From the Sector

This month, the circular knitting machine manufacturer Mayer & Cie. is launching its upgrade kits for circular knitting machines that are already successfully in use by customers. With tailor-made packages, the company wants to give its users the opportunity to take advantage of technological progress in their existing machines. The aim is to improve the performance of the existing machines and to extend their service life. In addition to the machine-specific upgrade kits, the company now starts offering tailormade spare parts packages. They are intended to ensure machine availability and equip customers with spare parts for standard situations. In addition, they offer a degree of independence from possible failures in the supply chain and rising transport costs.

Longevity, a popular product property
“Longevity of our circular knitting machines is definitely a property that our satisfied customers mention regularly”, Mayer & Cie. sales director Wolfgang Müller says. The company estimates that up to 50 percent of all the circular knitting machines it has ever made are still around in the market somewhere.

Upgrades boost performance and value
Value retention, maintenance and upgrades for existing machines are a key issue for the company – and for the customers who successfully use existing Mayer & Cie equipment. That’s why the company recently launched customised upgrade kits to improve the long-term performance of machines.

Low budget, clear benefit
Compared to a new machine, upgrade kits are a low-cost investment that deliver clearly defined benefits. For example, an improved yarn guide ensures a significant increase in the plating reliability and output of the machine in question.

Most of the upgrade kits is machine-specific; the aforementioned yarn guide ensures a boost in productivity for the Relanit 3.2 II and Relanit 3.2 S. For S4 machines an optimised fluff blowing device can be the solution. It ensures that less fluff is knitted in and thereby improves the fabric quality. It also reduces downtimes that would otherwise be required for cleaning. Upgrade kits suitable for most Mayer & Cie. machines are the edge trimmer to open a fabric hose before the fabric’s rolling-up and the laying facility for high-quality hose fabric.

Spare part packages: Inside is what is required
In addition to individual upgrade kits Mayer & Cie. now offers spare parts packages. They too are customised for individual machines. When purchasing a machine, the customer can also order a small or a large spare parts package. Selected specially for the machine in question, it contains the most important consumables and spare parts.
The new spare parts packages also increase customers’ independence of supply chain failures and rising transport costs.

• March 16-18, 2022, Istanbul Expo Center
• Successful start of Texhibition, Istanbul Fabric and Textile Accessories Fair with over 10,000 visitors from 63 countries
• More than 160 exhibitors presented fabrics, yarns and accessories on approx. 5,000 square meters in the Istanbul Expo Center
• Intensive order activity in a professional trade fair atmosphere of over 1billion US$
• The organizer's objective: to double the area and number of exhibitors for the second event in September

With over 10,000 visitors, the premiere event of Texhibition Istanbul Fabric and Textile Accessories Fair, organized by the Istanbul Textile and Raw Materials Exporters' Association (ITHIB) and the Istanbul Chamber of Commerce (ITO) from March 16th to 18th, 2022 has successfully started.

İTHİB President Ahmet Öksüz: "Our exhibition platforms Texhibition Istanbul Fabric and Textile Accessories Fair and IFCO, Istanbul Fashion Connection, which was launched by our sister association IHKIB in February, play an important role in making Istanbul the fashion center of the Turkish textile and clothing industry. For the follow-up event to Texhibition in September this year, we expect the number of exhibitors and space to double."

The consistently positive feedback from the exhibitors underscores this expectation, as does the great interest shown by international visitors, including those from Denmark, Germany, France, Italy, the Netherlands and the UK.

The Turkish textile industry started with an export target of US$ 15 billion in 2022. The exhibition organizers assume that their platforms will contribute US$ 1 billion. Turkey is one of the most important procurement markets for the European textile industry and is becoming even more important in the course of the global supply chain problem and is now one of the top 3 most interesting procurement locations with its low prices, good quality products, reliable suppliers and short delivery times.

Exhibitors
On offer were high-quality and innovative fabrics from the weaving sector, including Kipaş Textiles, BTD Textile, Özdoku, Bossa and Yünsa; knitters like Gülle, Saka, Örkumod or İskur showed their current collections; yarn market leaders such as Korteks, Tepa and Gama were present, as were Şimşek Ege, EMR Zippers, Çağ-Tek and Öz-El Lastik for the accessories sector. A total of 166 exhibiting companies presented themselves in clearly structured segments in a professional trade fair atmosphere.

