From the Sector

The KARL MAYER GROUP is intensifying its business activities in Turkey and is setting up a subsidiary in Bursa. The opening of the new site is planned for October 2023.

The company's success on the market to date has been made possible to a large extent by its close and long-standing cooperation with Erko, the KARL MAYER GROUP's regional representative. The two companies have been cooperating for more than 50 years and see further positive market development in Turkey in the medium to long term.

In order to exploit and shape the potential, they will sharpen the focus of their competences in the Warp Knitting and Warp Preparation Business Units: Erko A.S. will focus on sales, taking advantage of its long-standing regional network. The KARL MAYER GROUP will take over the after-sales service and offer customers a link to the Care Solutions world of the group. Customers benefit from next-level support with many innovative solutions, especially digital ones, for meeting the challenges of our time. At the same time, they can continue to build on the tried and trusted.

The headquarters in Bursa covers just under 1,000 m² on three levels. It offers space for service, an academy with textile samples and a training machine, a workshop for minor repairs and a warehouse for the spare parts business. Located in the top-selling region in Turkey, it is also designed as a contact point for customers.

Thanks to its strong position on the Turkish market, the KARL MAYER GROUP intends to support the companies here, most of which are family-run, in the forthcoming generational changes, and to provide the next generation with specialist support and qualifications.

To reach its goal of being the world’s leading supplier of enhanced recycled polyethylene terephthalate (PET), gr3n is signing a binding Memorandum of Understanding (MOU) with its shareholder Intecsa Industrial to set up a Joint Venture.

gr3n together with Intecsa Industrial will join forces and build a “First-of-a-Kind” manufacturing facility able to produce 40.000 tons of virgin-like PET, commencing EPC phase in Q4-2024 and aiming to be operational in 2027. gr3n’s chemical recycling technology is capable of processing PET from various industries including textile waste, closing the loop for hard-to-recycle PET applications.

The world’s first industrial-scale MADE PET recycling plant will have the capability to process post-industrial and post-consumer PET waste including hard-to-recycle waste, to produce approximately 40.000 tons of virgin PET chips from the recycled monomers saving nearly 2 million tons of CO2 during its operating life. The post-consumer and/or post-industrial polyesters will be both from bottles (colored, colorless, transparent, opaque) and textiles (100% polyester but also mixtures of other materials like PU, cotton, polyether, polyurea, etc. with up to 30% of presence in the raw textile).

The technical concept of the MADE plant is to break down PET into its main components (monomers) so they can potentially be re-polymerized endlessly to provide brand new virgin PET or any other polymer using one of the monomers. Polymers obtained can be used to produce new bottles/trays and/or new garments, essentially completely displacing feedstock material from fossil fuels, as the recycled product has the same functionality as that derived traditionally. This means that gr3n can potentially achieve bottle-to-textile, textile-to-textile, or even textile-to-bottle recycling, moving from a linear to a circular system.

gr3n’s process has the potential to change the way PET is recycled worldwide, enabling huge benefits for both the recycling industry and the entire polyester value chain. Many efforts have been made in the past to transfer enhanced recycling from research laboratories to the manufacturing industry, but the economics and skepticism of the first adopters have constantly blocked the progress of the proposed solutions. Thanks to the MADE technology developed by gr3n, this approach is now feasible and makes gr3n one of the few companies with the potential to provide a reliable enhanced recycling solution that closes the life cycle of PET, and also offers food grade polymer material, processes a large variety of waste and reduces the carbon footprint of these materials usually destined for incineration or landfill.

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

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

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

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

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

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

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

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

On June 26, 2023, the Alexander Zverev Foundation and WorldChanger founder Robert Laner hosted an exclusive charity tennis tournament at the Bio and Wellness Resort Stanglwirt in Tyrol, Austria.

Based on the motto "helping by playing", 24 top-class athletes and celebrities came together to play tennis doubles for a good cause. Participants in this special event included Olympic champion and two-time ATP world champion Alexander Zverev, actress and presenter Palina Rojinski, influencer & entrepreneur Pamela Reif, soccer world referee Dr. Felix Brych, ski legend Maria Höfl-Riesch, actor Herbert Knaup, rapper Kool Savas, ski jumper Gregor Schlierenzauer, actor Hans Sigl, tennis legends Barbara Schett and Charly Steeb, soccer world champion Roman Weidenfeller, influencer Younes Zarou, and many more.

