiz design software for the apparel industry with KDDI's XR (cross-reality) technology.

XR Mannequin for APEXFiz will be offered to the apparel industry. Using an XR Mannequin that enables viewers to check product images from any angle in 360 degrees on various devices, XR Mannequin for APEXFiz enables digital catalogues with 3D virtual sample image data of garments designed on APEXFiz design software, 360-degree VR showrooms, as well as digitally extended stores. It also realizes virtual proposals at exhibitions, showroom-style stores with no inventory, and user-friendly purchase experience on e-commerce sites, and more. It also allows users to reduce excess stock at stores and create new sales opportunities.

Eventually, by adding movement to models wearing Virtual Samples and rendering them on a cloud server, customers will be able to view high-resolution virtual fashion shows on their smartphones and other devices.

 Until now, the apparel industry has been making actual product samples in each of the planning and design stages of production. This process not only takes an enormous amount of time and cost, but generates waste of raw materials including fabric that require disposal. At the retail stage, stores also needed to have various sizes and colors in stock to address a wide range of customer preferences, resulting in excess inventory.

With SHIMA SEIKI's APEXFiz, designs can be evaluated without making actual samples, minimizing resources spent on sample production as well as lead time, enabling environmentally-friendly manufacturing.

In May 2022, KDDI developed a high-resolution XR mannequin for apparel sales, with support from Google Cloud. It enables various devices such as store signages and smartphones to check products from any angle in 360 degrees, enabling stores to sell products without maintaining inventory.

SHIMA SEIKI and KDDI combines APEXFiz and XR Mannequin to start providing XR Mannequin for APEXFiz. This brings DX solutions to all stages in the supply chain for the apparel industry, from planning and design to sample making, production, distribution, and retail sales. SHIMA SEIKI and KDDI will continue to create services together that link each other's products, to bring about a sustainable society by reducing excess stock, and providing a customer experience that gives peace of mind when purchasing products.

Flat knitting solutions provider SHIMA SEIKI MFG., LTD., Japan, together with its Korean subsidiary SHIMA SEIKI KOREA INC., will participate in the Preview in SEOUL exhibition in Seoul, Korea this month.

Taking advantage of new regulations at the show which allow for the display of textile equipment at the venue this year, SHIMA SEIKI will be showing its latest combination of WHOLEGARMENT® knitting technology that allows a garment to be produced in its entirety without the need for linking or sewing afterward, and SDS®-ONE APEX series design software yields revolutionary game-changing flexibility and efficiency, not to mention sustainability.

Shown for the first time in Korea, whose flat knitting market has a strong following for WHOLEGARMENT® knitwear, is the SWG-XR next-generation WHOLEGARMENT® knitting machine. The SWG- name pays homage to the original SWG-X model of 1997, sharing with it the same 4-needlebed configuration featuring the company's own SlideNeedle™. Add to this a renewed spring-type moveable sinker system, a compact and lightweight carriage featuring 4 systems as well as auto yarn carriers. All contribute up to 25% higher efficiency, higher quality and increased product variety for supporting knits for all seasons. SWG-XR sets new standards for the next generation of waste-free, sustainable WHOLEGARMENT® knitting.

APEXFiz™ is subscription-based design software that maintains the proven functions that have made SHIMA SEIKI’s SDS®-ONE APEX series design systems so popular with fashion designers. Installed on personal computers, those strengths are now enhanced with the added versatility to adapt to different work styles and business environments including teleworking and telecommuting. APEXFiz™ software supports the creative side of fashion from planning and design to colorway evaluation, realistic fabric simulation and 3D virtual sampling. Virtual samples are a digitized version of sample making that are accurate enough to be used effectively as prototypes, replacing physical sampling and consequently reducing time, cost and material that otherwise go to waste. APEXFiz™ thereby helps to realize sustainability and digitally transform the fashion supply chain.

Looking back, 2021 was a positive year for the Albstadt-based circular knitting machine and braiding machine manufacturer Mayer & Cie. After two tough years, sales exceeded Euro 100 million again last year, and the outlook for this year is promising, with production working at long-term full capacity in the circular knitting machine sector.

In order to maintain its market edge Mayer & Cie. continues to rely on digitisation of both its processes and its products. Substantial investment at its headquarters location, especially in machinery, is on the Mayer & Cie. agenda for 2022. In the years ahead a range of production machinery – lathes, gear cutting and grinding machines – is to be replaced at a scheduled cost running into low double-digit millions. Last year saw an investment in a robot-controlled laser hardening system for heat-treating machine components. The company passes an energy upgrade milestone these days with launching its new CHP cogeneration units.  
 
“Compared with 2020, our Group sales were up by about 40 per cent in 2021,” said Mayer & Cie. Managing Director Benjamin Mayer. After two difficult years in 2019 and 2020 the circular knitting machine manufacturer was able last year to restore sales to a stable level of about 103 million Euro. And it could have achieved an even better result. “Supply chain problems hampered production perceptibly,” the company’s managing director said. “In view of the order situation up to five per cent more might have been possible.” The Albstadt textile machinery manufacturer’s order position has stayed at a sound, high level since the fourth quarter of 2020, and orders in hand will already keep the circular knitting machine division busy until the end of the year, with orders coming in from all over the world, but especially, and with no change, from the company’s core markets Turkey, China and India.

The Management views with concern, however, the conflict in the Ukraine, which at first glance may not affect the sales market directly but might lead to general purchasing restraint in the capital goods sector that like the trade war between the United States and China, which began in 2018, would also affect Mayer & Cie. In addition, effects of the conflict such as high energy prices and interruptions in material supplies and logistics pose a genuine challenge in the further course of the year.

In the braiding machine division, the order position recovered in 2021. Sales of new machines and, especially, spare parts exceeded the 2020 figures significantly. Mayer & Cie. has once more won an award for its in-house and external digitisation measures as one of the most innovative German SMEs. The textile machinery manufacturer won a 2022 Top 100 award for its innovative processes in particular.