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GoodTextiles Foundation: Improving drinking water supply in Uganda (c) Aid by Trade Foundation
Bio-Sand-Waterfilters
18.03.2024

GoodTextiles Foundation: Improving drinking water supply in Uganda

Together with Cotton made in Africa (CmiA) and the cotton company MMP Agro, the GoodTextiles Foundation is realising a project to improve the drinking water supply in Uganda, Africa. Bio-sand-waterfilters are being installed to gently purify the water from existing sources. In addition, the partners are training the community's farmers and craftsmen in how to operate the water filters. They then learn how to build new water filters.

In 2016, the textile company Dibella established the GoodTextiles Foundation with the aim of making textile value chains more sustainable. It raises donations and implements its own funding projects to benefit people at all stages of the textile industry.

As part of a joint project between the GoodTextiles Foundation, the Aid by Trade Foundation (AbTF) (owner of the CmiA standard) and MMP Agro, farmers who grow CmiA cotton in the districts of Abim, Kaplebyong, Dokolo and Kaberamaido in north-east Uganda are now receiving a total of around 1,000 bio-sand-waterfilters. Around 1,000 CmiA farmers, mainly women and the members of their households (an estimated 10,000 community members) benefit from this.

Together with Cotton made in Africa (CmiA) and the cotton company MMP Agro, the GoodTextiles Foundation is realising a project to improve the drinking water supply in Uganda, Africa. Bio-sand-waterfilters are being installed to gently purify the water from existing sources. In addition, the partners are training the community's farmers and craftsmen in how to operate the water filters. They then learn how to build new water filters.

In 2016, the textile company Dibella established the GoodTextiles Foundation with the aim of making textile value chains more sustainable. It raises donations and implements its own funding projects to benefit people at all stages of the textile industry.

As part of a joint project between the GoodTextiles Foundation, the Aid by Trade Foundation (AbTF) (owner of the CmiA standard) and MMP Agro, farmers who grow CmiA cotton in the districts of Abim, Kaplebyong, Dokolo and Kaberamaido in north-east Uganda are now receiving a total of around 1,000 bio-sand-waterfilters. Around 1,000 CmiA farmers, mainly women and the members of their households (an estimated 10,000 community members) benefit from this.

Source:

GoodTextiles Foundation

Borealis celebrates 30th anniversary (c) Borealis
05.03.2024

Borealis celebrates 30th anniversary

Borealis is commemorating its thirtieth year of operations. Born of a merger between Statoil and Neste, Borealis has expanded from its early Nordic roots to become one of the top polyolefins players. Its dedication to value creation through innovation has produced proprietary and transformative technologies which benefit society and accelerate the transition to a circular economy. The company is regularly ranked as Austria's top innovator in the European Patent Index and holds an extensive patent portfolio of around 8,900 granted patents. In Europe in particular, Borealis has for decades bolstered the industrial landscape by investing in its capital assets, and by providing thousands of jobs.

Borealis is commemorating its thirtieth year of operations. Born of a merger between Statoil and Neste, Borealis has expanded from its early Nordic roots to become one of the top polyolefins players. Its dedication to value creation through innovation has produced proprietary and transformative technologies which benefit society and accelerate the transition to a circular economy. The company is regularly ranked as Austria's top innovator in the European Patent Index and holds an extensive patent portfolio of around 8,900 granted patents. In Europe in particular, Borealis has for decades bolstered the industrial landscape by investing in its capital assets, and by providing thousands of jobs.

Innovations
Borealis uses technological innovation to add value to polyolefin-based applications, ensure that production processes are made more resource efficient, and to accelerate plastics circularity. Borstar®, the multi-modal proprietary technology for the manufacture of polyethylene (PE) and polypropylene (PP), has been a mainstay of Borealis success since the start-up of the first Borstar PE plant in Porvoo, Finland in 1995. Borstar has since been joined by other technology brands, like Borlink™, an innovation for the power cable industry; Borstar® Nextension Technology, an innovation that among other benefits facilitates the production of monomaterial applications designed for recycling; or the Borcycle™ M technology for mechanical recycling, which breathes new life into polyolefin-based, post-consumer waste, transforming it into applications with a lower carbon footprint.

Global Expansion
With the strong support of its two majority shareholders OMV (Austria) and The Abu Dhabi National Oil Company (ADNOC, UAE), Borealis continues to expand its global footprint. The joint venture Borouge, established in 1998 in the UAE, and listed on the Abu Dhabi Securities Exchange (ADX) since 2022, is one of the largest integrated polyolefin complexes. It is currently the site of the company’s largest-ever growth project: Borouge 4, the new USD 6.2 billion facility in Ruwais, which will serve customers in the Middle East and Asia. In North America, the Baystar™ joint venture, founded in 2017 and operated with partner TotalEnergies, entailed the construction of a new ethane cracker as well as the most advanced Borstar plant ever built outside of Europe. The PE Borstar 3G plant in Pasadena, Texas was started up in late 2023 and has brought Borstar to this continent for the first time. Borealis’ commitment to Europe as a production location is evidenced by the new, world-scale propane dehydrogenation (PDH) plant currently under construction at Borealis operations in Kallo, Belgium.

More information:
Borealis polyolefins Recycling
Source:

Borealis

Messe Frankfurt launches brand events in Central Asia (c) Messe Frankfurt Group
16.02.2024

Messe Frankfurt launches brand events in Central Asia

Messe Frankfurt will extend its footprint in the Central Asian market by establishing seven brand events in Tashkent, Uzbekistan. The country’s strategic location as a crossroads of Europe and Asia positions it as a promising trade gateway and transportation hub, facilitating the economic development of neighbouring countries and access to the wider region. The company’s stronger presence in the market will promote business opportunities and foster the sustainable development of pillar industries, including cosmetics, textiles and clothing, automotive, logistics and transportation.

Messe Frankfurt will extend its footprint in the Central Asian market by establishing seven brand events in Tashkent, Uzbekistan. The country’s strategic location as a crossroads of Europe and Asia positions it as a promising trade gateway and transportation hub, facilitating the economic development of neighbouring countries and access to the wider region. The company’s stronger presence in the market will promote business opportunities and foster the sustainable development of pillar industries, including cosmetics, textiles and clothing, automotive, logistics and transportation.

Uzbekistan has a promising consumer market with significant potential. It is the largest in Central Asia and is expected to increase due to population growth, rising incomes and the modernisation of economic and industry sectors.
 
