From the Sector

• Investment of approx. USD 1.3 bn in 500,000 t dissolving wood pulp plant
• Key milestone to structurally strengthen cost leadership position
• Significant step towards carbon neutrality

The Lenzing Group and Duratex announced that they will build a 500,000 t dissolving wood pulp plant in the State of Minas Gerais, near Sao Paulo (Brazil). The start-up is planned for the first half of 2022. In the joint venture, Lenzing holds a 51 percent, Duratex a 49 percent stake. The expected industrial CAPEX will be approx. USD 1.3 bn. The project is financed through long-term debt. The corresponding financing contracts are expected to be concluded at the end of the first quarter of 2020.

Key milestone to structurally strengthen cost leadership position
The new dissolving wood pulp plant strengthens the Lenzing Group’s backward integration and cost position as well as its specialty fiber growth in line with its sCore TEN corporate strategy. The single-line dissolving wood pulp plant with an annual nameplate capacity of 500,000 tons will be the largest and most competitive production facility of its kind. Dissolving wood pulp is a key raw material required for manufacturing Lenzing’s biobased fibers. The joint venture will supply the entire volume of dissolving wood pulp to the Lenzing Group.

“Wood-based cellulosic fibers offer an important contribution to enhance sustainability in the textile industry. In line with its corporate strategy sCore TEN, Lenzing is committed to drive organic growth in this market. With this investment, we will become more competitive, act more independently and subsequently strengthen our market position. The trust and support of the main shareholders of Lenzing and Duratex were of great importance for this key project”, states Stefan Doboczky, CEO of the Lenzing Group.

Strong focus on sustainability
In planning the new production facility, particular importance was given to sustainability aspects. The joint venture secured FSC®-certified plantations1 covering an area of over 44,000 hectares to provide the necessary biomass. These plantations operate completely in accordance with the guidelines and high standards of the Lenzing Group for sourcing wood and pulp. The plant will operate among the highest productive and energy-efficient in the world and will feed the 40 percent of excess bioelectricity generated on site as “green energy” into the public grid. With this project, Lenzing sets a milestone in its strategy to carbon neutrality.

Cepi, the European association representing the paper industry, has announced a new alliance called 4evergreen. The aim of the alliance is to boost the contribution of fibre-based packaging in a circular and sustainable economy that minimises climate and environmental impact. The alliance will increase awareness about the benefits of fibre-based packaging materials, advocate for EU legislation supporting product design for recyclability and call for the development of optimised collection systems and appropriate recycling infrastructures.

The rise of environmental awareness and consumer concerns, as well as the increase of packaging focused regulation, such as the Single Use Plastics Directive, have helped companies to accelerate the development of alternative packaging materials including fibre-based packaging with a view to helping consumers make more climate-friendly choices.

4evergreen was created as a forum to engage and connect industry members from across the fibre-based packaging value chain, from paper and board producers to packaging converters, brand-owners and retailers, technology and material suppliers, waste sorters and collectors.

“The 4evergreen alliance is important because it was born from an initiative of consumer product industry leaders who recognize the huge potential of fibre-based packaging in a circular economy” said Susanne Oste, VP Innovation and Sustainability at Sappi. “Their customers want sustainable packaging and fibre-based products provide the most climate-friendly solution available. Sappi is proud to play a part in this industry alliance. We have been investing heavily for more than 10 years in cutting edge research into real solutions for the problems that confront our customers. A recent success is the launch of the only fully recyclable confectionary wrapper on the market today.”

After becoming the first company in the world awarded both the rigorous EU Ecolabel and Nordic Swan Ecolabel, ISKO has recently reached another important milestone in its long-standing responsible journey: it has become the first Turkish denim manufacturer awarded with STeP by OEKO-TEX® modular certification system.

The certification results in a powerful tool to implement the company’s Responsible Innovation™ approach. This mindful and holistic vision tackles environmental and social responsibility to reach the goal of a 100% sustainable and ethical denim production, based on three main pillars – creativity, competence and citizenship.

“Responsibility and innovations go hand in hand, at ISKO,” explained Senior Sustainability and CSR Executive Ebru Ozkucuk Guler, “To be awarded with such a prestigious certification is proof that one has to look at the big picture: sustainable actions need to involve and take into account the entire value chain, in the long run, considering not only production steps but also the development of a healthy and safe work environment. It is the perfect ending to a very fulfilling year, we are eager to see what 2020 will bring.”

