From the Sector

Starting from ROICA Eco-Smart™ family by Asahi Kasei the range of responsibly made premium stretch yarns for everyday life and continuing with Bemberg™ by Asahi Kasei, a noteworthy material made from the smart-tech transformation of cotton linter bio-utility waste, converted through a traceable and transparent closed loop process. Since 1931, Bemberg™ is the material definition for responsible luxury, a one-of-a-kind, matchless and original options characterized by cool exquisite comfort, whose smart heritage is born in a circular economy.

A great example of circular economy / circularity is represented by ECOTEC® by Marchi&Fildi, a new exclusive range of smart textile design solutions produced through an exclusive, fully traceable and certified production process. The ability to transforms pre-consumer cuts into an excellence material with a yarn that contains up to 80% of transformed material, a result unequalled in the textile world is the perfect confirmation of the concrete commitment to responsible innovation by Marchi&Fildi.
 
A. Stelloni Collection by Mapel, a renowned textile company with a vast experience in the production of fabrics of the highest quality, will showcase an exclusive range in Re.VerSo™ wool, cashmere and Baby Camel, created out of the deep experience of the Re.VerSo™ supply chain and its sure knowledge of fabric production.

At JEC World 2019, Sika Advanced Resins will unveil Ullit’s new composite tank for trucks that run on compressed natural gas (CNG).

Together with its tailor-made epoxy system designed by Sika Advanced Resins, who are a leader in the development and production of high-performance resins, the tank helps to reduce pollution in urban traffic.

An epoxy laminating system that adapts to different designs
The tank, which contains up to 320 liters is the same size as a conventional diesel fuel tank. "We have been innovating together for more than 10 years! Sika Advanced Resins has developed a specific resin for our new range of high-pressure tanks. This high-performance resin can be adapted to all design constraints, particularly for our very high-pressure hydrogen tanks, up to 700 bar," explains Ullit founder and CEO Claude Hembert.

Sika Advanced Resins has used its expertise to develop a tailor-made resin to withstand the cyclic pressurization loads on the filament-wound tanks. In combination with carbon fiber the resin provides mechanical resistance for different tank shapes including those for vehicles running on natural gas. "The tank is placed in the same place as a diesel fuel tank and avoids the need for transformations in trucks. In addition Ullit-Sika composites reduce the weight of the tank by a factor of four, a huge benefit when we estimate that one tonne saved on a truck saves four liters of fuel per 100 kilometers in urban traffic," explains Patrick Noirclerc, Local Expert Composites at Sika Advanced Resins.

The Perlon Group is making great strides on its journey towards the future and is therefore vigorously implementing the measures required to achieve its aim. This aim (known internally as ‘strategy 2020’) provides for the next level of globalisation and the sustainable growth of the market leader in the production of synthetic filaments. Through the extensive relocation of existing; and the generation of additional production capacity, the requirements have been accomplished and will thus directly serve increasing demand in the main volume markets. Part of this strategy, is the integration of one of the four German sites into the remaining three, this will then strengthen those sites and support the expansion of the factories in the USA and China.

The key to this success is a highly qualified and motivated personnel, engaged and focussed project staff and lastly but by no means least, loyal customers all of whom welcome this future direction and support us, their longstanding business partner. Important milestones are being reached with minimum disruption to the daily business in spite of a continuingly healthy order book

Important Milestones have so far been

• Implementing the newly built finished goods warehouse and a production line for PMC-Monofil at Hahl Inc, the production site in Lexington, SC
• Completing the building of the production hall with integrated admin building and starting to fit out the interior of the new production site in Haining, China. This is on schedule for the fixed opening date of 29 November 2018.
• Implementing an additional production line for PMC-Monofil into the Munderkingen site in Germany. Furthermore the planning for the transfer of an additional production line has also been finalised.
• Completion of the plant layout in the Industrial park in Bobingen (Germany) to allow for the transfer of several production lines from their current homes in Dormagen and Recytec in Munderkingen (Perlon’s recycling business).

With the help of a tailwind from the targets achieved thus far, Florian Kisling (Perlon CEO) and his team are looking forward with optimism to the additional transformation and the finalisation of this mammoth ground breaking project. They are already thinking ahead to the subsequent project ‘2020+’.

The automotive market is undergoing a period of great change. Global demand for light vehicles is increasing, but at slower rates than seen in previous years, and this is resulting in ever greater competition between carmakers. At the same time, the technological capabilities that can be offered are advancing rapidly. Areas such as autonomous driving, connectivity, interior comfort and the customization of vehicles in line with personal taste are becoming key ways that manufacturers can differentiate themselves and win market share. Indeed, automotive supplier Lear, recently unveiled a new biometric ‘smart’ seat, that tracks a driver’s health indicators.

These trends are having a knock-on effect for suppliers. For original equipment manufacturers (OEMs), being able to satisfy diverse consumer preferences is now considered more of a success factor than getting a vehicle to production faster than the competition. Across the automotive supply chain — and especially for those involved in the production of car seats and interiors — a growing emphasis on interior styling and luxury components has created new challenges that are further compounded by increasing cost pressures.

Although news coverage about the automotive industry tends to focus on such innovations as ‘driverless’ cars and ‘intelligent’ vehicles, one of the most farreaching changes occurring is this trend towards personalization: how automotive manufacturers are managing to make mass-produced items unique. Not only are manufacturers increasing the number of models they are offering but also the options available to a consumer per model. The Vauxhall Adam is a case in point: consumers can have more than 1 million different combinations when they order the car.