The nation has actively sought to diversify its economy in recent years, undertaking reforms for greater entrepreneurial freedom and opening up to more international and regional cooperation. The country already exports precious metals, textiles and agricultural produce. It imports machinery, equipment, means of transportation, and vehicle components from foreign trading partners. Attracting overseas investment is also apparent through incentives such as tax benefits, reduced import duties and simplified procedures for overseas investors.
 
In addition, shifting global supply chains and trading patterns could also drive opportunities in the region. The nation benefits from its geographical location owing to its position between Asia and Europe, to which the Uzbek Government recognises the prospects of investing in infrastructure, such as transportation and logistics, to create an efficient transit hub. Against this backdrop, China acknowledges the importance of developing routes along the Belt and Road while Europe has expressed a readiness to support Uzbekistan’s efforts to diversify transport corridors.

Line-up of shows include:

  • Automechanika Tashkent; Futuroad Expo Tashkent; and, Scalex Tashkent: 23 – 25 October 2024
  • Heimtextil Uzbekistan; Texworld Tashkent; and, Apparel Sourcing Tashkent: 6 – 8 November 2024
  • Beautyworld Central Asia: 21 – 23 November 2024
Source:

Messe Frankfurt (HK) Limited

Celanese and Under Armour introduce elastane alternative (c) Celanese Corporation
24.01.2024

Celanese and Under Armour introduce elastane alternative

Celanese Corporation, a specialty materials and chemical company, and Under Armour, Inc., a company in athletic apparel and footwear, have collaborated to develop a new fiber for performance stretch fabrics called NEOLAST™. The innovative material will offer the apparel industry a high-performing alternative to elastane – an elastic fiber that gives apparel stretch, commonly called spandex. This new alternative could unlock the potential for end users to recycle performance stretch fabrics, a legacy aspect that has yet to be solved in the pursuit of circular manufacturing with respect to stretch fabrics.

NEOLAST™ fibers feature the powerful stretch, durability, comfort, and improved wicking expected from elite performance fabrics yet are also designed to begin addressing sustainability challenges associated with elastane, including recyclability. The fibers are produced using a proprietary solvent-free melt-extrusion process, eliminating potentially hazardous chemicals typically used to create stretch fabrics made with elastane.

Celanese Corporation, a specialty materials and chemical company, and Under Armour, Inc., a company in athletic apparel and footwear, have collaborated to develop a new fiber for performance stretch fabrics called NEOLAST™. The innovative material will offer the apparel industry a high-performing alternative to elastane – an elastic fiber that gives apparel stretch, commonly called spandex. This new alternative could unlock the potential for end users to recycle performance stretch fabrics, a legacy aspect that has yet to be solved in the pursuit of circular manufacturing with respect to stretch fabrics.

NEOLAST™ fibers feature the powerful stretch, durability, comfort, and improved wicking expected from elite performance fabrics yet are also designed to begin addressing sustainability challenges associated with elastane, including recyclability. The fibers are produced using a proprietary solvent-free melt-extrusion process, eliminating potentially hazardous chemicals typically used to create stretch fabrics made with elastane.

NEOLAST™ fibers will be produced using recyclable elastoester polymers. As end users transition to a more circular economy, Celanese and Under Armour are exploring the potential of the fibers to improve the compatibility of stretch fabrics with future recycling systems and infrastructure.

In addition to the sustainability benefits, the new NEOLAST™ fibers deliver increased production precision, allowing spinners to dial power-stretch levels up or down and engineer fibers to meet a broader array of fabric specifications.

Source:

Celanese Corporation

Yanfeng and TactoTek partner to enhance future vehicle interior applications (c) Yanfeng
21.12.2023

Yanfeng and TactoTek partner to enhance future vehicle interior applications

Yanfeng, an automotive supplier, and TactoTek, a pioneer in smart surface technologies, will collaborate on the development of highly integrated Human Machine Interface (HMI) solutions for future Smart Cabin applications. The goal of this partnership is to combine advanced lighting, user interfaces, as well as various decorative trim with a deeply integrated product approach.

Yanfeng has made the strategic decision to integrate TactoTek's Injection Molded Structural Electronics (IMSE) portfolio as a technological layer in its worldwide Smart Cabin business. The intention is to enhance the overall user experience by offering advanced lighting features and introducing new functional elements like HMI, haptic feedback, and display integration.

This approach enables Yanfeng to align with emerging automotive industry trends, including autonomous driving, and addresses non-driving related tasks (NDRTs), thereby shaping the future of Smart Cabins and redefining the driving experience.

Yanfeng, an automotive supplier, and TactoTek, a pioneer in smart surface technologies, will collaborate on the development of highly integrated Human Machine Interface (HMI) solutions for future Smart Cabin applications. The goal of this partnership is to combine advanced lighting, user interfaces, as well as various decorative trim with a deeply integrated product approach.

Yanfeng has made the strategic decision to integrate TactoTek's Injection Molded Structural Electronics (IMSE) portfolio as a technological layer in its worldwide Smart Cabin business. The intention is to enhance the overall user experience by offering advanced lighting features and introducing new functional elements like HMI, haptic feedback, and display integration.

This approach enables Yanfeng to align with emerging automotive industry trends, including autonomous driving, and addresses non-driving related tasks (NDRTs), thereby shaping the future of Smart Cabins and redefining the driving experience.

This collaboration strives to create a unique in-vehicle user experience by accelerating seamless lighting integration into all surfaces of future vehicle interiors. The IMSE technology offers a fresh unique design and styling principles for slim, compact configurations and unconventional shapes.

Source:

Yanfeng International

AZL Aachen GmbH: Kick-off meeting for "Trends and Design Factors for Hydrogen Pressure Vessels" project (c) AZL Aachen GmbH
21.12.2023

AZL Aachen GmbH: Kick-off meeting for "Trends and Design Factors for Hydrogen Pressure Vessels" project

The kick-off meeting for the "Trends and Design Factors for Hydrogen Pressure Vessels" project, recently held at AZL Aachen GmbH, was a successful event, bringing together more than 37 experts in the field of composite technologies. This event laid a solid foundation for the Joint Partner Project, which currently comprises a consortium of 20 renowned companies from across the composite pressure vessel value chain: Ascend Performance Materials, C evotec GmbH, Chongqing Polycomp International Corp. (CPIC), Conbility GmbH, Elkamet Kunststofftechnik GmbH, F.A. Kümpers GmbH & Co. KG, f loteks plastik sanayi ticaret a.s., Formosa Plastics Corporation, Heraeus Noblelight GmbH, Huntsman Advanced Materials, Kaneka Belgium NV, Laserline GmbH, Mitsui Chemicals Europe GmbH, Plastik Omnium, Rassini Europe GmbH, Robert Bosch GmbH, Swancor Holding Co. Ltd. Ltd., TECNALIA, Toyota Motor Europe NV/SA, Tünkers do Brasil Ltda.

