From the Sector

The combination of high strength and rigidity with sustainability and a neutral carbon footprint makes flax the ideal raw material for natural fibre-reinforced plastics. vombaur offers composite textiles made of this natural fibre for the automotive, wind power, construction or sports industries and many other sectors.

Flax fibres are rigid and tear-proof. They have natural bactericidal properties, are virtually antistatic, stain resistant and easy to spin. Humans have taken advantage of these properties to manufacture robust, stain-resistant and lint-free textiles. Between the late 19^th and late 20^th centuries, cotton largely replaced natural fibres. Because flax can be grown in Europe and consumes less energy and water than cotton production, the material's importance is currently growing again, for both clothing and composites. Regional textile value added chains in Europe – flax makes them possible.

Ideal mechanical properties
vombaur makes the mechanical properties of flax usable for lightweight design. Because flax fibres are particularly rigid and tear-resistant, they ensure great stability in natural fibre-reinforced plastics (NFRPs). And thanks to their low density of 1.50 g/cm3, the fibres weigh virtually nothing. On top of this, fibre-reinforced plastics are less prone to splintering than glass fibre-reinforced plastics.

Excellent carbon footprint
The cultivation of flax binds CO₂ and the production of natural fibre-reinforced plastics (NFRPs) generates approximately one third less CO₂ emissions compared with conventional fibre-reinforced plastics. Energy consumption is substantially lower. This saves resources. The use of flax fibre tapes by vombaur in lightweight design applications also improves the product's carbon footprint and contributes to a secure, regional supply chain.

Recycling without impacting on quality
Flax offers another sustainability benefit: more recycling cycles than glass- or carbon fibre-reinforced plastics – without impacting on quality. Thermoplastic fibre-matrix prepregs are melted and reused in the recycling process. The natural fibres can be used in other products such as natural fibre-reinforced injection moulded parts.

Sustainable product developments for many industries
"Orthoses for high-performance sports, high-tech skis, wind turbines, components for the automotive industry or aerospace, but also modern window profiles – the application scope for our lightweight design flax tapes is amazingly diverse", as Carl Mrusek, Chief Sales Officer at vombaur explains. "After all, wherever flax tapes are used, three key properties come together: light weight, strength and sustainability".

Spinnova has decided to evaluate its existing strategy to prioritise areas that in the short- to medium-term deliver the fastest time to positive cashflow generation and that create the most value for the company’s stakeholders.
 

The company expects to conclude the assessment of its strategy in the coming months, after which the results will be presented in more detail including key actions and any changes to medium- and long-term business targets. Financial guidance for full year 2023 is unchanged.

Spinnova’s unique sustainable technology is a key differentiator. To recognize the value of its technology offering, the company has decided to review opportunities to expand the licensing of its technology to new customers. In the future, Spinnova sees great potential in developing circular raw materials such as textile waste and agricultural waste, as well as recycled SPINNOVA® fibre. Initial tests show that refining these raw materials into micro fibrillated cellulose (MFC) may be more efficient than refining other raw materials Spinnova has worked with. The company has received significant interest from customers wanting to build plants that convert multiple circular raw materials into SPINNOVA® fibre.

Together with Suzano, Spinnova is gathering the learnings from the first Woodspin plant to support the decision making for the next Woodspin factory investment. At the same time Spinnova continues to further develop the technology concept to reduce capital expenditure per tonne of fibre produced compared to the first Woodspin plant. While Suzano develops its MFC process it is expected that the first Woodspin facility will mainly be used for R&D to test new MFC batches and that commercial production volumes will be limited in the short term. The market opportunity and ambition level with Suzano to scale Woodspin’s production capacity remains unchanged

Spinnova will continue to have the option to invest into all future Woodspin and Respin plants, as per the respective joint venture agreements. The company will evaluate whether it participates in these investments based on the value it creates for Spinnova’s shareholders compared to other opportunities to invest Spinnova’s capital. Regardless of whether Spinnova invests its own capital into future plants, Spinnova will continue to be the exclusive technology provider to Woodspin and Respin, and they will continue to be important technology customers of Spinnova.