BOGNER took part in this event and equipped the participants with suitable sports and tennis wear. The collected proceeds of more than 100,000 euros will benefit the Alexander Zverev Foundation, which supports children and young people affected by diabetes. The Alexander Zverev Foundation is helping to raise awareness and acceptance of diabetes within the public discourse, as Alexander Zverev himself is affected by the disease. To wrap up this unforgettable experience, the tennis tournament then evolved into an exclusive Red Carpet evening event. The invited guests met for the award ceremony and a closing speech by Alexander Zverev and Robert Laner on the topic of "Diabetes, the right mindset on the way to the world's best and positive change" at the mountain chalet Hüttlingmoos, directly below the Wilder Kaiser. The grand finale of the day in the mountains was then the outdoor party, again in Hüttlingmoos, with live music from the Fast Boys and star DJ Topic.

The PREMIUM and SEEK teams around Anita Tillmann and Jörg Arntz prove their skills with the success of the new Trend and Event Platform. The format, newly shortened to just two days, showed a total of 450 curated, international brands of the new generation, with 250 brands at PREMIUM and 200 brands at SEEK. The motto was quality over quantity. In addition to the brands, the focus was clearly on the know-how of experts from sustainability, tech, and business. If you didn't discover or learn anything new in the last two days you missed out. Visitors from all over the world came to Station Berlin to see what the Premium Group had come up with for this edition - and it did not disappoint.

PREMIUM reinvents itself
The newly curated brand portfolio with many international and unexposed brands were very well received by the community and invited buyers and visitors to explore a diverse, exciting, and coherent brand landscape. The atmosphere was characterised by lightness, lots of sunshine, and good conversations.

For the first time, PREMIUM and the Fashion Council Germany joined forces to present the showroom "CURATED by Fashion Council Germany" with avant-garde designers from Germany and Ukraine. The tech format Yonnaverse addressed the most important innovations for profitability and sustainable growth through digital progress. The event took place physically, digitally, and in the Metaverse.

Iranian artist and milliner Maryam Keyhani showed what surrealism marketing and tangible art can look like with her oversized hat, which floated happily over the grounds and caused surprised faces. The installation by the Italian designer Innerrraum from Berlin was dedicated to Anita Tillmann in gratitude for her international success. Artists such as Sophie Douala from France, Claudia Gillies from New Zealand, and Grycja Erde from Ukraine were a welcome addition in making the PREMIUM visit an experience.

The diverse portfolio also included a range of beauty brands and the beauty lounge offered much-loved make-up, hair and nail touch ups. There were also many new things to discover in the retail sphere. Vintage & Rags presented a new retail concept for second-hand fashion and SPSR showed how to take retail entertainment to the next level through unique live consumer engagement. On the Content Cube stage, Daniel Steindorf, the former owner of Überfahrt, spoke with Inga Klaassen from J'N'C about hospitality fusion, community, and retail, next to other speakers.

SEEK put a stronger focus on sustainability
As in previous editions, a relaxed and positive mood prevailed at SEEK. The community was happy to finally fall into each other's arms again. SEEK convinced with high-quality and original brands and an even stronger focus on sustainability. For the first time, SEEK's brand portfolio consisted of 50% sustainable brands, further strengthening the Conscious Club and allowing it to flourish. The Conscious Club was supported by the sustainability experts from studio MM04, whose 202030 - The Berlin Fashion Summit Denim Pop-up ensured a full Content Cube.

Decision-makers and fashion professionals discussed the learnings of the denim transformation, the new green claims of the EU textile strategy as well as pragmatic solutions on how to remain and act more sustainable and competitive as an industry and individual brand. As a counterpart to Black Friday, Cold Friday, initiated by Dojo Cares, was presented as the "biggest awareness campaign since sales days have existed". Fair fashion and fair working conditions were the focus of the final conference of the "Good Clothes Fair Pay" press conference by Fashion Revolution, which was also part of the Conscious Club. On top of a lot of sustainability inspiration, for the first time there was a space for D2C brands such as VGB and ADR Atelier Roupa, who were involved both as brands and as speakers in the content programme. For two days, two stages were filled with talks and panels with the most relevant themes from fashion, lifestyle, culture and business. Gen Z, Gen Y and Gen Alpha met for espresso martinis and club culture vibes at "Platte raves the Ground" to discover and stage the coolest styles of the scene.

International technology group ANDRITZ has installed a new spunlace pilot line at its center of competence in Montbonnot, France. It allows customers and partners to conduct trials for producing nonwovens from recycled and/or natural fibers such as hemp, flax, and cotton.