Frame program
In the Texhibition Forum, experts discussed the topics Sustainability, New Trends, Supply Chain and GMO-Free Cotton giving an outlook on the upcoming trends and developments in the Turkish textile industry. All events were heavily frequented by visitors.

Next Texhibition September 21-23, 2022

Hexcel Corporation hosted customers and public officials at its manufacturing site in the Midparc Free Trade Zone in Casablanca as the company broke ground on an expansion that will double the size of its existing engineered core manufacturing operation in Morocco to meet increased demand from aerospace customers for lightweight advanced composites.

The expansion, announced in September 2021, is expected to be completed in early 2023. The plant size will double to 24,000 square meters and employment is expected to increase from 120 to 400 people when the expansion is completed.

The Casablanca facility was built as part of Hexcel’s ongoing worldwide investment to create a diversified and robust global supply chain to support aerospace customers’ growing demand for engineered core. At the plant, Hexcel transforms lightweight honeycomb materials into engineered core parts to reinforce structures in the aerospace industry, particularly for aircraft, engine nacelles, and helicopter blades.

At the event, Thierry Merlot, Hexcel President – Aerospace for Europe, MEA/AP & Industrial, said, “We are pleased to celebrate this milestone with our customers and with the local community. The increased demand for lightweight, aerodynamic, advanced composites is growing, and our customers including Safran, Airbus, Airbus Atlantic, Boeing and Spirit AeroSystems have shown confidence in our ability to meet that demand. We appreciate the support from them as well as from the Ministry and everyone in the local community who continue providing us with the opportunity to further our investment in Morocco. The very successful establishment of Hexcel, the qualification of the workforce, the support of the state and the proximity of our customers have been real assets to launch this extension of our site in Casablanca.”

• Winners in Six Categories to be Announced at IDEA® 2022 in Miami Beach

Online voting for the IDEA® Achievement Awards representing the “best of the best” innovations in the global nonwovens and engineered fabrics industry in six categories will open on Feb. 28.

Industry professionals will have the opportunity to vote for the winners from the finalists and see award-winning achievements in person at IDEA® 2022, the World’s Preeminent Event for Nonwovens & Engineered Fabrics, March 28-31, at the Miami Beach Convention Center.

Presented by INDA, in partnership with Nonwovens Industry magazine, the awards recognize the leading introductions in equipment, raw materials, short-life, long-life and nonwovens products, and sustainability. To vote on the Nonwovens Industry website, visit: https://www.nonwovens-industry.com/idea-reg-achievement-awards

In addition, INDA will unveil the IDEA® 2022 Lifetime Achievement Award honoree and Nonwovens Industry will announce the IDEA® Entrepreneur Achievement Award recipient at the event.  

All of the winners will be announced on March 30 at a ceremony at IDEA® from 9:30 a.m. to 10:30 a.m. moderated by Dave Rousse, President, INDA and Karen, McIntyre, Editor, Nonwovens Industry.

The INDA Technical Advisory Board, consisting of technical professionals from member companies, has narrowed the competition from more than 100 online nominations to the following 18 finalists selected for their leading innovations since the last IDEA show in 2019.

The industry will have the chance to select their top choices from the three finalists in each of the following six categories through the online voting process:

IDEA® Equipment Achievement Award

• ESC-8 – Curt G. Joa, Inc.
  Imagine endless combinations of insert and chassis designs for adult incontinence production at the push of a button. With patent-pending ESC-8™ Electronic Size Change Technology, JOA has addressed the need for automated product size change. The release of this industry-leading, first-of-a-kind technology gives customers the flexibility to configure endless insert and chassis combinations while maintaining higher production speeds and minimizing raw material usage. The ESC-8™ can be integrated into new and existing machines.
   