The project follows AZL´s well proven approach of a Joint Partner Project, aiming to provide technology and market insights as well as benchmarking of different material and production setups in combination with connecting experts along the value chain.

The kick-off meeting for the "Trends and Design Factors for Hydrogen Pressure Vessels" project, recently held at AZL Aachen GmbH, was a successful event, bringing together more than 37 experts in the field of composite technologies. This event laid a solid foundation for the Joint Partner Project, which currently comprises a consortium of 20 renowned companies from across the composite pressure vessel value chain: Ascend Performance Materials, C evotec GmbH, Chongqing Polycomp International Corp. (CPIC), Conbility GmbH, Elkamet Kunststofftechnik GmbH, F.A. Kümpers GmbH & Co. KG, f loteks plastik sanayi ticaret a.s., Formosa Plastics Corporation, Heraeus Noblelight GmbH, Huntsman Advanced Materials, Kaneka Belgium NV, Laserline GmbH, Mitsui Chemicals Europe GmbH, Plastik Omnium, Rassini Europe GmbH, Robert Bosch GmbH, Swancor Holding Co. Ltd. Ltd., TECNALIA, Toyota Motor Europe NV/SA, Tünkers do Brasil Ltda.

The project follows AZL´s well proven approach of a Joint Partner Project, aiming to provide technology and market insights as well as benchmarking of different material and production setups in combination with connecting experts along the value chain.

The kick-off meeting not only served as a platform to foster new contacts and get informed about the expertise and interests of the consortium members in the field of hydrogen pressure vessels, but also laid the groundwork for steering the focus of the upc oming project's ambitious phases. As a basis for the interactive discussion session, AZL outlined the background, motivation and detailed work plan. The central issues of the dialogue were the primary objectives, the most pressing challenges, the contribut ion to competitiveness, and
the priorities that would best meet the expectations of the project partners.

Discussions covered regulatory issues, the evolving value chain and the supply and properties of key materials such as carbon and glass fibres and resins. The consortium defined investigations into different manufacturing technologies, assessing their matu rity and potential benefits. Design layouts, including liners, boss designs and winding patterns, were thoroughly considered, taking into account their implications for mobile and stationary storage. The group is also interested in cost effective testing m ethods and certification processes, as well as the prospects for recycling into continuous fibres and the use of sustainable materials. Insight was requested into future demand for hydrogen tanks, OEM needs and strategies, and technological developments to produce more economical tanks.

The meeting highlighted the importance of CAE designs for fibre patterns, software suitability and the application dependent use of thermoset and thermoplastic designs.

The first report meeting will also set the stage of the next project phase, which will be the creation of reference designs by AZL's engineering team. These designs will cover a range of pressure vessel configurations using a variety of materials and production concepts. The aim is to develop models that not only re flect current technological capabilities, but also provide deep insight into the cost analysis of different production technologies, their CO2 footprint, recycling aspects and scalability.

AZL's project remains open to additional participants. Companies interested in joining this initiative are invited to contact Philipp Fröhlig.

Priyam Patel at Pixabay
12.12.2023

Select Committee: Reset Economic Relationship with The People's Republic of China

The House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party, led by Chairman Mike Gallagher (R-WI) and Ranking Member Raja Krishnamoorthi (D-IL), adopted nearly 150 policy recommendations in a bipartisan report that outlines a strategy to fundamentally reset the United States' economic and technological competition with the People's Republic of China.

The House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party, led by Chairman Mike Gallagher (R-WI) and Ranking Member Raja Krishnamoorthi (D-IL), adopted nearly 150 policy recommendations in a bipartisan report that outlines a strategy to fundamentally reset the United States' economic and technological competition with the People's Republic of China.

After the adoption of the policy recommendations on an bipartisan basis, Chairman Gallagher and Ranking Member Krishnamoorthi said, “With this report, the Select Committee has shown that the bipartisan will exists to meet the call of history. It embraces the clear reality that our current economic relationship with the People's Republic of China needs to be reset in order to serve the economic and national security interests of the United States, while offering nearly 150 bipartisan recommendations for Congress to legislate. Collectively, these recommendations will reset the terms of our relationship with the PRC, prevent the flow of American capital and technology from supporting its military advances and human rights abuses, and build collective economic resilience in concert with our allies and partners while ensuring American leadership for decades to come."

Members of the Select Committee spent the past year investigating the CCP's decades-long campaign of economic and technological warfare. The members define three key pillars that inform each recommendation and the United States' path to correct 30 years of misguided policy:

  • RESET: Reset the Terms of Our Economic Relationship with the People's Republic of China.
  • PREVENT: Stem the Flow of U.S. Capital and Technology Fueling the People's Republic of China's Military Modernization and Human Rights Abuses
  • BUILD: Invest in Technological Leadership and Build Collective Economic Resilience in Concert with Allies
More information:
China USA
Source:

NCTO / The Select Committee on the CCP

11.12.2023

GOTS Pilot Project for Small Operators to attain Certification

In an initiative aimed at enhancing accessibility to certification for small operator groups within the organic textile value chain, the Global Organic Textile Standard (GOTS) is pleased to introduce its ongoing Controlled Supply Chain Scheme Pilot Project. The project, launched in 2022, was strategically developed to overcome the obstacles that often deter small-scale operators from pursuing GOTS certification.

Recognising that administrative complexities and financial burdens can impede these operators, the controlled supply chain scheme (CSCS) system was developed to mitigate these challenges. The supply chain requires an internal control and audit system, and small-scale operations benefit from a streamlined ‘group’ certification process, which reduces costs and eases administrative barriers.

In an initiative aimed at enhancing accessibility to certification for small operator groups within the organic textile value chain, the Global Organic Textile Standard (GOTS) is pleased to introduce its ongoing Controlled Supply Chain Scheme Pilot Project. The project, launched in 2022, was strategically developed to overcome the obstacles that often deter small-scale operators from pursuing GOTS certification.