Sustainable packaging solutions are a hot topic all over the world. Sappi, market leader in innovative packaging barrier and sealable papers, is already producing such solutions and can point to numerous successful examples. Demand from customers and interested parties from a wide spectrum of industries continues to grow. The world’s leading paper and paperboard manufacturer therefore recently added two new grammages to its Sappi Seal range. In addition to the 67 g/m² version, the new 85 g/m² and 100 g/m² papers enable branded goods manufacturers to package an even more extensive variety of products with this functional paper – either as primary or secondary packaging.

The requirements for packaging papers are becoming increasingly demanding. They need to offer greater functionality, be environmentally friendly, recyclable and provide optimal protection for the packaged products. While many paper manufacturers are still talking about such multi-functional solutions, the innovation leader Sappi has already expanded its portfolio. The 85 g/m² and 100 g/m² grammages are now available in the Sappi Seal product family. Converters and manufacturers of food products, such as sugar, tea and confectionery, as well as non-food items, like children’s toys and DIY products, now have even more possibilities to use this functional paper and move from fossil-based materials to environmentally friendly packaging. The wide range of projects that Sappi has already completed for well-known customers, highlight its relevance for the market.

United Carton Industries Company (UCIC), a leader in Saudi Arabia's packaging industry, is achieving a breakthrough advancement in digital print for corrugated packaging with the installation of an EFITM Nozomi C18000 six-colour, single-pass LED inkjet printer from Electronics For Imaging, Inc. The new printer will bring exciting opportunities for UCIC to enter new market segments, expand its customer base, and create a competitive advantage in the region.
 
"UCIC's priority is to meet customer expectations, which are constantly increasing due to ever changing market conditions," said UCIC President Mohnish Rikhy. "New technologies such as digital printing with EFI's Nozomi C18000 printer help us meet these demands and stay ahead of the competition."

Paris Companies Inc. recently achieved Clean Green re-certification. This re-certification reflects their continued dedication to operational efficiency and sustainability.

Paris Companies Inc. first earned the Clean Green Certification in 2012. Companies that have earned this certification adhere to TRSA-designated water and energy use thresholds and deploy best management practices (BMPs) consistent with the ASTM International environmental laundering standard. Paris Companies’ customers can be assured their uniforms, towels and other reusable linens are washed, dried and finished with processes that maximize sustainability and reduce greenhouse emissions. Clean Green certified operations demonstrate significant commitment to conservation and green operations through these BMPs:

• Recovering heat from drained hot water and heat dispersed from the process of warming water
• Recapturing drained water from rinses for reuse
• Using environmentally friendly detergents
• Removing solids and liquids from wastewater
• Solar energy and energy-efficient lighting
• Recycling programs
• Re-routing trucks to save vehicle fuel
• Spill prevention plans

The Clean Green certification is valid for three years at a time. TRSA inspects laundry facilities seeking certification and approves documentation of their water and energy use and BMP deployment through production reports they submit to auditors during the inspections. TRSA’s certification management protocol includes auditor training by the association’s inspection program administrator.

Myant Inc. and Osmotex AG have agreed to enter into a joint venture for the commercialization of Osmotex’s HYDRO_BOT active membrane technology across various textile-based applications. The integration of HYDRO_BOT with Myant’s existing portfolio of textile-based sensing and actuating capabilities opens up new possibilities across a wide range of domains including sweat/moisture management and thermal regulation.

HYDRO_BOT technology is capable of moving 200 liters of fluid across a square meter of textile every hour via an electroosmotic process, providing a practically limitless ability to manage moisture in textile applications. Applied in conjunction with Myant’s existing capability to deliver heat via textile and to achieve effective passive moisture wicking via novel knitted structures, the combination of technologies is poised to dramatically improve the ability to regulate body temperature in applications such as personal protective equipment for workers in heavy industry, protective gear for workers in hot desert-like climates, performance wear like snow suits or skiing apparel in cold climates, footwear, motorcycling apparel, and more. In addition to apparel, significant market opportunities exist in the moisture management as applied to the automotive industry and in the healthcare industry.

“The creation of this joint venture between Myant and Osmotex reinforces our mission to develop textiles as bidirectional interfaces to the human body capable of optimizing health and performance across all spheres of life,” said Tony Chahine, founder and CEO of Myant. “Our team is excited to begin integrating HYDRO_BOT into our textiles and bringing this transformative technology to market.”

“We are excited to be working together with Myant to realize the full potential of the HYDRO_BOT technology,” said Joacim Holter, Managing Director and Chairman of the Board for Osmotex AG. “Myant’s ability to integrate our technology and to produce at scale all under one roof made them an ideal partner to help make our vision a reality.”

Following an in-depth analysis of the current business situation conducted by the new Group Management, Autoneum expects a net loss in the high double-digit million range for the full year 2019 due to the situation in North America and related one-time charges from impairments. Therefore, achieving the communicated mid-term targets will take more time.

