From the Sector

The Tuscan tannery Vesta Corporation has presented to its stakeholders a report outlining its current commitment and future objectives, with a view to innovating, safeguarding and fostering high-end leather material processing.

Ever since it was founded in 1966 in Ponte a Egola, the Tuscan hub for the production of leather for vegetable tanned soles, Vesta has been a supplier and partner of haute couture and sportswear brands, from lightweight calf and half-calf leather, to heavy leathers made with hind and rump hide, for leatherware and shoes.

To draft this Report, reference was made to the “Global Reporting Initiative Sustainability Reporting Standards” established by the Global Reporting Initiative (GRI). The information in the balance sheet refers to the year 2022 (from 1 January to 31December 2022). Wherever possible, data for the previous year are included, to allow for a comparison of data over time and to assess the trend of Vesta activities. Sustainability is an objective-driven process. This means that comparing data allows for concretely measuring the company’s progress, as it pursues this accounting process year after year.

The improvement actions already implemented by Vesta involve corporate responsibility from an environmental, social and governance perspective. An example are the improved heating and processing plants (which entails the construction of a new tumbling department based on 4.0 technology). This guarantees significant energy, water and economic savings. Along with numerous corporate certifications, the company has passed the Raw Material Traceability test with a score of EXCELLENT, as well as the Carbon and Water footprint analysis.

As confirmation of its commitment to improving corporate performance levels, Vesta has been upgraded from BRONZE (2020) to GOLD in 2023, as assessed by the Leather Working Group (which measures leather manufacturers’ environmental performance for ecological production and for a systemic management of quality, environmental, safety and ethical factors).

Becoming energy-independent is a major step in the pipeline, involving the installation of a photovoltaic plant. This is complemented by the implementation of a project aimed at totally compensating its CO2 emissions for the year subject to accounting and certification. This neutrality will be achieved through the acquisition of credits deriving from projects certified by the United Nations. For example, with the construction of an important hydro-electric plant to which Vesta is contributing. With regard to production, corporate research is currently focused on developing solutions to reduce water and energy use. It is also implementing circular trends by adopting an increasing number of bio-based products, to guarantee the most sustainable end-of-life and waste management for its products.

CARBIOS published its second Sustainability Report with 2022 as the reference year. Like the first, this report is not subject to any publication obligation for the company, confirms CARBIOS' commitment and desire for transparency in terms of environmental, social and governance (ESG) initiatives.

In 2022, several objectives were achieved:

• Increase of the number of independent directors on the Board of Directors,
• Completion of the first carbon footprint report to sustainably reduce greenhouse gas emissions,
• Consolidation of the life cycle analysis (LCA) of the PET enzymatic depolymerization process,
• Continuation of employee training in safety and environmental issues.

In October 2023, CARBIOS appointed Bénédicte Garbil as Senior Vice President of Corporate Affairs and Sustainability: "In 2022, CARBIOS strengthened its governance, building a solid foundation for our continued growth and commitment to Corporate Social Responsibility (CSR). This strategic development demonstrates our commitment to operational excellence and transparency. We have integrated the principles of sustainability, ethics and environmental responsibility at the heart of our governance, putting CSR at the forefront of our actions."

CARBIOS, a pioneer in the development and industrialization of biological technologies to reinvent the life cycle of plastic and textiles, has received an initial payment of €1.2 million from the French Agency for Ecological Transition (ADEME) for the OPTI-ZYME research project, carried out in partnership with INRAE2, INSA3 and CNRS4 via the TWB5 joint service and TBI6 research units, a project co-funded by the French State as part of France 2030 operated by ADEME. With CARBIOS' aim to optimize and continuously improve its unique enzymatic PET depolymerization technology, the 4-year7 OPTI-ZYME project aims to investigate the scientific and technical levers for improving the competitiveness of the process, optimizing the necessary investments and reducing its environmental footprint.

This collaborative R&D program focuses on the technical and economic optimization of process stages, while preserving the quality of the monomers obtained. These optimizations, new developments and the exploration of innovative solutions should enhance the technology's flexibility with regards to incoming waste. Raw materials could come from different sources that are currently rarely or not recycled, notably food trays and textiles, or a mix of incoming materials. It also aims to limit input and water consumption, as well as regenerate or reduce co-products and ultimate residual waste. Finally, it seeks to support enzyme optimization to maximize the process’ economic profitability and competitiveness.

The project therefore aims to achieve an overall improvement in performance, combining efficiency, quality and environmental sustainability, to benefit the Longlaville plant which is currently under construction, and future licensed plants.

In May 2023, CARBIOS, the project leader and coordinator, announced that it had been awarded a total of €11.4M in funding by the French State as part of France 2030, operated by ADEME, including €8.2M directly for CARBIOS (€3.2M in grants and €5M in repayable advances) and €3.2M for its academic partners INRAE, INSA and CNRS (via the TWB mixed service and TBI research units). This funding, which is made up of grants and repayable advances, will be paid out in several instalments over the course of the project, including an initial instalment of 15%, equivalent to €1.2 million, received by CARBIOS on 5 December 2023. The first Monitoring Committee with ADEME for the first key stage of the project will be held in February 2024 to validate the granting of the second instalment of funding.