Recognising that administrative complexities and financial burdens can impede these operators, the controlled supply chain scheme (CSCS) system was developed to mitigate these challenges. The supply chain requires an internal control and audit system, and small-scale operations benefit from a streamlined ‘group’ certification process, which reduces costs and eases administrative barriers.

Under the CSCS framework, a supply chain comprised of a minimum of eight and a maximum of thirty small-scale facilities, each with twenty or fewer workers, could be considered a single Certified Entity after a comprehensive risk assessment by their Certification Body (CB). SANKEI MERIYASU, a Japanese textile manufacturer, recently received GOTS certification through this project. SANKEI MERIYASU's success showcases the tangible impact of the CSCS system in empowering small-scale operators.

With the pilot due to be reviewed and evaluated next year, GOTS Managing Director Rahul Bhajekar is optimistic about the future of CSCS systems within GOTS. "The controlled supply chain scheme has the potential for substantial impact, empowering small operators in the organic textile supply chain and revolutionising GOTS certification. Our pilot project is proving that the scheme works as intended, overcoming barriers and expanding opportunities. We look forward to refining and validating the CSCS requirements, in hopes of implementing it fully for all markets in the future.”

More information:
GOTS certification
Source:

GOTS - Global Organic Textile Standard

15.11.2023

Indorama Ventures: 3Q23 Performance report

  • Revenue of US$3.9B, a decline of 1% QoQ and 20% YoY
  • EBITDA of US$324M, an increase of 1% QoQ and a decrease of 37% YoY
  • Operating cash flows of US$410M
  • Net Operating Debt to Equity of 0.97x
  • EPS of THB 0.00

Indorama Ventures Public Company Limited (IVL) reported stable third-quarter earnings as the company’s management focuses on conserving cash and improving competitiveness to bolster performance in a continued period of weakness in the global chemical industry.

Indorama Ventures achieved EBITDA of $324 million in 3Q23, an increase of 1% QoQ and a decline of 37% YoY, impacted by a weak economic environment, geopolitical tensions, and continued post-pandemic disruptions in global markets. Sales volumes dropped 5% from a year ago to 3.6 million tons as China recovers from the pandemic more slowly than expected and an extended period of destocking in the manufacturing and chemical sectors continues to normalize from unprecedented levels last year.

  • Revenue of US$3.9B, a decline of 1% QoQ and 20% YoY
  • EBITDA of US$324M, an increase of 1% QoQ and a decrease of 37% YoY
  • Operating cash flows of US$410M
  • Net Operating Debt to Equity of 0.97x
  • EPS of THB 0.00

Indorama Ventures Public Company Limited (IVL) reported stable third-quarter earnings as the company’s management focuses on conserving cash and improving competitiveness to bolster performance in a continued period of weakness in the global chemical industry.

Indorama Ventures achieved EBITDA of $324 million in 3Q23, an increase of 1% QoQ and a decline of 37% YoY, impacted by a weak economic environment, geopolitical tensions, and continued post-pandemic disruptions in global markets. Sales volumes dropped 5% from a year ago to 3.6 million tons as China recovers from the pandemic more slowly than expected and an extended period of destocking in the manufacturing and chemical sectors continues to normalize from unprecedented levels last year.

Management continues to focus on conserving cash, realizing efficiency improvements, and optimizing the company’s operational footprint to boost profitability. These efforts resulted in positive operating cash flow of US$410 million in the quarter, positive free cash flow of $79 million year to date, and room for further reductions in working capital going forward. The company’s AA- rating was maintained by TRIS in the quarter, with a stable outlook. 

The company expects the operating environment to improve in 2024 as customer destocking continues to ease across all three of Indorama Ventures’ segments. The ramp up of PET and fibers expansion projects operations in India and the U.S. will also contribute to increased volumes.  

Combined PET posted EBITDA of $146 million, a 25% decline QoQ, amid historically low benchmark PET margins, increased feedstock prices in Western markets, and lingering effects of destocking. Integrated Oxides and Derivatives (IOD) segment posted a 27% rise in EBITDA to $119 million QoQ, supported by strong MTBE margins in the Integrated Intermediates business. The Integrated Downstream portfolio’s profitability was impacted by destocking, inflationary pressures, and margin pressure from imports. Fibers segment achieved a 140% increase in EBITDA to $48 million QoQ as Lifestyle volumes grew in key markets in Asia, and the Mobility and Hygiene verticals benefited from management’s focus on optimizing operations and refocusing the organization. 
 

Source:

Indorama Ventures Public Company Limited

Trumpler and Archroma launch tanning process for leather production Photo: Archroma
06.11.2023

Trumpler and Archroma launch tanning process for leather production

Trumpler has teamed up with Archroma to offer a leather production process that can be used to produce high-performance leather in a more eco-friendly and cost-efficient way.

The new process DyTan®combines offers an alternative to existing metal-free and chrome-tanned leather. It enables the reliable production of leather with great shavability, color depth and migration and abrasion resistance. Free from metal salts and reactive aldehydes, DyTan® is suitable for a wide range of leather applications, from garment and footwear to automotive and furniture upholstery, for today’s eco-conscious leather producers and consumers.

At the core of the DyTan® process is Archroma’s patented AVICUERO® System, which is based on novel molecules that enable more sustainable leather tanning and dyeing, developed by Archroma in cooperation with leather technology consultant Dr Leather. It enables collagen fibers in the leather to be covalently cross-linked through a simplified process at low temperatures. As a result, the system shows strong potential to save energy and water, while also reducing process time and CO2 emissions by up to 23%.*

Trumpler has teamed up with Archroma to offer a leather production process that can be used to produce high-performance leather in a more eco-friendly and cost-efficient way.

The new process DyTan®combines offers an alternative to existing metal-free and chrome-tanned leather. It enables the reliable production of leather with great shavability, color depth and migration and abrasion resistance. Free from metal salts and reactive aldehydes, DyTan® is suitable for a wide range of leather applications, from garment and footwear to automotive and furniture upholstery, for today’s eco-conscious leather producers and consumers.

