From the Sector

Archroma is bringing its most impactful planet-conscious innovations, including SuperSystems+, to ChromaTexChem 2023 in Mumbai from December 19-20.

Super Systems+ is a new set of end-to-end systems that combine processing solutions and intelligent effects for the entire textile processing workflow, from sizing to finishing. Developed for different end-use segments – from blue and colored denim to performance athletic wear, bottom weights, towels and sheeting – Super Systems+ aims to empower fashion and textile brands and mills to add value to their products while they deliver measurable environmental impact and enhance production efficiency.

Super Systems+ leverages the industry’s broadest product portfolio and authentic evidence-based data to support informed decision making. It is supported by The SafeEdge by Archroma, an online portal that gives Archroma customers and brands real-time access to product-related regulatory and compliance certifications and information, as well as the Archroma ONE WAY Impact Calculator, a process simulation and calculation tool designed and used by our textile processing experts to provide our customers and partners with an accurate estimate of the process costs, resource utilization, effluent discharge quality, and CO₂ emissions of the existing production process and of the newly evaluated system. These help them to select solutions that meet their performance requirements and deliver against significant sustainability targets.

Re:NewCell AB (publ) has created a patented process for 100% textile-to-textile recycling and has invested over SEK 1,300 million to establish an innovative and efficient textile recycling plant. The industrial scale plant in Ortviken currently has a capacity to produce up to 60,000 tonnes on an annual basis.

As communicated on 12 October, the Company has experienced lower than anticipated sales volumes to fiber producers in the third quarter and as communicated on 1 November and 7 November, the Company had low sales volumes in October. In addition, sales volumes in November are now expected to be lower than previously anticipated and in line with October sales volume. Discussions are ongoing with a number of customers to secure orders, but it is uncertain when they will materialise.

Therefore, Re:NewCell hereby announces that its Board of Directors has decided to immediately initiate a strategic review to explore and evaluate various funding alternatives. As part of this process, the Board of Directors will consider all potential alternatives to secure funding and optimise shareholder value. Such alternatives may include additional debt funding, equity injection through the form of a rights issue, equity injection through a directed issue targeted to a financial or strategic investor or other possible strategic transactions.
The Board of Directors has retained ABG Sundal Collier as financial advisor to assist in its review of alternatives. Vinge has been appointed as legal advisor in connection with the review process.

The Board of Directors has not set a timetable for completion of its review, but the process will be initiated immediately. Subject to compliance with its ongoing disclosure obligations pursuant to applicable laws and regulations, Re:NewCell undertakes no obligation to make any further announcements regarding the strategic review until a final decision is made by the Company’s Board of Directors.

The Lenzing Group has concluded a supply contract with the Austrian electricity producer WLK energy for the purchase of around 13 megawatts of wind power. Lenzing is thus not only underlining its commitment to climate protection and the energy transition, but is also making a long-term investment in a price-stable and diversified electricity supply. The contract has a term of 15 years and provides for supply from the new wind farm in Engelhartstetten from the first quarter of 2025.

The construction of the wind farm is a joint project involving several partners, including the operator and electricity supplier WLK energy, based in Untersiebenbrunn (Lower Austria). The total output of the wind farm with a total of eleven wind turbines will be around 45 megawatts. The share of around 13 megawatts, which will be produced exclusively for the needs of the Lenzing site (Upper Austria), corresponds to the average electricity requirements of around 10,000 households per year in Austria. The ground-breaking ceremony to mark the start of construction took place on November 09, 2023 with representatives from politics and business.

In 2019, Lenzing was the first fiber manufacturer to set itself the goal of reducing its CO2 emissions by 50 percent by 2030 and becoming carbon-neutral by 2050. This CO2 reduction target was recognized by the Science Based Targets Initiative. In 2022, Lenzing opened Upper Austria's largest open-space photovoltaic plant together with Verbund and also signed an electricity supply contract for photovoltaic energy with the green electricity producer Enery and Energie Steiermark.

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.

Stahl, a leading provider of coating technologies for flexible substrates, has been awarded a Platinum rating by the sustainability rating agency EcoVadis for the second consecutive year. For the 2023 EcoVadis assessment, Stahl’s rating increased by three points compared to its 2022 score, reflecting the company’s improved performance in the area of labour and human rights.

Progress in the Labour & Human Rights category
The 2023 EcoVadis assessment revealed the progress Stahl is making in the Labour & Human Rights category, where Stahl scored 90 out of a possible 100 points. This reflects the company's recent work to improve its health and safety management systems. In particular, the majority of Stahl’s global manufacturing sites are now ISO 45001 certified and more than 94% are ISO 14001 certified. Stahl has also taken steps to improve its approach to employee career development and well-being. These include the creation of an individual career plan for all employees and the introduction of a new company-wide employee satisfaction survey.
 