• Elastic Thread Anchoring (ETA) Sonotrode – Herrmann Ultrasonics Inc.
  Elastics are an integral component to many hygiene products. Imagine a diaper or incontinence product that is reliable, adhesive-free and extremely soft. Herrmann Ultrasonics Elastic Thread Anchoring (ETA) Sonotrode technology provides just that, in an industry first, easy-to-use closed-loop feedback manufacturing solution. The fixation of the elastic threads is accomplished with ultrasonic energy that offers a wide process window, without the need for tool changeovers, at processing speeds above 2,000 ft./min.
   
• Doffer Airlay Card – Technoplants SRL
  With airlaying suction and a doffing system like traditional roller cards, the Doffer Airlay Card makes it possible to produce carded webs with doffer in thicknesses from 10 to 1.500 gsm. With top and bottom suction, it can produce a partly carded and partly airlaid web. This card can comb, separate and make parallel all types of natural, synthetic and regenerated fibers for applications including hygiene, filtration, medical and gradient acquisition distribution layer (ADL).

IDEA® Raw Material Achievement Award

• sero™ premium hemp fiber – Bast Fibre Technologies Inc.
  sero™ 100 percent premium hemp fibers are the result of years of the company’s top-to-bottom supply chain experience. BFT’s proprietary processing technology is employed to carefully clean, individualize, and soften bast fibers that meet stringent nonwoven technical standards and are plastic-free, tree-free, and compostable. sero™ fibers are a plug-and-play replacement for plastic fibers that run seamlessly on major nonwoven platforms without compromising production speeds, efficiency, or uniformity.
   
• ODOGard – Rem Brands, Inc.
  Rem Brands, Inc.’s patented ODOGard® technology is a revolutionary advancement in odor elimination. This next-generation odor elimination mechanism works by covalent molecular bonding to malodors. Malodors are permanently attached to the ODOGard® molecule, changing them into non-odorous molecules forever. ODOGard® can be impregnated into pulp fluff and other kinds of media. Whether  malodors come from the air or from hygiene products, ODOGard® has it covered.
   
• SharoWIPES™ – Sharon Laboratories
  SharoWIPES™ by Sharon Laboratories, Israel, is a technological breakthrough from in-depth scientific research addressing industry needs for more “clean label, non-irritating, eco-friendly” consumer wet wipes. With their unique anti-biofilm mechanism, SharoWIPES™ offer dual protection from microbial contamination of both the wet wipe formula, as well as the non-woven fabric. SharoWIPES™ preservation systems deliver broad-spectrum protection at low levels contributing to wet wipe brand equity with free from, microbiome friendly, vegan and biodegradable claims.
   

IDEA® Short-Life Product Achievement Award

• MDP™ – Dermasteel, Ltd.
  MDP™ presents a breakthrough approach to restoring the quality of life for men experiencing bladder leakage. MDP™ is a revolutionary nonwoven product for men coping with light urinary incontinence that is invisibly discreet, effective, comfortable, and reliable. It features Body ID Technology™ for customized adjustment, variable elasticity strapping, self-reflexive side panels for unimpeded breathability, form-fitting to the unique characteristics of each man’s anatomy, and the smallest carbon footprint of any comparable male incontinence option.
   
• Organic 2.0 – Ellepot A/S
  In young plant propagation, plastic products are used in large quantities. Ellepot’s new paper is a game-changer supporting plastic exit strategies. During six years in development, Ellepot and Ahlstrom-Munksjö partnered with OrganoClick, the developer of special binders using organocatalysis, a field of chemistry awarded the Nobel Prize in 2021. The product is approved for organic crops in Germany, the UK, Denmark, The Netherlands, Sweden and Canada and certified okay home compostable and biodegradable in soil.
   
• LifeSavers Wipes – LifeSavers LLC
  LifeSavers Wipes are personal hygiene wipes that change color if they detect abnormal health indicators in the urine. The launch product is a diabetic wipe, which will change color if there are abnormal levels of glucose in the urine. The wipes are therefore triple purposed as they assist with personal hygiene after urinating, act as an early warning system, and serve as an instant glucose monitor. UTI and kidney disease wipes are next in line.
   