At the core of the DyTan® process is Archroma’s patented AVICUERO® System, which is based on novel molecules that enable more sustainable leather tanning and dyeing, developed by Archroma in cooperation with leather technology consultant Dr Leather. It enables collagen fibers in the leather to be covalently cross-linked through a simplified process at low temperatures. As a result, the system shows strong potential to save energy and water, while also reducing process time and CO2 emissions by up to 23%.*

The DyTan® process combines the AVICUERO® System with Trumpler’s bio-based fatliquors and retanning agents based on functional biopolymers produced from hydrolyzed shavings – resource-saving technology that Trumpler has been refining for 15 years.

As a global partner of Archroma, the Trumpler Group is responsible for the distribution of the AVICUERO® System worldwide. Delivering technical support and first-class customer care, Trumpler will help leather manufacturers and brands to implement sustainable tanning and draw on its comprehensive product portfolio and process knowledge of tanning, retanning and fatliquoring processes.
 

* Estimations carried out with the Archroma ONE WAY Impact Calculator show energy savings of up to 25% and reduced process time leading to a reduction in CO2 emissions of up to 23%, compared to traditional chrome tanning. They also show significant water savings compared to other metal-free tanning systems1. With the ONE WAY Impact Calculator, customers will be offered personalized calculations for their specific processes.

1 Trials made at Trumpler GmbH application lab.

Source:

Archroma

DITF: Lignin coating for Geotextiles Photo: DITF
Coating process of a cellulose-based nonwoven with the lignin compound using thermoplastic processing methods on a continuous coating line.
27.10.2023

DITF: Lignin coating for Geotextiles

Textiles are a given in civil engineering: they stabilize water protection dams, prevent runoff containing pollutants from landfills, facilitate the revegetation of slopes at risk of erosion, and even make asphalt layers of roads thinner. Until now, textiles made of highly resistant synthetic fibers have been used for this purpose, which have a very long lifetime. For some applications, however, it would not only be sufficient but even desirable for the auxiliary textile to degrade in the soil when it has done its job. Environmentally friendly natural fibers, on the other hand, often decompose too quickly. The German Institutes of Textile and Fiber Research Denkendorf (DITF) are developing a bio-based protective coating that extends their service life.

Textiles are a given in civil engineering: they stabilize water protection dams, prevent runoff containing pollutants from landfills, facilitate the revegetation of slopes at risk of erosion, and even make asphalt layers of roads thinner. Until now, textiles made of highly resistant synthetic fibers have been used for this purpose, which have a very long lifetime. For some applications, however, it would not only be sufficient but even desirable for the auxiliary textile to degrade in the soil when it has done its job. Environmentally friendly natural fibers, on the other hand, often decompose too quickly. The German Institutes of Textile and Fiber Research Denkendorf (DITF) are developing a bio-based protective coating that extends their service life.

Depending on humidity and temperature, natural fiber materials can degrade in the soil in a matter of months or even a few days. In order to significantly extend the degradation time and make them suitable for geotextiles, the Denkendorf team researches a protective coating. This coating, based on lignin, is itself biodegradable and does not generate microplastics in the soil. Lignin is indeed biodegradable, but this degradation takes a very long time in nature.

Together with cellulose, Lignin forms the building materials for wood and is the "glue" in wood that holds this composite material together. In paper production, usually only the cellulose is used, so lignin is produced in large quantities as a waste material. So-called kraft lignin remains as a fusible material. Textile production can deal well with thermoplastic materials. All in all, this is a good prerequisite for taking a closer look at lignin as a protective coating for geotextiles.

Lignin is brittle by nature. Therefore, it is necessary to blend the kraft lignin with softer biomaterials. These new biopolymer compounds of brittle kraft lignin and softer biopolymers were applied to yarns and textile surfaces in the research project via adapted coating systems. For this purpose, for example, cotton yarns were coated with lignin at different application rates and evaluated. Biodegradation testing was carried out using soil burial tests both in a climatic chamber with temperature and humidity defined precisely according to the standard and outdoors under real environmental conditions. With positive results: the service life of textiles made of natural fibers can be extended by many factors with a lignin coating: The thicker the protective coating, the longer the protection lasts. In the outdoor tests, the lignin coating was still completely intact even after about 160 days of burial.

Textile materials coated with lignin enable sustainable applications. For example, they have an adjustable and sufficiently long service life for certain geotextile applications. In addition, they are still biodegradable and can replace previously used synthetic materials in some applications, such as revegetation of trench and stream banks.

Thus, lignin-coated textiles have the potential to significantly reduce the carbon footprint: They reduce dependence on petroleum-based products and avoid the formation of microplastics in the soil.

Further research is needed to establish lignin, which was previously a waste material, as a new valuable material in industrial manufacturing processes in the textile industry.

The research work was supported by the Baden-Württemberg Ministry of Food, Rural Areas and Consumer Protection as part of the Baden-Württemberg State Strategy for a Sustainable Bioeconomy.

Source:

Deutsche Institute für Textil- und Faserforschung Denkendorf (DITF)

adidas Originals and Edison Chen announce Partnership (c) adidas AG
18.10.2023

adidas Originals and Edison Chen announce Partnership

adidas Originals and Edison Chen announce their global partnership, adidas Originals by Edison Chen, as Chen makes his return to the brand to begin a new era of collaboration that will redefine creative innovation and build a cultural legacy for the future.

Chen is the Founder and Creative Director of global lifestyle brand CLOT, which is celebrating its 20th anniversary this year. After moving from Vancouver to Hong Kong in his youth, the clash of East meets West began for him as he adapted to the exposure to different cultures. His experiences and new perspectives opened his eyes to globalism and started to lay the foundation for what would eventually become CLOT.

For his partnership with adidas Originals, Chen will bring an innovative vision and creative prowess to introduce exclusive collaboration styles, leveraging adidas’ extensive archive and history in the process. With a focus on fostering cultural exchange between the East and West, adidas is partnering with Chen to introduce collections that push boundaries and defy the norms with his thought-provoking designs.

adidas Originals and Edison Chen announce their global partnership, adidas Originals by Edison Chen, as Chen makes his return to the brand to begin a new era of collaboration that will redefine creative innovation and build a cultural legacy for the future.

Chen is the Founder and Creative Director of global lifestyle brand CLOT, which is celebrating its 20th anniversary this year. After moving from Vancouver to Hong Kong in his youth, the clash of East meets West began for him as he adapted to the exposure to different cultures. His experiences and new perspectives opened his eyes to globalism and started to lay the foundation for what would eventually become CLOT.