Harnessing the synergy of the Texpertise Network of Messe Frankfurt and its global apparel flagship, the co-organisers of the Vietnam International Trade Fair for Apparel, Textiles and Textile Technologies (VIATT) recently held a joint press conference on 28 August 2023, the first day of Intertextile Shanghai Apparel Fabrics – Autumn Edition. Discussing the inaugural fair’s comprehensive, business-friendly nature, representatives of both Messe Frankfurt  and VIETRADE spoke in glowing terms about the potential of ASEAN’s new platform for the entire textile industry. Set to launch the spring sourcing season, the fair will take place from 28 February – 1 March 2024 at the Saigon Exhibition and Convention Center (SECC), Ho Chi Minh City.

For its first edition, the fair is expected to attract over 500 exhibitors and around 35,000 visitors to an 18,000 sqm exhibition space. Ms Wendy Wen, Managing Director of Messe Frankfurt (HK) Ltd, considered the show’s importance on a worldwide scale: “Serving as a supplementary trade fair to our existing events in China, VIATT will effectively extend our market reach into South East Asia. We’ve designed it to reinforce our global Texpertise Network, spanning the entire textile value chain. The network, which links over half a million textile professionals globally and organises more than 50 international textile trade fairs across 11 different countries, will lend its full support to the fair.”
 
She continued: “In line with this commitment, we will harness our more than 30 years of experience organising Intertextile in China, and extend to the fast-growing textile sector in Vietnam. Intertexile has grown to be by far the most influential series within our Texpertise Network, covering a broad range of resources in apparel fabrics, home and contract textiles."
 
With Vietnam’s largest international airport and seaport, and its proximity to other textile producing countries and regions, Ho Chi Minh City is strategically located to hold an event of this nature. The city attracts 35%^[1] of Vietnam’s foreign direct investment projects, and is the venue of choice for a significant portion of the country’s trade fairs.
 
Discussing the event’s potential, Mr Vu Ba Phu, Director General of Vietnam Trade Promotion Agency (VIETRADE), said: “Vietnam has emerged as one of the leading textiles exporting countries worldwide, with particularly high growth in the past 10 years, ranging from 15% to 20% yearly. As companies seek to diversify supply chains, and Vietnam introduces lucrative trade agreements, the market is predicted to attract even more investments. A big importer of textile machinery, fabrics, and yarns and fibres, green production and durable goods have become increasingly important. VIATT 2024 will be an important hub helping suppliers and buyers in all categories to meet, source and unleash the full potential of this market.”
 
A comprehensive Vietnam-based textile fair is an attractive proposition for manufacturers and sourcing professionals alike. Exhibitors from around the world will showcase a full spectrum of apparel fabrics, yarns and fibres, and garments; the latest innovations in technical textiles and nonwovens, textile processing, and printing technology; as well as a wide range of home and contract textiles.
 
Apparel fabrics, yarns and fibres, and garments
This sector will contain quality exhibitors from Vietnam, ASEAN, and beyond, providing buyers with numerous, diverse sourcing options in apparel textile sub-categories such as accessories, casualwear, denim, lace and embroidery, ladieswear, pattern designs, shirting, sportswear, suiting, and many more.
 
Technical textiles and nonwovens, textile processing, and printing technology
With application areas that include everything from automotive, aerospace and shipping, to construction, healthcare and safety, products on display will include innovative machinery, as well as some of the latest developments in smart textiles, such as wearable technology, sensors, and advanced materials.
 
Home textiles
Exhibitors will feature high-quality bed linens, towels, curtains, and much more, suitable for visitors sourcing for both residential and commercial applications. The diverse collections of home textiles will be enhanced by globally on-trend interior designs and in-demand, organic materials.
 
The Vietnam International Trade Fair for Apparel, Textiles and Textile Technologies (VIATT) is organised by Messe Frankfurt (HK) Ltd and the Vietnam Trade Promotion Agency (VIETRADE). Covering the entire textile industry value chain, the inaugural edition will be held from 28 February – 1 March 2024 at the Saigon Exhibition and Convention Center (SECC), Ho Chi Minh City.