IDEA® Long-Life Product Achievement Award

• Canopy Hero Pro – Canopy
  Today’s reusable respirators are uncomfortable, limit communication, and can lose effectiveness after cleaning. Disposable options pose similar issues and generate waste. Canopy® has created a next-generation, reusable respirator for healthcare workers that’s comfortable, easy to clean, exceeds federal safety standards, has a transparent front to allow for improved communication, costs less than disposables, and can help save 7,200 tons of waste daily. Its patented, transparent, fully mechanical filter helps protect those who protect us.
   
• Long-Life Cellulose-based Nonwovens for Higher Performance in Reusable Baby Diapers – Kelheim Fibres GmbH and Sumo Diapers
  Innovation exemplified: the trend-setting Sumo Baby Cloth Diaper shows how needle-punched/thermobonded nonwovens find their way into reusable diapers, thanks to Kelheim Fibres’ specialty viscose fibers with adjusted cross-sections (trilobal and hollow). This technology pushes liquid management capabilities and the absorbency of washable hygiene products to new levels, creating a unique duality of high-performance and high-sustainability credentials, and opening up new fields of application.
   
• Nanofiber Cabin Air Filter – MANN + HUMMEL GmbH
  MANN+HUMMEL has developed a hybrid media by combining electret-based spunbond and a pure mechanical filtration layer of ultrafine polymer fibers. The result: an outstanding separation of PM1 particles up to 95 percent, according to DIN EN ISO 16890. This technology enables stable filtration performance and long-term efficiency over the whole filter lifetime. The nanofiber layer can be combined with any cabin air filter media of the MANN+HUMMEL range, improving air quality in a vehicle’s cabin significantly.
   

IDEA® Sustainability Advancement Award

• Pureflow8 – In Flight Material Separator – Diaper Recycling Technology Pte. Ltd.
  New bolt-on additions to the company’s Generation 8 recycling platform guarantee increased performance in terms of material purity and work efficiency. While recovering up to 87 percent of diaper waste raw material’s financial investment, DRT pushes the boundaries further to meet sustainability targets and include active pulp scanning, fluidizing SAP re-gen technology, and gravimetric pulp refeed processes. DRT recognizes its teams and suppliers who have worked tremendously hard to complete this major milestone.
   
• Fitesa® 100 Percent BioBased Bico – Fitesa
  Fitesa® S Bico 100 percent BioBased PE/PLA is a technically sophisticated plant-sourced nonwoven that has been successfully applied in innovative baby diapers as topsheet, backsheet, and front ear components to deliver classic spunbond strength with good abrasion resistance and converting performance. It is responsibly sourced, PE soft, and sustainable, leaving a negative carbon footprint by reducing environmental CO2. It represents the next generation of hygienic nonwovens designed to make work easier and life better.
   
• Fiber-based Screw Caps – Glatfelter Corp. and Blue Ocean Closures
  Finally, an alternative to metal and plastic screw caps! Blue Ocean Closures partnered with Glatfelter and ALPLA to accelerate and produce sustainable and environmentally-friendly packaging solutions. The companies optimized their use of renewable and recyclable wood fibers and airlaid materials by creating paper-based screw caps that are durable, strong, and water-resistant. The method of proprietary vacuum press forming allows for low production cost and high scalability.
   

IDEA® Nonwoven Product Achievement Award

• Sontara® Silk – Glatfelter Corp.
  Sontara® Silk perfectly fits facial contour, is luxurious on the skin, and has a minimal environmental impact. When infused with lotion, these masks have enhanced elasticity, conform closely to the skin, and have excellent adhesion. Sontara® Silk has superior translucency and ensures even penetration of active ingredients onto the skin. Sontara® Silk fabric is manufactured with premium fibers derived from natural raw material. These sustainable materials allow the product to be biodegradable and compostable.
   
• HYDRASPUN® Aquaflo – Sustainable Nonwoven Substrates – Suominen Corporation
  Suominen’s latest moist tissue product, HYDRASPUN® Aquaflo achieves dry tissue dispersibility through a proprietary blend of 100 percent sustainable cellulosic materials, minimizing environmental impact. This flushable nonwoven has a premium hand feel for a luxurious consumer experience. In addition, it passes dispersibility standards set by INDA (GD4) and the International Water Services Flushability Group (IWSFG.) HYDRASPUN® Aquaflo is produced in Europe and North America and represents multi-year development and market insights to deliver a personal care product ideal for today’s consumer.
   