For his partnership with adidas Originals, Chen will bring an innovative vision and creative prowess to introduce exclusive collaboration styles, leveraging adidas’ extensive archive and history in the process. With a focus on fostering cultural exchange between the East and West, adidas is partnering with Chen to introduce collections that push boundaries and defy the norms with his thought-provoking designs.

Celebrating the shared commitment to creative innovation between adidas Original and Edison Chen, the “Change The Generation” collection explores three distinctly different styles ranging from ultra-lifestyle to formal dress and active/streetwear bringing to life a collection that can be explored individually as well as a collision of the three lifestyles together.  

Pieces from the collection will start becoming available in January 2024.

More information:
adidas adidas Originals partnership
Source:

adidas AG

06.10.2023

Accelerating Circularity launches Alliance of Chemical Textile Recycling (ACTR) with key members

The mission of Accelerating Circularity is to create new supply chains and business models to turn textile waste into mainstream raw materials. Accelerating Circularity has created a working group, the Alliance of Textile Chemical Recyclers (ACTR), to meet and address the textile industry with a common voice to facilitate accurate information on textile chemical recycling.

“We formed this collective to move chemical recycling technology forward, share common definitions, and address policies in a collaborative way to maximize the elimination of textile waste to landfills and incineration” explained Karla Magruder, Founder and President of Accelerating Circularity. “Chemical recycling technology has many benefits, including quality more similar to virgin fiber and the ability to recycle multiple times.”

ACTR plans to provide the industry with information on how textile chemical recycling can:

The mission of Accelerating Circularity is to create new supply chains and business models to turn textile waste into mainstream raw materials. Accelerating Circularity has created a working group, the Alliance of Textile Chemical Recyclers (ACTR), to meet and address the textile industry with a common voice to facilitate accurate information on textile chemical recycling.

“We formed this collective to move chemical recycling technology forward, share common definitions, and address policies in a collaborative way to maximize the elimination of textile waste to landfills and incineration” explained Karla Magruder, Founder and President of Accelerating Circularity. “Chemical recycling technology has many benefits, including quality more similar to virgin fiber and the ability to recycle multiple times.”

ACTR plans to provide the industry with information on how textile chemical recycling can:

  • offer solutions for diverting textile waste to landfill
  • enable textile to textile recycling versus incineration/landfill
  • provide sustainably sourced/circular materials
  • support brand/retailers/producers in achieving their CO2 reduction targets
  • provide long term price stability and consistent supply of raw materials versus virgin

Members of the Alliance include founding members Eastman, Lenzing, and The LYCRA Company, as well as key innovators Circ®, Sappi, Renewcell, Infinited fiber, Worn Again Technologies, Gr3n, CuRe Technology, and OnceMore® from Sodra.

As a first step, the ACTR (Alliance of Chemical Textile Recycling) is introducing a dictionary of common terms developed to educate the industry on the chemical recycling of textiles.

06.10.2023

Release of GOTS Due Diligence Handbook

The Global Organic Textile Standard (GOTS), in cooperation with the Hague-based UpRights Foundation, launches the GOTS Due Diligence Handbook for Certified Entities. This landmark publication is a crucial step forward in the promotion of sustainability, human rights and ethical business conduct in the textile sector.

Clear Guidance for GOTS Certified Entities Based on Recognised International Standards
The GOTS Due Diligence Handbook for Certified Entities is based on the recognised international frameworks, including the OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector (2018) and the UN Guiding Principles on Business and Human Rights (UNGPs). The Handbook offers GOTS Certified Entities clear guidance on integrating due diligence processes into their operations, thereby helping them to comply with domestic due diligence laws such as the German Supply Chain Law, French Vigilance Law, and upcoming EU legislation.

The Global Organic Textile Standard (GOTS), in cooperation with the Hague-based UpRights Foundation, launches the GOTS Due Diligence Handbook for Certified Entities. This landmark publication is a crucial step forward in the promotion of sustainability, human rights and ethical business conduct in the textile sector.

Clear Guidance for GOTS Certified Entities Based on Recognised International Standards
The GOTS Due Diligence Handbook for Certified Entities is based on the recognised international frameworks, including the OECD Due Diligence Guidance for Responsible Supply Chains in the Garment and Footwear Sector (2018) and the UN Guiding Principles on Business and Human Rights (UNGPs). The Handbook offers GOTS Certified Entities clear guidance on integrating due diligence processes into their operations, thereby helping them to comply with domestic due diligence laws such as the German Supply Chain Law, French Vigilance Law, and upcoming EU legislation.

A Comprehensive Blueprint
The GOTS Due Diligence Handbook for Certified Entities was developed as a structured roadmap, leading Certified Entities through the process of establishing and refining their management systems. The emphasis of the Handbook is on a holistic due diligence approach, ensuring that GOTS-certified companies not only identify but also proactively prevent and effectively mitigate potential adverse impacts on human rights and the environment. The Handbook ensures that GOTS Certified Entities are equipped with the knowledge and tools to respond to potential challenges, transforming them into leaders in responsible business conduct within the textile sector. The GOTS 7.0 criteria, bolstered by this Handbook, paves the way for a more sustainable and socially conscious business approach in the textile sector.

OECD Standards Assessment
GOTS is currently undergoing the OECD Alignment Assessment, a three-stage process that will result in a reputable, independent evaluation of the GOTS Criteria's alignment with the OECD's due diligence guidance documents. The process includes a Standards Assessment, an Implementation Assessment and a Credibility Assessment. As GOTS enters the Standard Assessment phase, it effectively showcases its dedication to sustainable practices, in line with the comprehensive international framework for responsible garment and footwear supply chain laid out in the OECD Due Diligence Guidance. This process, supported by the German Federal Ministry for Economic Cooperation and Development, began in July 2023 and is expected to be completed in January 2024.

Source:

GOTS - Global Organic Textile Standard

05.10.2023

EURATEX and CIE warn EU Presidency about de-industrialised Europe

Ahead of the extra-ordinary Council on 6 October in Granada, EURATEX President, Alberto Paccanelli, and CIE President, Jose Vte Serna, call on the EU Presidency to develop a new competitiveness strategy, which can relaunch the European industry and ensure it will remain competitive in the decades to come. This means bringing together trade, energy, state aid and sustainability policies into a single, integrated, comprehensive approach, which can support a robust and modern European manufacturing industry.  
 