This project 2282D0513-A is funded by the French State as part of France 2030 operated by ADEME.

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.

adidas launches the iconic three-stripes brand on Roblox, a global, immersive platform for communication and connection. The experience kicks off with pop-up stores, carrying officially licensed digital clothing and bespoke outfits for the platform (UGC). These digital wearables and accessories will begin appearing across a range of Roblox experiences, fusing physical and virtual realms to bring adidas’ famous designs to a new generation of digital trendsetters and innovators. Roblox users can now dress up their avatars with some of adidas most iconic pieces such as the firebird tracksuits. All items will be available on the Roblox Marketplace, ensuring accessibility and convenience for Roblox users.

As part of the diverse range of UGC collections immediately on offer, adidas has joined forces with Roblox creator Rush Bogin (Rush X) to craft a range of limited-edition UGC that will be available on a first-come-first-served basis. Following the initial release, additional designs for both adidas and adidas x Rush X collaboration products will be introduced, with new drops scheduled weekly throughout December. The adidas x Rush X collection will be available alongside a wide range of iconic looks that will be brought to new life from the brand’s existing and upcoming collections.

Self-expression, creativity, and user experience are at the heart of this of adidas entry into Roblox. adidas has created a range of apparel that embodies the playful, imaginative, and visually bold spirit of Roblox, while staying true to adidas’ contemporary and performance-driven character. The brand’s venture into the digital realm will also create connections with new audiences, while offering long-standing adidas fans the chance to collect and style official UGC on Roblox, through new avatar customization options.

Millions of Roblox users now have the chance to discover the first adidas pop-up shops in some of their favorite experiences, with more stores being regularly introduced in the following weeks. Users can explore the first of these pop-up shops in the following experiences: Princess Dress Up Obby, Cotton Obby!, Seaboard City, Theme Park HeideLand, Noob Train, Dream Island, and Ultimate Ragdoll Playground.

Stocking an array of UGC apparel and accessories inspired by the brand’s SS24 physical collection, there is something to fit each users’ tastes and love for the three-stripes brand. Exemplifying the bold, stylish, and creative aesthetic adidas is celebrated for, the product range includes designs that echo adidas’ physical-world apparel, as well as eclectic, offbeat merchandise crafted specifically with Roblox’s exciting virtual environment in mind. The adidas packs will be refreshed and updated on a regular basis, with new UGC added each week.

Syensqo announces the successful listing of its shares on Euronext Brussels and Euronext Paris under ticker SYENS. After the completion of the spin-off from Solvay, the listing marks a historical milestone as the company embarks on a journey focused on delivering superior growth and value creation.

Syensqo’s portfolio of market leading solutions addresses environmental and social challenges, through electrification, lightweighting, connectivity and resource efficiency. In addition, Syensqo is at the heart of the transition towards a net-zero economy, which is expected to drive new sources of value and support the company’s long-term growth.

With more than 13,000 employees and activities spread across the world (with 41% of FY2022 net sales in the Americas, 36% in Asia-Pacific and 23% Europe), Syensqo’s long-term ambition is to be the prime innovation partner for its customers, growing on average at around two times the rate of its main end markets, while further improving its best-in-class margin and returns.

Upon listing, Syensqo has 105,876,417 ordinary shares in issue, each carrying one voting right. The Syensqo share price started its journey at a value of € 90 at market open (9.00 am CET), which corresponds to a market capitalization of € 9.53 billion.

Suedwolle Group introduces ACTIVEYARN®, the company’s first seasonless corporate collection: ACTIVEYARN® is composed of a selection of weaving, flat and circular knitting, hosiery and technical yarns, with advanced spinning technologies, wool blends and other natural and traceable fibres. It is a seasonless collection of yarns suitable for different occasions, to support everyone’s attitude and style.

This idea is expressed by the concept of “Get active”, which is not just about using Suedwolle Group’s products in sports applications, but about a new mindset, a changing perspective. By taking a fresh look at the company’s wide offer, ACTIVEYARN® provides new opportunities and inspiration to explore Suedwolle Group’s full potential in terms of technology, sustainability and innovations. It considers with a new point of view on the collections for knitting, weaving and technical uses, creating new connections among them and offering a mosaic of new possibilities and versatile combinations.

This theme of the collection and the new mindset may be represented in the concept of a “kaleidoscope”, symbol of the active change inspiring Suedwolle Group’s creativity.

The yarns in the ACTIVEYARN® collection embody the company’s six strategic pillars of innovation – sustainability, circularity, traceability, design, performance and technology – drivers of the entire process of design and production.

Jasmin GOTS Nm 2/48 (100% wool 19,5 μ X-CARE) is a natural, renewable and biodegradable yarn with GOTS certification that meets the company’s demand for sustainability. X-CARE, the innovative treatment by Suedwolle Group, uses eco-friendly and chlorine-free substances that make wool environmentally friendly and suitable for easy-care quality.