A comprehensive assessment by the new Group Management focusing on Business Group North America and taking into account the course of business from January to November 2019 led to a revaluation of the situation. It has become apparent that the problems in North America are not limited to two US plants and deficient ramp-ups there. Accordingly, a comprehensive turnaround program focusing on operational excellence and the improvement of cost structures is being developed and implemented in Business Group North America.

As a result of the slowdown in the automotive industry and the continuing low market level forecasted in the medium term, the cost structure at the Group’s headquarters in Winterthur, Switzerland, has been adjusted, among other things, by selective staff reduction. To further reinforce new mobility activities, they will be concentrated at the Research and Technology Center in Winterthur. This will include the relocation of the Competence Center New Mobility from Sunnyvale (CA), USA, to Winterthur.

Due to the continuing losses of Business Group North America, Autoneum expects a net loss for the financial year 2019 in the high double-digit million range. In addition to current operating losses, this also includes one-time charges from impairments which are not cash-effective. To achieve the Group’s mid-term targets announced in March (“2019 Year of tidying, 2020 Year of transition, 2021 Return to sound profitability level), an additional year will therefore be needed.

The Bangladesh international player presents its unique eco-innovation path and a specialhigh-end capsule collection in collaboration with PG DENIM.

GENESIS:M&J Group comes back at the Denim Première Vison London (3-4 December) marking a positive end of the 2019, with new objectives for the future. The leading facility of the Group has affirmed itself as one of the most reliable international garment manufacturer, especially in denim market, and now it is time for another leap forward. The aim is to target more in depth the high fashion denim market in Europe with renowned proposals towards a more authentic, comfortable and sustainable denim offer.

The first output to underline the new approach is the high-end capsule collection realized in collaboration with PG DENIM, that premiered at the show
A collection where the great industrial experience and quality in garment manufacturing of GENESIS meets, in a perfect and inspiring contamination, the 100% Italian artisanal craft and unique interpretation of PG DENIM fabrics. A complete co-branding that has given life to unique garments with dedicated tags and hangtags, to show a fashionable, sustainable and high-quality final output, entirely produced in Bangladesh. The perfect meeting to provide a great example of how this collaborative path with European top-quality player could lead to a new positioning for the company.

The improvements achieved by GENESIS are enhanced also in the s/s 2021 collection with new trends involving eco-conscious fabrics such as organic cotton, recycled fabric and polymer, realizing blends with natural fibers like hemp & linen while working also with a wide variety of biodegradable materials. Technical fibers are also on the spotlight with an increasing importance gained by proofed lightweights such as waterproof. Moods like hyper blue, natural cotton colors, flat bright indigo mid shades or urban grey and reactive layers dominates the feeling of the new collection. In terms of looks and treatments the collection has developed several unique interpretations such as engineered garments, digital laser patterns, wester silhouettes, workwear, soft dyes, contemporary stripes, dirty green cast and eco-acid wash. A kaleidoscopic collection where technology and tradition meet one unique big trend: more sustainable than ever.

SGL Carbon and Solvay collaborate to develop highly-competitive advanced carbon fiber composites for aerospace primary structures

SGL Carbon and Solvay have entered into a joint development agreement (JDA) to bring to market the first composite materials based on large-tow intermediate modulus (IM) carbon fiber. These materials, which address the need to reduce costs and CO2 emissions, and improve the production process and fuel efficiency of next-generation commercial aircraft, will be based on SGL Carbon’s large-tow IM carbon fiber and Solvay’s primary structure resin systems.

The agreement encompasses both thermoset and thermoplastic composite technologies. It builds on Solvay’s leadership in supplying advanced materials to the aerospace industry and SGL Carbon’s expertise in high-volume carbon fiber manufacturing.

“For Solvay, this is an opportunity to lead the aerospace adoption of a composite material based on 50K IM carbon fiber. This is a highly competitive value proposition that brings more affordable high-performance solutions to our customers. We see this as the first step in a long-term partnership,” said Augusto Di Donfrancesco, member of Solvay’s executive committee.

“By combining SGL’s carbon fiber expertise in our newly developed, unique 50K IM fiber with Solvay’s resin formulation and aerospace market expertise, both partners are aiming to develop an advanced aerospace material system. This alliance supports our strategic direction and accelerates our growth in the attractive aerospace market,” said Dr. Michael Majerus, spokesman of the management board of SGL Carbon.

Composite materials for aerospace applications represent a multi-billion-dollar market that is expected to grow strongly in the coming decade. Solvay and SGL Carbon are uniquely positioned to develop solutions to address the needs of this market.