To consolidate a strong industrial structure in Europe, the Union should

Ahead of the extra-ordinary Council on 6 October in Granada, EURATEX President, Alberto Paccanelli, and CIE President, Jose Vte Serna, call on the EU Presidency to develop a new competitiveness strategy, which can relaunch the European industry and ensure it will remain competitive in the decades to come. This means bringing together trade, energy, state aid and sustainability policies into a single, integrated, comprehensive approach, which can support a robust and modern European manufacturing industry.  
 
To consolidate a strong industrial structure in Europe, the Union should

  1. secure the supply of clean energy at a competitive cost;
  2. support innovation and foster the necessary talent pool and
  3. be more assertive in achieving an international level-playing field on sustainability, based on the European model.  

During the past few years the implementation of incoherent and conflicting objectives under the trade, energy, industrial and sustainability policy has been observed. As a matter of fact, while the circular economy promised to be a recipe for a competitive industry of the future, the likelihood of pushing the EU industry out of the market and driving investment elsewhere than in Europe is very high. If this approach were to continue in the next years, it will result in a de-industrialised Europe, depending on imports from abroad. Such a Europe would be more exposed to geopolitical turmoil, with no agency to deliver its vision of peace, well-being and a healthy environment to its citizens.

It is fundamental for Europe to pursue a more coherent set of policies that put the competitiveness of its domestic industry at the core. In this context, all the industrial manufacturing sectors should be in the scope, including the textile industry, given its importance in providing essential products and applications to our society. A first impactful action that can be taken in this direction, would be to expand the scope of the Net-Zero Industry Act (NZIA) to include the textiles and clothing industry.
 
The history of European industry is fully woven in the birth and expansion of the European textiles industry since the XVIII century. Still today, the European textiles and clothing industry holds a pivotal position in the market, encompassing a diverse range of sectors and applications. In terms of employment, our industry creates 1,3 million direct jobs in Europe, encompassing a wide range of roles, from design and production to distribution and retail. European textiles have a wide range of applications, the most common one is of course clothing and fashion. The industry has a long history of producing high-quality apparel, with various regions specializing in specific niches.
 
Beyond clothing, there is a wide range of industrial sectors were textiles play an essential role, including  Automotive (used for upholstery, interior components, and even lightweight composite materials), Aircraft and Shipbuilding (where textiles are employed for their lightweight and high-strength properties, to enhance fuel efficiency, reduce emissions, and improve overall performance), Building and Construction (insulation, roofing, geotextiles, and architectural textiles), or Personal Protective Equipment, for medical personnel, firefighters, police and army officers. This includes masks, gowns, uniforms, helmets, and fire-resistant clothing, ensuring safety in hazardous environments.
 
Textiles are essential components of our society and our well-being. It is key for Europe to maintain its capacity to manufacture high-quality, sustainable and high-technology textiles.  With this in mind, the competitiveness policy of the future and the related funds to support it, should include the textile ecosystem in its scope.  

 

More information:
Euratex EU council Policy Hub
Source:

Euratex

04.10.2023

Official launch of ReHubs Europe

At a kick off meeting hosted by Mango, EURATEX and 20 incoming members presented ReHubs Europe, a new international non-profit organisation poised to give a boost to the textile recycling. The launch follows three years of intense preparation, and the publication of a Techno-Economic Study, which analysed the business case, cost and environmental benefits for upscaling textile waste recycling in Europe.

ReHubs Europe will gather key players from the textile value chain - textile manufacturers, fashion brands, collectors and recyclers, chemical industry, technology providers - who welcome the ReHubs joint ambition to recycle 2.5 million tons of textile waste by 2030. This requires up to 250 industrial projects across Europe, covering different types of fibre-to-fibre recycling.

ReHubs Europe is the industry’s response to the upcoming EU legislation, which sets compulsory collection and sorting of textile waste, by 2025. To manage this, an upscale of recycling capacity is needed as well as a collaboration of different players from the value chain.

At a kick off meeting hosted by Mango, EURATEX and 20 incoming members presented ReHubs Europe, a new international non-profit organisation poised to give a boost to the textile recycling. The launch follows three years of intense preparation, and the publication of a Techno-Economic Study, which analysed the business case, cost and environmental benefits for upscaling textile waste recycling in Europe.

ReHubs Europe will gather key players from the textile value chain - textile manufacturers, fashion brands, collectors and recyclers, chemical industry, technology providers - who welcome the ReHubs joint ambition to recycle 2.5 million tons of textile waste by 2030. This requires up to 250 industrial projects across Europe, covering different types of fibre-to-fibre recycling.

ReHubs Europe is the industry’s response to the upcoming EU legislation, which sets compulsory collection and sorting of textile waste, by 2025. To manage this, an upscale of recycling capacity is needed as well as a collaboration of different players from the value chain.

Chris Deloof will lead ReHubs Europe as Executive Director. Chris has a long-standing experience in the textile sector and is a passionate advocate for cross-industry collaboration. Moreover, Chris is deeply committed to driving the transition towards a circular economy, which aligns seamlessly with ReHubs Europe's mission.

ReHubs Europe will operate from Brussels, in close partnership with EURATEX. Membership is open to any companies who wish to invest in textile waste recycling in Europe.

Source:

Euratex

Global Fashion Agenda presents new digital film series (c) Fashion Redressed
22.09.2023

Global Fashion Agenda presents new digital film series

Global Fashion Agenda (GFA) presented a new online film series: Fashion Redressed. Produced by BBC StoryWorks Commercial Productions, the captivating series intends to inspire the industry to take action to transform the way we produce and consume fashion.

Global Fashion Agenda (GFA) presented a new online film series: Fashion Redressed. Produced by BBC StoryWorks Commercial Productions, the captivating series intends to inspire the industry to take action to transform the way we produce and consume fashion.

Every day we express ourselves through our clothes. Encompassing cultures, personalities, traditions and beliefs, fashion is core to how we present ourselves to the outside world. But our consumption of fashion and clothing is pushing our planet and societies to its limits. Fashion trendsetters and pioneers are working to meet this challenge head-on with game-changing ideas. At the heart of this is the question: how can we keep expressing all we do through fashion, but without hurting the planet?
 
Focused on finding the answers, Fashion Redressed, comprises multiple films that showcase organisations from across the fashion and textile industries. Launched on a BBC.com microsite, the series spotlights the innovations across the world that are influencing the new seasons of fashion, featuring a collection of stories that depict tailor-made solutions to fit us and our planet.
 