• LS SAF™ Nonwoven Fabrics –Technical Absorbents
  Technical Absorbents developed a new grade of Low Shrink (LS) superabsorbent fiber (SAFTM) for use within a new range of nonwovens that are more resistant to shrinkage. The new LS SAFTM fiber and resulting fabrics were developed in response to demand from the medical industry for a superabsorbent nonwoven suitable for use in advanced wound pad dressings. The new fiber was engineered to be capable of withstanding the moisture used in the EtO sterilization process.

Moving forward after this year, the IDEA® Achievement Award will be presented every two years under the new cycle announced for the event with the subsequent IDEA® taking place April 23-25, 2024.

ROICA™ main objective is to focus on and respond to new generation values in fashion. Values that are key for contemporary consumers, who are the ones leading the change throughout all the supply value chain, and have received even more attention since the beginning of the pandemic. ROICA™ by Asahi Kasei team knows that value creation is the basic foundation of contemporary business. Its teams are ready to go to the next level, answering to the market demand for innovation while sharing its responsibility efforts towards the new generation of consumer.

For this reason, the ROICA™ strategy is based on two key elements. On the one side, a strong focus on responsible innovation, able to respond to new fashion needs and desires while not harming the environment nor the society at large. On the other hand, a consolidation of partnerships along the whole supply chain through conversations and collaborations with companies sharing the ROICA™ values, in order to deliver creativity, solutions and design to all contemporary consumers. For example, in terms of fabric producers ROICA™ has been working alongside industry leaders such as Brugnoli, Candiani Denim, CIFRA, Dresdner Spitzen, Eusebio, Iluna Group, Innova Fabrics, Inter Jersey Milano, Lauma Fabrics, L/E Textile, Maglificio Ripa, M.I.T.I., Penn Italia - Penn Textile Solutions GmbH, Piave Maitex, Sitip S.p.A., Sofileta, Taubert Textil, Tessitura Colombo, TINTEX Textiles, TVB Textil-Vertrieb-Beratungs.

See attached document to read more about the current wardrobe stories.

Hologenix® is pleased to announce that its newest innovation – pure white CELLIANT® – is a Top Ten winner in the Fibers & Insulation Category of ISPO Textrends Fall/Winter 2023/24. Twice a year, ISPO recognizes innovative fabrics and components that are used to manufacture sports apparel. It’s no surprise that this innovation, whereby CELLIANT infrared technology can be embedded in fibers and for those fibers to be pure white, has achieved this honor. Pure white expands the potential applications of CELLIANT to crisp white performance and athleisure apparel, athletic uniforms and jerseys, towels, bedding, baby clothes, medical apparel and more, while maintaining its well-known wellness benefits. Pure white is the foundation that makes delicate pastel fabrics, as well as any color, possible.

Pure white CELLIANT still captures and converts body heat into infrared energy, increasing local circulation, aiding in temperature regulation and promoting stronger performance, faster recovery and better sleep. Pure white CELLIANT is also still made from ethically sourced minerals from the earth and is available in nylon, polyester and recycled polyester fibers, while retaining the natural characteristics of the polymer.

This award follows on the heels of the 2022/23 ISPO Textrends Awards finalist selection of CELLIANT viscose in the Fibers and Insulations category, which features CELLIANT embedded into plant-based fibers.  “We are honored to achieve this recognition from ISPO for our pure white CELLIANT,” said Courtney OKeefe, Chief Supply Chain Officer for Hologenix. “This new formulation took years of work to achieve and is a testament to the dedication and talent of our global research team. We are also very proud to be able to state that we now have two ISPO-recognized fibers.”