^[1] ‘Investing in Ho Chi Minh City’, October 2022, Vietnam Briefing, retrieved August 2023, https://www.vietnam-briefing.com/news/investing-in-ho-chi-minh-city-why-the-megacitys-industry-economy-and-policy-are-key-to-developmen.html/

From mechanical engineering to the construction industry, from logistics to rescue technology – tensioning and clamping systems fulfil important tasks in a number of industries. The possible uses of technical textiles for industrial applications of this kind are manifold.

Patented and precisely configured
The ElasTool system from the elastics expert consists of a connection tool and a rubber rope connected to this tool via integrated locking elements. The stainless steel, aluminium or plastic connection tool and the rubber rope – with a thickness of between 12 and 38 mm – are each configured to fit precisely. The highlight of the patented connection solution: the more tensile force is exerted, the more the rope is jammed. Thanks to the locking system, ElasTool still provides a secure hold even when the diameter of the rubber rope narrows to up to 60 percent due to the tensile load. A crucial advantage over conventional end connections by pressing.

Economical and low maintenance
The system has further advantages: the textile solution runs quietly. Unlike clamping systems with steel cable springs, there is no creaking here. In addition, textiles, plastic and aluminium are particularly lightweight materials. ElasTool therefore saves energy. Another benefit: the connection system works without lubricating oil. While conventional tensioning and clamping solutions in industrial plants and products have to be oiled regularly, the JUMBO textile system works completely maintenance-free.

Versatile and easily interchangeable
Depending on the area of application of the ElasTool, the interchangeable head can be exchanged: Plastic hook instead of aluminium eyelet, stainless steel flange instead of aluminium hook – for example. The interchangeable head can be replaced effortlessly and without special tools.

"A lifting system in a high-bay warehouse, a trolley in a crane, damping for compressors or crash systems – these are just three of the many possible applications. We adapt the dimensions, material, force-stretch behaviour, flame retardancy – like all properties – specifically to the respective project," emphasises Carl Mrusek, Chief Sales Officer of JUMBO-Textil. "Thus, with ElasTool, we offer a safe load connection for a wide variety of applications in industry."

ElasTool from JUMBO-Textil

• Lightweight and flexible alternative to conventional tensioning and clamping systems
• Suitable even in small installation spaces
• With individual specifications and infinitely customisable dimensions
• Connection tool optionally made of plastic, aluminium or stainless steel
• Rubber rope in a thickness of 12 to 38 mm
• Rubber rope made of polyamide, polyester, recycled PES, polypropylene, aramid, Dyneema, monofilament, natural fibres
• Different interchangeable head shapes possible
• As an end connection or for coupling with other machine elements
• Tensile load up to 600 N, in individual cases more than this
• Individually configurable e.g. with hook, eyelet or flange

Using recovered resin from discarded car bumpers, Autoneum’s sustainable Re-Liner technology transforms a previously unusable waste product into lightweight and durable wheelhouse outer liners. In addition to their high recycled content, the eco-friendly components require significantly less energy to produce than conventional alternatives. The innovation presents another important step towards a more sustainable circular economy and has now been nominated for the 2023 PACE Award.

Autoneum has been selected as one of the finalists for the 2023 Automotive News PACE Awards. Entering its 29th year, this prestigious award honors superior innovation, technological advancement and business performance among automotive suppliers.

Re-Liner is based on a core of polyolefins recovered from post-consumer bumpers and has a textile top layer made of fibers from recycled materials. “Autoneum has recognized the untapped potential of recovered resin from automotive bumper covers as a resource and is giving this former waste product a second life,” explained Dan Moler. “The core resin of Re-Liner is 100% automotive post-consumer recycled material, not just a filler or additive to a virgin material. Lightweight, durable, and sustainable wheelhouse outer liners based on this technology are expected to reduce waste generated by bumper covers by nearly one million kilograms in 2023.”