Tirano Betaspun® RWS FSC (41,5% wool 17,2 μ TEC RWS certified, 41,5% LENZING™Lyocell 1,4 dtex 17% polyamide filament 22 dtex GRS certified) is a fully traceable high performance yarn, suitable for sportswear and activewear.

OTW® Midway GRS Nm 2/60 (60% wool 23,5 μ X-CARE, 40% polyamide 3,3 dtex GRS certified) comes from the recycling of pre-consumer polyamide and thus is a perfect example of circular production. Suitable for weaving, it combines the added performance that comes from our OTW® patented technology applied to a high durability blend, ideal for active garments.

Wallaby Betaspun® Nm 1/60 (87,5% wool 18,4 μ TEC, 12,5% polyamide filament 22 dtex) is the result of application of latest-generation Betaspun® technology to a natural fibre like wool, allowing production of fine yarns with extra strength and abrasion resistance, ideal for seamless and wrap knitting.

Banda TEC X-Compact Nm 2/47 (100% wool 17,2 μ TEC) is a 100% natural, renewable and biodegradable yarn benefitting from the innovative X-Compact, permitting production of particularly linear yarns ideal for clean design and fabrics appropriate for today’s fashions.

Caprera GRS Nm 1/60 (45% wool 19,3 μ Non mulesed X-CARE 55% COOLMAX® EcoMade polyester 2,2 dtex GRS certified) increases the performance of the wool-based non mulesed fibre through combination with COOLMAX® EcoMade polyester. This is a material coming from recycling of post-consumer PET bottles, dyeable at low temperatures, that aids evaporation of moisture from the skin to maintain stable body temperature, enhancing the comfort of activewear and urban garments.

The data and the information reported examine the performance relative to the companies Marchi & Fildi S.p.A. and Filidea S.r.l. during the year 1st January 2022 to 31st December 2022. In addition, with the aim of putting the data into a context of developments, a comparison with data pertaining to 2021 was also made.

Amongst the numerous data and insights provided by the analyses given in the Report, some relevant performance factors relating to environmental achievements emerge.

With reference to Marchi & Fildi, and in comparison to 2021, the year 2022 demonstrated:

• A unit reduction in water consumption of 57% and unit reduction of waste water of 19%
• A unit reduction in electric power consumption of 13%

An overall reduction in CO2 emissions (Scope I + Scope II) of 22% In the same period, for Filidea the following results are shown:

• A unit reduction in water consumption of 26%, unit waste water of 22%
• A reduction in unit natural gas consumption of 7%
• A reduction in unit electric power consumption of 14%
• An overall reduction in CO2 emissions (Scope I + Scope II) of 7%

These data offer quantitative feedback on the constant commitment to the optimisation of resources and use of production technologies with low energy impact, which the Group has adopted for years.

Massimo Marchi, Marchi & Fildi’s President, has this to say about the choice to invest in this form of reporting:
“The decision to write a Sustainability Report represents for us one of the elements which guide us towards the constant improvement of company performance with reference to ESG. This is one of the stages towards the formalisation of a strategic plan for the management of sustainability, a journey which the Group has been committed to for years and in which we believe 100%.”

HeiQ introduces a 100% biobased and long-lasting cosmetic finishing technology for textiles to the market. The newest addition to the HeiQ portfolio harnesses the power of active probiotics and selected prebiotics to enhance the skin microbiome, turning the human’s largest organ into the best-looking one.

HeiQ Skin Care is a synbiotic textile finish aimed at providing a balanced microbiome for glowing skin, even after repeated use and washing of textiles. Unlike conventional products, HeiQ Skin Care utilizes slow-release prebiotics and probiotics seamlessly integrated into a biobased textile matrix, enriching the skin's microbiome diversity, and offering long-lasting cosmetic benefits.

The synergistic combination of prebiotics and probiotics, known as synbiotics, delivers a soothing cosmetic skin treatment while relaxing, working, or sleeping. Probiotics not only restore and improve the skin's natural balance but also enhance its self-repair capabilities. Synbiotics promote skin renewal, rebalancing, and improved appearance, reducing the signs of aging and establishing a favorable environment for the skin's natural repair mechanisms.

A second skin that takes care of the first
The skin, the largest organ in human body, is home to a diverse community of microorganisms called the skin microbiome. It plays a crucial role in maintaining good skin condition, acting as a protective barrier against harmful agents. However, various factors, such as hormones, diet, smoking, environmental exposures, and excessive UV radiation, can disrupt its balance, leading to skin conditions like rashes, acne, psoriasis, rosacea, skin irritation, redness, eczema, and odor. Maintaining a balanced skin microbiome is essential for preserving skin integrity.

HeiQ Skin Care is suitable for all textile fibers, both natural and synthetic, and can be applied to all textile items that come in direct contact with the skin. This versatility makes it an ideal choice for daily use- at work, during sports, leisure activities, or as bedding items like bed sheets and pillows.

Intensive wear trials conducted during the development stage have proven the consistent release of synbiotics (prebiotics and probiotics) onto the skin, creating conditions to foster a well-balanced microbiome.

• 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.