Sappi, a leading provider of sustainable woodfibre-based packaging materials, is expanding production of its successful Fusion Topliner grade to its flagship mill in Gratkorn, Austria. The Fusion Topliner – a white virgin fibre liner for high-quality corrugated packaging – will also continue to be manufactured at Sappi’s Ehingen mill in Germany. With this project, Sappi isn’t just expanding its production capacity in the corrugated board business. By offering the same product quality from both mills, Sappi is bringing production closer to its customers – to guarantee a sustainable and short supply chain in the heart of Europe.

• Sappi’s Fusion Topliner virgin fibre liner strengthens brand image and impact, and demand continues to grow
• Capacities are now being expanded through significant investment at Gratkorn mill, Austria
• Volumes will be enlarged in the next months to ensure reliable customer supply

Just a decade ago, there were only two options on the market for coated white corrugated liners: either kraft liner made from high-quality raw materials and with a very low recycled content, or test liner, which consists almost exclusively of recycled paper. As an alternative, Sappi developed its Fusion Topliner, now the most widely used corrugated liner made from pure virgin fibre. It is recommended for applications such as premium quality consumer goods packaging and POS displays – where high visual impact and differentiation are key. The product also stands out with exceptional strength and versatility.

Sappi’s Fusion Topliner has been successful on the market for many years. Demand for the product has continued to grow, due to its exceptional characteristics for print quality and finishing. Production is now being expanded from the German mill in Ehingen to include Sappi’s flagship mill in Gratkorn. The available capacities are now being expanded to include the production of Fusion Topliner in addition to existing graphic papers. Volume availability will be increased month by month to support the expected growth of our customers, and to satisfy large requirements in the corrugated board business.

Over the past 14 days, the wholesale cost of natural gas in Germany has risen by more than 50%. This increase presents an extraordinary challenge for industry, and there is no sign of support or intervention from the Government. Indeed, recent statements are destined to provoke a worsening of the situation.

Kelheim Fibres is entirely dependent on natural gas for the generation of electrical energy and steam and has no viable short-term alternatives. In addition, the raw materials used by the company often consume high levels of energy in their production and are also increasing significantly in cost. These increases in cost jeopardise the future of the business if they cannot be passed on though the supply chain.

Kelheim Fibres is calling on the Government of Germany to take immediate steps to mitigate the impact of the cost increases for natural gas and is committed to work to implement alternative sources of energy in the medium term.

In parallel, the disruption to global logistic networks that has been seen throughout 2021 is now expected to continue throughout 2022. Massive increases in shipping rates – in some cases in excess of 80% – are being imposed without notice and with no opportunity for negotiation. These costs must also be passed on though the supply chain if businesses are to remain viable.

To address these issues, Kelheim Fibres is implementing the following measures with immediate effect:

• The increased cost of energy and freight will be passed on in prices to customers at the soonest opportunity;
• If necessary, changes or adjustments to existing agreements will be negotiated to reflect the increased cost levels;
• If the necessary increase in fibre prices cannot be secured, cuts to production will be implemented with the objective of minimising losses until the cost increases can be mitigated.

As the drivers for the increases in natural gas prices appear to be temporary in nature, we will maintain any price adjustments under review and pass on any relief to customers.

Craig Barker, CEO of Kelheim Fibres, describes the current situation as critical. “The cost increases we are facing are unprecedented and call for swift and decisive action. We are determined to take the necessary steps to preserve the future of our business and provide security of supply for our customers. At the same time, we are relying on the support of our customers to help us conquer the challenges our business is facing.”

US Vice President Kamala Harris announced significant multimillion-dollar investments by Parkdale Mills and six other companies today, as part of the Administration’s Call to Action to the private sector to promote economic opportunity in the region, as her office works to address the root causes of migration.

Vice President Harris, who is overseeing diplomatic efforts with El Salvador, Guatemala, Honduras, and Mexico, announced several private sector commitments to strengthen economic opportunities in the Northern Triangle and made remarks at a White House roundtable, which included Anderson Warlick, Chairman and CEO of Parkdale Mills. The textile and apparel co-production chain is one of the most essential supply chains for employment and economic development in both the United States and the Northern Triangle region, currently supporting over 1 million jobs in the United States and the Central American region. The Dominican Republic-Central America Free Trade Agreement (CAFTA-DR) and its strong rules of origin are the primary reasons this co-production chain exists, which is seeing significant growth this year.