For more than a quarter century of a century, the PACE Award has honored innovations driven by automotive suppliers. The award is known in the global automotive industry for identifying and recognizing the latest game-changing innovation: from the plant floor to the product to the showroom. In 2000, Autoneum (then Rieter Automotive) already received a PACE Award for its Ultra-Light technology. In addition, two of the Company’s technologies have also been nominated as finalists in the past: Ultra-Silent in 2010 and Theta-Fiber in 2012.

• Sales up 1.9% year-on-year to €560.5 million with stable adjusted EBITDA of €88.0 million
• Strong business performance of the Graphite Solutions, Process Technology and Composite Solutions businesses
• Sales and earnings decline at Carbon Fibers due to weakness of wind market
• Impairment at Carbon Fibers of €44.7 million

Despite the increasingly difficult economic environment, SGL Carbon was able to increase sales in H1 2023 from €549.8 million in the previous year to €560.5 million. Adjusted EBITDA (EBITDApre) remained almost unchanged at €88.0 million (H1 2022: €87.9 million). The expected good business performance of the Graphite Solutions business unit and the better-than-expected sales and earnings development of Process Technology and Composite Solutions compensated the drop in demand in Carbon Fibers.

In particular, the Graphite Solutions (GS) business unit contributed to the stable development of the Company with a 15.3% increase in sales to €280.6 million (H1 2022: €243.4 million) and a 20.6% improvement in adjusted EBITDA to €65.1 million (H1 2022: €54.0 million). GS benefited especially from the high demand of the semiconductor industry. The semiconductor and LED market segment now accounts for around 45% of GS revenue (H1 2022: around 35%).

With a 30.9% increase in sales to €64.4 million (H1 2022: €49.2 million) and a significant rise in adjusted EBITDA from €4.1 million to €11.9 million, the business performance of Process Technology (PT) was significantly above the original planning. Composite Solutions (CS) also reported a higher-than-forecast sales increase of 14.4% to €79.6 million in H1 2023 (H1 2022: €69.6 million) and an improvement in adjusted EBITDA of 26.8% to €12.3 million (H1 2022: €9.7 million). By contrast, the business performance of the Carbon Fibers (CF) unit was not in line with expectations, with a 28.9% decline in sales to €125.1 million (H1 2022: €176.0 million) and a 78.4% drop in earnings to €6.1 million (H1 2022: €28.2 million).

An important market segment for the Carbon Fibers business unit is the wind industry. Demand for carbon fibers for the wind industry has declined sharply since the beginning of the year. According to current estimates, the expected recovery in demand in H2 2023 will not materialize. SGL Carbon expects customer demand from the wind industry to pick up in 2024.

As already announced in the ad hoc release of July 24, 2023, an impairment loss of €44.7 million was recognized on the assets of Carbon Fibers as of June 30, 2023.

Results situation
SGL Carbon's adjusted EBITDA (EBITDApre) remained almost stable in a half-year comparison at €88.0 million (H1 2022: €87.9 million). Due to the lack of demand from wind industry, CF's production capacity utilization decreased and idle capacity costs weighed on adjusted EBITDA. By contrast, higher margins from product mix and volume effects in the other three business units had a positive impact on adjusted EBITDA.

Non-recurring items and one-off effects not included in adjusted EBITDA totaled minus €46.9 million in the first half of 2023, of which €44.7 million resulted from an impairment loss in the CF business unit.

In addition to the above-mentioned effects and nearly unchanged depreciation and amortization of €29.1 million (H1 2022: €28.9 million), the decline in EBIT resulted in particular from the impairment loss already described (€44.7 million). After €69.6 million in H1 2022, EBIT amounted to €12.0 million in the reporting period.

Taking into account the slightly improved financial result of minus €15.8 million (H1 2022: minus €16.6 million), consolidated net income for the first six months of the current financial year amounted to minus €10.0 million, compared to €48.8 million in the first half of the previous year.