The 11 self-contained branded films showcase a range of participants including: eBay, Elk, The Ellen MacArthur Foundation, Vestiaire Collective, Spinnova, Lenzing, Faherty, FarFetch, Waste2Wear, Colorifix and Forest Stewardship Council. Each film focuses on a bespoke solution that can benefit us and the planet. From the scientist taking inspiration from silk-spinning spiders in Helsinki and the duo taking a deep dive into the genetic makeup of colour in Cambridge, to the pre-loved clothes being brought to life on a global platform from Paris and the importance of cultural appreciation in Arizona, fashion gathers the most creative and innovative minds. This series expresses the dynamism and creativity of the fashion world, spotlighting the people weaving change into the fibres of fashion and those who are working to find the stylish side of a more sustainable sector.
 
The series was unveiled ahead of GFA’s landmark event – Global Fashion Summit: Boston Edition – on 27 September. The forum will bring together fashion stakeholders for agenda-setting discussions and productive meetings on critical environmental and social issues.

01.09.2023

OEKO-TEX® Annual Report 2022/2023: 21% growth

The international OEKO-TEX® Association, offering collaborative solutions for partners in the textile and leather industry, has once again recorded positive business development. Overall, OEKO-TEX® issued more than 43,000 certificates and labels between July 1, 2022, and June 30, 2023 - an increase of 21% compared to the previous financial year. The MADE IN GREEN product label recorded the strongest growth of 52%. OEKO-TEX® continues to drive urgently needed change through cooperation and joint action - with their services and at the organizational level.

The international OEKO-TEX® Association, offering collaborative solutions for partners in the textile and leather industry, has once again recorded positive business development. Overall, OEKO-TEX® issued more than 43,000 certificates and labels between July 1, 2022, and June 30, 2023 - an increase of 21% compared to the previous financial year. The MADE IN GREEN product label recorded the strongest growth of 52%. OEKO-TEX® continues to drive urgently needed change through cooperation and joint action - with their services and at the organizational level.

For their two new certifications, OEKO-TEX® focused on cooperation with numerous parties along the global supply chain. Launched in November 2022, OEKO-TEX® RESPONSIBLE BUSINESS addresses the increasing global expectations and due diligence requirements. The tool and certification supports textile and leather companies in preventing negative effects from their own business operations, supply chains and broader business relationships. Companies working with OEKO-TEX® ORGANIC COTTON benefit from a global network of certified companies to facilitate sourcing of chemicals, materials and business partners - from cultivation to finished product.

At the organisational level, OEKO-TEX® is focusing on partnerships with multi-stakeholder initiatives to include as many different perspectives as possible and allow all parties to benefit. Working with ZDHC to promote sustainable chemical management and becoming an ISEAL community member are just two of many collaborations for OEKO-TEX®, which is striving to address the industry's most pressing challenges.

Meanwhile, the Association’s core business advances. For example, based on industry developments and scientific findings, OEKO-TEX® issued a general ban on the use of per- and polyfluorinated alkyl substances (PFAS/PFC) in textiles, leather and shoes certified by STANDARD 100, ORGANIC COTTON, LEATHER STANDARD and ECO PASSPORT. OEKO-TEX® also surpassed the milestone of 1,000 STeP certified production facilities. OEKO-TEX® is in a strong position to continue its work - enabling the industry and consumers to make more responsible decisions through partnership and education.

Source:

Oeko-Tex GmbH

18.08.2023

Indorama Ventures: Performance Summary of 2Q23

  • Revenue of US$4B, a decline of 1% QoQ and 27% YoY
  • Reported EBITDA of US$321M, an increase of 7% QoQ and decrease of 68% YOY
  • Operating cash flows of US$491M
  • Net Operating Debt to Equity of 0.95x
  • Reported EPS of THB 0.04

Indorama Ventures Public Company Limited (IVL) reported marginally improved quarterly earnings as the company’s inherent advantages and continued focus on improving competitiveness helped bolster its business amid a continued weak operating environment.

  • Revenue of US$4B, a decline of 1% QoQ and 27% YoY
  • Reported EBITDA of US$321M, an increase of 7% QoQ and decrease of 68% YOY
  • Operating cash flows of US$491M
  • Net Operating Debt to Equity of 0.95x
  • Reported EPS of THB 0.04

Indorama Ventures Public Company Limited (IVL) reported marginally improved quarterly earnings as the company’s inherent advantages and continued focus on improving competitiveness helped bolster its business amid a continued weak operating environment.

Indorama Ventures achieved Reported EBITDA of $321 million in 2Q23, an increase of 7% QoQ and a decline of 68% YoY. Sales volumes remained resilient, rising 4% QoQ, amid continued destocking in the global chemicals industry from its peak in 4Q last year. Management is taking steps to conserve cash and safeguard the company’s competitive advantages as the global industry is impacted by increased capacity and lower margins with China boosting exports to offset muted domestic demand. Measures include redoubling efforts to reduce working capital and capex targeting $500 million of cash savings this year, optimizing the company’s European manufacturing footprint, and continued focus on Project Olympus, digitalization, and organizational enhancement.

Volumes are expected to improve in the second half of the year, with all three of Indorama Ventures’ business segments benefiting from the management measures and a gradual improvement in the outlook for the industry. Combined PET, the company’s largest segment, posted Reported EBITDA of $194 million, a 37% increase QoQ as destocking eased in most markets and supported stable volumes. Sales volumes are expected to grow in the second half of the year as manufacturing is optimized in Europe and expansion projects ramp up in India.

Fibers segment achieved Reported EBITDA of $20 million, a decrease of 37% QoQ, impacted by lower margins in the Lifestyle vertical and weak demand for Hygiene products in Europe. Volumes are expected to improve as manufacturing in Europe is optimized and expansion projects come online in the U.S and India. Mobility fibers volumes will see improvement in line with increasing automotive demand. Integrated Oxides and Derivatives (IOD) segment posted a 27% decline in QoQ Reported EBITDA to $94 million amid destocking in Crop Solutions market. Volumes will continue to be supported by reducing levels of destocking in the downstream portfolio.

Source:

Indorama Ventures Public Company Limited

07.08.2023

SGL Carbon: Confirmation of the full-year guidance for 2023

  • 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.

  • 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%).

Source:

SGL CARBON SE