The new pilot line features optimized web forming and entanglement for smooth processing of sensitive and irregular fibers. The innovative card set-up is designed to protect and maintain the quality of the fibers while achieving outstanding productivity rates.

Another special feature of this pilot line is the integrated ANDRITZ Metris digitalization system. It allows the operators to collect and analyze all useful data about the line’s capacity and performance. This is a perfect tool for optimizing costs, saving time and predicting maintenance.

With the new line, the ANDRITZ Nonwoven team now operates two spunlace pilot lines at the Montbonnot technical center. The first line has optimized processes, for instance WetlaceTM, for processing various synthetic and man-made fibers. ANDRITZ process experts ensure that advanced technology and know-how are available under one roof at Montbonnot.

From circular knitting machines and braiders via upgrades to digital solutions, Mayer & Cie. presented at ITMA 2023 a wide range of solutions that make circular knitting machines and braiding machines even more durable and thereby more valuable, for which the long-established firm received a positive visitor response.

From machinery manufacturer to solution provider
Three circular knitting machines – a Relanit 3.2 HS, an SF4-3.2 III and the OVJA 2.4 EM – and an MR-15/18C/Single Deck braiding machine took up about half the floor space of Mayer & Cie.’s ITMA stand. That reflected the weighting of the trade fair presentation. Along with high-tech circular knitting and braiding products the Mayer & Cie. focus at this year’s ITMA was on solutions that increase the value and durability of its machines. Including the digital platform knitlink, the new Control 5.0 machine control system, the camera-assisted error recognition system knithawk, almost a dozen upgrade kits for existing machines and the new oiler system Senso Blue RS.

Trade fair debut for Mayer & Cie. braiding machine
Mayer & Cie. also exhibited a braiding machine at ITMA for the first time. The company has integrated the braiding division at is Albstadt headquarters since 2019. “Braiding machines are a part of textile machinery,” said Mayer & Cie. Managing Partner Benjamin Maye, “but we nevertheless saw presenting the MR-15/18C/SD braider at ITMA as an experiment – and are satisfied with the result. The machine attracted a great deal of attention and we were able to make interesting contacts.”

A positive conclusion on ITMA 2023
Expectations of this year’s ITMA were moderate, Benjamin Mayer said. “War, high energy prices, inflation and recession are the signs of the times. Not even an ITMA is going to change that.” In addition, there had been serious problems with the issue of visas that had made it impossible for many potential visitors to attend the trade fair.

The Mayer & Cie. management therefore judged its success not by the general demand but by the positive visitor feedback. “For us that was an indicator of our future competitiveness,” said CEO Benjamin Mayer, “and we can definitely be sure of that with our developments.”

ERCA successfully showcased their latest product during the recent ITMA 2023 exhibition, taking the opportunity to share with ITMA visitors the journey that stood behind the creation of REVECOL®.

REVECOL® transforms critical waste materials (exhausted vegetable oils) into a line of innovative and responsible chemical auxiliaries destined for the entire textile industry and its various applications, offering different characteristics: circular DNA, certification, safety, high performance, competitivity and applicability on any type of textile fiber, whether virgin or recycled.

Patagonia® and trim supplier YKK teamed up with ERCA to deploy REVECOL® in their manufacturing process. This alliance was presented to ITMA visitors as an example of what the industry can achieve through collaborative practices.

The process of sharing REVECOL® with the industry really started with the announcement of ERCA’s partnership with Patagonia® and YKK and deepened during the session Upcycling Minds Think Alike moderated by Giusy Bettoni, CEO and Founder, C.L.A.S.S. (Creativity, Lifestyle and Sustainable Synergy), and which saw the participation of Matt Swartz, Color and Material Quality Manager of Patagonia®, Fabio Locatelli, Head of ERCA, Textile Specialties Business Unit and Mike Maekawa, Sales and Business Development Manager, YKK Vietnam.

The Sorting for Circularity USA consortium project welcomes new partners and expands its North American geographical scope. Fashion for Good is pleased to announce the addition of lululemon as an external brand partner, joining the existing seven brand partners. They also welcome their new implementation partners Helpsy, United Southern Waste Material, Goodwill Industries International Inc., and its members Goodwill of Colorado, Goodwill Industries-Suncoast, Inc., Goodwill of the Finger Lakes, and Goodwill of San Francisco Bay. Additionally, Fashion for Good is pleased to recognise adidas as the project's lead sponsor, facilitating the complete realisation of the project scope.