Net financial debt and equity
To complete its refinancing, SGL Carbon issued convertible bonds with a volume of €118.7 million in June 2023 and drew an existing term loan facility of €75 million in July 2023, which was used together with cash of the Company on July 28, 2023 to repay the corporate bond (outstanding as of June 30, 2023: €237.4 million). Accordingly, cash and cash equivalents increased to €310.5 million as of June 30, 2023 (€227.3 million as of December 31, 2022) and financial debt temporarily increased to €480.4 million (€398.1 million as of December 31, 2022). Net financial debt remained nearly unchanged at €169.9 million as of June 30, 2023 (Dec. 31, 2022: € 170.8 million).

Despite the impairment loss of €44.7 million in Carbon Fibers, shareholders' equity amounted to €565.2 million as of June 30, 2023, only slightly lower than at the end of 2022 (Dec. 31, 2022: €569.3 million). This corresponds to an equity ratio of 36.1% (Dec. 31, 2022: 38.5%).

Dibella already announced a year ago that there would be a change of managing director in the middle of this year. As of 01.08.2023, Carsten Ridder will fill the position of additional managing director together with Stefan Tenbusch. At the same time, the previous managing director Ralf Hellmann will take on an advisory role in the company.

Carsten Ridder is no stranger to the company and has many years of experience as a committed member of the management. In 2001, the banker and graduate in business administration first joined the sister company Bimeco, before moving to Dibella in 2017 as an authorised signatory and member of the management. During this time, the active shareholder has contributed significantly to the development and implementation of important strategies in the areas of human resources and finance, among others.

Ralf Hellmann will continue to play an important role in the company after his retirement from the management by supporting Dibella in an advisory capacity. His experience and knowledge will remain a valuable resource to ensure the success of the projects already initiated as well as new ones.

During the second quarter of 2023, the orders index for textile machinery, as compiled by the Economics Department of ACIMIT, the Association of Italian Textile Machinery Manufacturers, dropped significantly compared to 2022 April – June 2022 period (-30%). In absolute terms, the index stood at 85.1 points (basis 2015=100).

This drop is the result of a reduction in the collection of new orders recorded by manufacturers both domestically and on foreign markets. The decrease in orders in Italy amounted to 21%, whereas a 31% downtrend was observed abroad. The absolute value of the index on foreign markets settled at 81.9 points, while in Italy it stands at 117.2 points. New orders for the second quarter amounted to 4.1 months of guaranteed production. ACIMIT’s data also shows that the use of production capacity by Italian manufacturers was 70% for the first half of 2023. This percentage is expected to remain stable for the second half of the year.

ACIMIT president Marco Salvadè stated that, “The orders index for the second quarter elaborated by our Economics Department clearly shows a decline in new orders both in Italy and abroad compared to the previous year. The decline that usually precedes an event such as ITMA, the international textile machinery exhibition held last June in Milan, however, is part of a negative trend that has been going on for several quarters”.

Uncertainty appears to be weighing heavily especially on markets abroad, where foreign trade statistics updated to the first quarter of 2023 are marked by a slackening in Italian sales in some important reference markets, such as Turkey, China, the United States and Pakistan.

Salvadè added that, “Feedback from over 400 Italian companies that took part in ITMA is positive. It’s now necessary for the many contacts made during the event to materialize and for the demand for machinery in the main textile machinery markets to resume a path towards growth.”

The EU's planned ban on the entire group of per- and polyfluoroalkyl substances (PFAS) would endanger many industrial processes, states VDMA Textile Machinery. Textile manufacturing would be affected twice – by missing important chemicals for technical textile production and by the lack of indispensable textile machine components. The latter would affect the whole supply chain from textile machinery manufacturers and its suppliers to the textile industry in the EU.

Solid PFAS parts are widely used in textile machinery production, especially where extreme conditions prevail. Verena Thies, Managing Shareholder Thies GmbH & Co. KG, explains: “Our textile dyeing machines are world leaders and set standards in efficiency and sustainability. They work under pressure at temperatures of up to 140° C using highly acidic, highly basic and/or oxidative or even reductive chemicals. This is precisely why PFAS is needed, for example, in seals and rings, flaps as well as valves for a long-lasting and high-quality machine concept – because there are no alternatives with qualitatively equivalent properties. In addition, PTFE semi-finished products enable a sliding and gentle contact with the textile fabric in ecologically important techniques in the transformation of textile wet finishing."