North Carolina-headquartered Parkdale Mills, one of the largest manufacturers of spun yarn and cotton consumer products in the world, will make a multimillion-dollar investment in a new yarn spinning facility in Honduras and make an additional substantial investment to support existing operations in Hillsville, Virginia. This investment will help customers shift 1 million pounds of yarn per week away from supply chains in Asia and China and enhance U.S. and CAFTA-DR co-production resilience and increase regional product offerings. Parkdale’s announced investment will create hundreds of jobs in Honduras and further support hundreds of employees in Parkdale’s Hillsville operations.  

Recently, administration officials from the U.S. Trade Representative’s office and the Vice President’s office met with the U.S. textile industry to reaffirm the importance of rules of origin in nearshoring production chains, helping address labor and environmental challenges and mitigating supply chain risk.

“I would like to sincerely thank Vice President Harris for making this announcement and leading the effort with private industry to create more economic opportunities in northern Central America and the United States,” said Anderson Warlick, Chairman and CEO of Parkdale Mills. “Parkdale’s investments will support good paying jobs in the United States and in the Central American region and significantly increase our extensive product offering and capacity, including the production of sustainable specialty yarns.

Parkdale sees an enormous opportunity for brands and retailers to re-shore and nearshore production supply chains and double the size of U.S.-CAFTA-DR trade, because of the rules of origin in our trade agreement and a shift in sourcing by brands and retailers mitigating their supply chain sourcing risks.  We are excited about what this opportunity means for jobs in the U.S. and the region for this critical production chain and couldn’t be more thrilled to be part of this effort.  We look forward to working with the Vice President and her team on strengthening the textile and apparel production chains in the U.S. and region.”

National Council of Textile Organizations (NCTO) President and CEO Kim Glas, said, “This is an exciting and important announcement by Parkdale and Vice President Harris. Our industry has invested billions of dollars in the U.S. and in the region as a result of the investment-based rules of origin in the CAFTA-DR agreement, which ensures the job benefits of the agreement are reserved for the parties to the agreement.  Additional substantial announcements on further investment in textile and apparel production are expected soon.

As brands and retailers are seeking more environmentally sustainable, vertically integrated, transparent, and quick turnaround supply chains, our collective industries stand ready to work with companies that are seeking to mitigate sourcing strategies as Asian supply chains have faced enormous production constraints.  Further verticalization in the industry, like Parkdale’s announcement today, allows broader product diversification and grows jobs across the textile and apparel production chain.

We are thrilled with today’s announcement because it is a win-win for American and Central American workers and our environment and a huge opportunity to further recalibrate supply chains out of China and Asia. This valuable co-production chain between the U.S. and the CAFTA-DR region accounts for $12 billion in two-way trade and billions of dollars of investment. Significant growth is occurring in our sector and is expected to continue as supply chains continue to recalibrate.  We are delighted about this today’s announcement and appreciate the Administration’s strong support.”

• Currency-neutral sales up 3%, despite € 600 million drag from external factors*
• Strong top-line momentum in EMEA, North America and Latin America with double-digit
• increase across these regions*
• DTC business growing at double-digit rate in EMEA, North America and Latin America*
• Gross margin at 50.1% as significantly higher full-price sales partly compensate
• negative currency impact and higher supply chain costs*
• Operating margin at 11.7% despite strong double-digit increase in marketing spend*
• Net income from continuing operations reaches € 479 million*
• Inventories down 23% currency-neutral*
• 2021 top- and bottom-line outlook confirmed*

“adidas performed well in an environment characterized by severe challenges on both the supply and demand side,” said adidas CEO Kasper Rorsted. “As a consequence of successful product launches we are experiencing strong top-line momentum in all markets that operate without major disruption. Double-digit growth in our direct-to-consumer businesses in EMEA, North America and Latin America is a testament to the strong consumer demand for our products. At the same time, we are navigating through the current world-wide supply chain constraints. Despite all challenges, we are on track to delivering a successful first year within our new strategic cycle.”
 

*See attached document for more information.