Fashion for Good, together with Resource Recycling Systems, launched the Sorting for Circularity USA consortium project in January 2023. The project will conduct an extensive consumer survey to map the journey of a garment from closet to end of use, and present a comprehensive snapshot of textile waste composition generated in the United States. The insights gained from this 18-month project will help to scale collection, sorting, and recycling innovations and inform decisions on necessary investments and actions.

Within the first 6 months, the project has expanded to cover 6 key states: California, Texas, Florida, New York, New Jersey and Colorado. Additional implementation partners have also signed on to support the fibre composition data analysis: Secondary Materials and Recycled Textiles (SMART) Association, Helpsy, United Southern Waste Material, and Goodwill Industries International Inc., with its members Goodwill of Colorado, Goodwill Industries-Suncoast, Inc., Goodwill of the Finger Lakes, and Goodwill of San Francisco Bay. Resource Recycling Systems will drive the dissemination and analysis of the consumer survey together with New York State Center for Sustainable Materials Management and Syracuse University Center for Sustainable Community Solutions, and execute the textile composition analysis using Matoha’s near infrared devices with advisory support from Circle Economy.

Demonstrating the importance of pre-competitive collaboration in tackling the industry’s biggest challenges, lululemon joins Eastman, H&M and Nordstrom as key project partners, together with Fashion for Good corporate partners adidas, Inditex, Levi Strauss & Co., and Target. Adidas' lead sponsorship ensures a deeper analysis of USA textile waste infrastructure and the identification of valuable opportunities for advancement.

In the USA, textile waste is the fastest-growing segment of the country's waste stream, with 85% of discarded textiles ending up in landfills*. Understanding the composition of material, volume and location of used textiles is crucial for capturing them and sorting them for the best and highest quality end use. Moreover, the range of national and regional geographies within the Sorting for Circularity project series enables for nuanced cross-country comparisons - revealing differences in the textile waste generated and infrastructure required.

Sorting for Circularity, a framework co-developed by Fashion for Good and Circle Economy, aims to (re)capture textile waste by unlocking the feedstock potential for recycling, expedite the implementation of game changing automated sorting technologies such as near-infrared spectroscopy and advanced textile-to-textile recycling, and drive circularity within the fashion value chain. The project builds on the success of Sorting for Circularity Europe and India, which revealed insights on material composition, volume, and location of used textiles and provided a solid foundation to accelerate textile recycling in those respective geographical locations.

*United States Environmental Protection Agency (2019). National Overview: Facts and Figures on Materials, Wastes and Recycling.

Silence and resource efficiency are the order of the day in the development and optimization of electric vehicles. On the one hand, ever stricter emissions regulations worldwide are increasing demand for components that reduce noise pollution while helping vehicle manufacturers meet their sustainability targets. On the other hand, the absence of noise from the combustion engine in e-cars amplifies the disruptive effects of other noise sources in the passenger compartment. With Ultra-
Silent Tune, Autoneum now presents a new lightweight and environmentally friendly technology for underbody shields that reduces tire rolling noise both outside and inside the vehicle, thus improving not only acoustic performance but also driver comfort in electric cars.

Autoneum's Ultra-Silent Tune technology owes its sound-absorbing performance to acoustic chambers of different shapes and sizes. The chambers are created by applying an embossed polyester foil to the side of the Ultra-Silent underbody shield facing away from the noise source: they capture the sound waves emitted by the car tires, modulate them according to their respective geometry and reflect them back onto the porous carrier material. Compared to conventional single-layer underbody shields, whose acoustic performance is mainly determined by the noise-reducing properties of the product side facing the tires, Ultra-Silent Tune exploits both sides of the component, which significantly improves its acoustic absorption. Autoneum thus makes innovative use of the proven concept of traditional chamber absorbers, reducing exterior tire rolling noise.

Moreover, Ultra-Silent Tune combines optimized acoustic performance with the sustainability benefits of Autoneum's Pure technology Ultra-Silent. In addition to the high proportion of recycled PET fibers, underbody shields made from Ultra-Silent Tune can be manufactured from 100% polyester and thus be fully recycled at the end of vehicle life. Furthermore, the thickness of the multilayer construction can be flexibly adapted to the packaging spaces of different vehicle models. Underbody shields made from Autoneum's new Ultra-Silent Tune technology are already in pre-development at various vehicle manufacturers in Europe.