PTFE and also FKM are fluoropolymers (fluoroplastics and fluoroelastomers), a group within the broad PFAS range of about 10,000 substances which would be banned for production, use and sale in the EU. They are high-tech materials, and as so-called "polymers of low concern" are not a danger to the environment, according to the OECD. Furthermore, these components are installed inside a machine and exchanged or disposed of properly. PFAS such as PTFE and FKM must be exempted from the ban, demands the VDMA in its position paper.

"In this way, the association also supports the approach taken in Great Britain. With the 10,000 substances, everything is lumped together, although the various PFAS groups are very different," warns Dr Sarah Brückner, Head of VDMA Environmental Affairs and Sustainability. "We should take our cue from the UK and look at the substance groups in a differentiated way."
Apart from several types of dyeing machines, PFAS components are indispensable in textile drying machines (e.g., conveyor dryers, tumblers and stenters) and damping machines. They are also used in fully automatic chemical dispensing systems and pressure vessels for thermochemical treatment of textile recycling material, heat recovery systems and wastewater treatment technology. This means that a lot of machines needed for a sustainable textile production would be affected by the PFAS ban.

VDMA Textile Machinery will take part in the ongoing EU public consultation. The association will describe indispensable key functionalities and conditions of use in the textile machinery sector as well as the consequences for the companies and the customers in the EU if the ban is imposed. The consultation ends on September 25, 2023, and VDMA urged its members affected by the planned restriction to participate in the consultation at an early stage. This is the only way to ensure that the broad scope of the mechanical and plant engineering sector is represented.

July 12, the European Parliament adopted its position on the Ecodesign Regulation, which aims to improve the environmental sustainability and circularity of products placed on the EU market, including textiles.

While EURATEX recognises the importance of accelerating the green transition and welcomes the progress on the legislation, it regrets the EP’s approach to target the textile industry in a Regulation designed to be a framework legislation for all sectors.  

Representing 160 000 European textile companies, EURATEX has been highlighting that a successful legal framework is based on an inclusive and feasible approach, ensures sufficient capacity and sets a timeline for businesses to adjust. Therefore, EURATEX welcomes MEPs’ call for tailored support and smooth transition for SMEs. Strongly advocated by EURATEX, the European Parliament also strengthens the provisions on market surveillance, which is a key element for ensuring level playing field for EU companies in the Single Market.

As businesses already face difficulties to navigate through all ongoing policy and legislative initiatives, EURATEX appreciates the efforts of the EP to ensure legislative consistency, the lack of which may only create additional costs and administrative burdens for companies. The inclusivity and transparency of the future Ecodesign Forum have indeed received a positive boost.

EURATEX regrets that the European Parliament has overlooked the plea for legislative coherence on substances of concern and for keeping the ESPR aligned with existing chemical legislation to avoid overlapping or conflicting regulation. EURATEX advises that social sustainability aspects should be addressed within the due diligence legislative framework.

Regarding the future Ecodesign requirements for textiles, these will have to be based on reliable data, and supported by thorough analysis and impact assessments. The requirements should be set out in the textile-specific Delegated Act and should be developed with relevant stakeholders.

As the ESPR trialogue negotiations between the European Parliament, the Council of the EU and the European Commission unfold in autumn, EURATEX continues to stress the guiding principle of “fit-for-purpose” rules and the balance between high environmental objectives and competitiveness of companies.

Moreover, on Tuesday 11 July, the European Parliament's position on Industrial Emissions Directive (IED) was adopted by MEPs with 396 votes in favour, 102 against and 131 abstentions. EURATEX expresses concerns on this text because of the inclusion of standalone finishing plants in the scope of the new IED. This creates inconsistencies with the recently finalised Textile BREF document (adopted in Sevilla by all parties), which regulates industrial emissions for both pretreatments and finishing plants. Standalone finishing companies, typically SMEs, now face challenges to comply with specifications which were originally designed for different and bigger companies.