Stahl moves forward with 2030 ESG ambitions
Stahl has set a 2030 target to maintain its EcoVadis Platinum rating by working closely with its value chain partners to help them reduce their impact. In 2022, 83% of Stahl’s total spend on raw materials was sourced from EcoVadis-rated suppliers.

EcoVadis is a globally recognised, evidence-based rating platform that assesses the performance of more than 90,000 organisations against key sustainability criteria across four categories: Environment, Labour & Human Rights, Ethics and Sustainable Procurement. For the 2023 EcoVadis assessment, Stahl received an overall score of 80 out of 100, up from 77 in 2022. This score indicates an advanced level of sustainability maturity and ensures that Stahl retains its Platinum rating. This is awarded to the top 1% of companies assessed by EcoVadis. Stahl achieved its first Platinum rating in 2022, having undergone its first EcoVadis assessment in 2015.

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.

Kornit Digital LTD. issued its Impact Report for 2022, highlighting the Company’s progress against its long-term goals related to climate action, waste management, green chemistry, and workplace diversity. This third-annual report reinforces Kornit’s commitment to an Environmental, Social, and corporate Governance (ESG) strategy that aims to transform the fashion and textile industry into one that is significantly more sustainable and ethical.

“As a change-maker and leader in fashion and textiles, we take our responsibility seriously to foster an industry that is cleaner and safer, as well as one that is more responsible and diverse,” said Ronen Samuel, Chief Executive Officer at Kornit Digital. “We consider ourselves an agent of long- term industry-wide change by enabling our customers to be more sustainable, while also minimizing the social and environmental impact of our operations. The Kornit 2022 Impact Report reflects this commitment to transforming the industry and creating a brighter future for the planet and the people who inhabit it.”

Download the 2022 Impact Report here.

The Lenzing Group, a world-leading provider of specialty fibers for the textile and nonwoven industries, has been awarded platinum status in the EcoVadis CSR rating. The rating comprehensively covers the four most important practices in the area of corporate social responsibility: environment, fair working conditions and human rights, as well as ethics and sustainable procurement.

For the third time, Lenzing has been awarded Platinum status for its sustainability performance by EcoVadis, a leading international provider of sustainability ratings for companies. This puts Lenzing in the top one percent of companies worldwide rated by EcoVadis.

EcoVadis has become the world's largest and most trusted provider of corporate sustainability ratings since its founding in 2007, creating a global network of more than 100,000 rated companies worldwide. The methodological framework assesses companies' policies, actions and activities, as well as their published reports, related to the environment, labor and human rights, ethics and sustainable procurement.

In line with its sustainability strategy “Naturally positive”, the Lenzing Group has set ambitious targets in each of its core strategic areas to further strengthen its path from a linear to a circular economy model. Lenzing reports annually on the corresponding implementation measures and the progress made in its sustainability report. This level of commitment and transparency was particularly positively highlighted by EcoVadis in its assessment. The rating provider also emphasized the Lenzing Group's comprehensive measures in the areas of environment, ethics, and labor and human rights.

Fashion for Good launches new pilot with brand partners adidas, Inditex, Target and Zalando, and footwear recycling innovator FastFeetGrinded to test and validate the innovative footwear recycling process to support the uptake of recycled content in footwear, driving the change towards a more circular footwear industry.

Globally, 24 billion shoes are added to the market each year*, and a staggering 90% of shoes are either landfilled or incinerated*. To tackle this challenge, Fashion for Good has launched a new pilot with partners adidas, Inditex, Target and Zalando, in collaboration with innovator FastFeetGrinded, aiming to test and validate the footwear recycling process and support the uptake of recycled materials in footwear. FastFeetGrinded possesses the unique capability to deconstruct any type of pre- and post-consumer shoe, breaking it down into its macro-components. These macro-components are then subsequently grinded down into smaller high purity granulates which FastFeetGrinded may use to create material streams for repurposed use.

Through this collaborative pilot, the partners will divert pre- and post-consumer footwear to FastFeetGrinded, who will transform them into various new material granulates. The next step involves FastFeetGrinded’s network of supply chain partners, who will produce output products, such as outsoles, midsoles, and flip flops. The brands will closely evaluate the products’ quality and purity, aiming to showcase the potential of FastFeetGrinded's footwear recycling technology and pave the way for scalable solutions.

*World Footwear Yearbook (2020). Footwear production with a new record of 24.3 billion pairs.
*Vivobarefoot. 22 billion pairs of shoes are dumped into landfill each year. It’s time for change.
*WRAP (2019) Valuing our Clothes.
*Material Innovation Initiative (2021). 2021 State of the Industry Report: Next-Gen Materials.

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.