To cope with these challenges, suppliers will need to re-evaluate and improve their production processes. Within this context, the integration of smart solutions and services, and the replacement of production tools that are incompatible with connected factory concepts, will be vital. The combination of Software as a Service (SaaS) with the cloud is already opening up new horizons for innovation. Factories remain at the heart of the value chain. But Industry 4.0 is revolutionizing mass production, allowing more and more large-scale, personalized — and profitable — manufacturing, with greater quality and no added costs or delays.

As customer expectations reach new levels, it is especially important that suppliers in the automotive cutting value chain ramp up their transformation, adopting the technologies and services shaping Industry 4.0. For years, OEMs and suppliers alike have used foam and frames to develop patterns for producing seat covers in material or leather. The automotive industry was among the first to use sophisticated 3D computer-aided design (CAD) programs for the design and development of vehicles. But it has taken time for this technology to be used extensively for seat covers. Although 80% of fabric seating and interiors are currently cut digitally, only 10% of leather seats are cut using this method. The majority of suppliers of automotive leather seating still rely heavily on manual cutting equipment, such as die and roller presses.

To gain the agility and flexibility to remain relevant and competitive in a market that is dictating more change, variants, and faster reaction times, close cooperation between OEMs and suppliers is necessary. For if even one aspect of the process fails to provide sufficient flexibility, speed to market and consistent quality, then the entire chain will be impacted.

In such a complicated and fast-moving market, only the most adaptable and innovative companies will succeed. The solutions that form part of the Industry 4.0 framework will help give suppliers the capacity to adapt and thrive in this new environment. For more Information please find the complete White Paper attached.

• Confirming a Circular Economy focus
• 2 additional million investment in highly specialized process technology
• Launch of first ECOTEC® Smart Knitwear innovations
• New Market Partnerships

The ECOTEC® by Marchi & Fildi transformation into excellence yarns is back at Première Vision sharing amazing new steps in its journey towards smart innovation within a circular economy approach. 

First of all the company is proud to announce a 2 million euros investment in highly specialized process technology always aiming at improving ECOTEC® process and its yarn product range. This is another confirmation about the real ongoing commitment from Marchi & Fildi to position ECOTEC® as a key player in the world of responsible innovation.

On top of this, ECOTEC® is also widening its portfolio range thanks to the introduction of special yarns with counts and styles designed for Knitwear production: 

• ECOTEC® Moulinè and micromoulinè yarns: offering amazing colour effects and precious touch always fresh and cool. Considering that ECOTEC® yarns are not dyed, it is quite a smart look and achievement!
• ECOTEC® cable: soft twists for full body hand, authentic touch and amazing colour cards available. 

More technology, new applications… these facts are opening up the doors also to new ECOTEC® partners in the market. It is essential to offer brands and designers a wider and interesting choice in terms of ECOTEC® fabrics.

Based on this Marchi & Fildi is presenting:  

The ECOTEC® COLLECTION an exclusive seasonal range of ECOTEC® fabrics created by ECOTEC® partners including Ledatex (booth 5N29), Nalya (booth 5L52), 3C Company S.r.l., Sidònios Knitwear (booth 5P32-5R13), O’Jersey (booth 5N22) alongside longstanding accredited partners such as Lanificio COMATEX (booth 5H54, 5J53), Manifattura CBM, Euromaglia Srl (booth 5P17), Tessuti & Tessuti srl (booth 5M30), RDD and Tintex Textiles (booth 5N56, 5P55).

That is not all, this season ECOTEC® is proud to present an exclusive range of smart textile design solutions from the Marchi & Fildi research and development center in cooperation with the UK expert textile trend forecaster Sandy Mac Lennan.  It is called ECOTEC ® INNOVATION , and it is an  inspiring line  developed with the clear goal of highlighting ECOTEC® uniqueness with solutions that are real avant-garde in fashion trends. Pegasus (80% ECOTEC® cotton, 20% cotton), Chagall (50% ECOTEC® cotton, 40% cotton, 10% cashmere) and Phoenix (52% ECOTEC® cotton, 48% recycled polyester) are the fundamentals that gave birth to 10 exclusive innovative qualities. Nets, knits, patterned woven, degradè, plissè, new tonal summer plaids and bold stripings on fine grounds. An inspiring contemporary range, dedicated to ECOTEC® partners, which brings ECOTEC® at the forefront of textile design.  Something to explore at 360° degrees!

Recent ECOTEC® brand adoptions include Jan’n June, the German brand, founded in 2014, whose aim is to offer garments that are fashionable, affordable and environmentally responsible. Produced by a family owned company in Poland, Jan’n June operate s a strong transparency policy with printed QR-Codes on the hangtags to give its customer’s all the key information about fabrics, production values and certification for every garment.

Furthermore there is Mundotextil, a Portuguese home textiles manufacturer. Mundotêxtil, together with ECOTEC® has just launched, with great success at Heimtextil, a market-first, world unique and responsibly made cotton towel innovation that really saves on water use, energy and CO2 emissions.

• Revenue up 9.4 percent to EUR 1,726.6 mn
• EBITDA improvement of 23.9 percent to EUR 397.1 mn
• Retail bond of EUR 120 mn redeemed – Lenzing with net liquidity as at end of September
• State-of-the-art application innovation center opened in Hong Kong

Lenzing – The Lenzing Group generated a substantial increase in revenue and earnings in the first nine months of the 2017 financial year compared to the prior-year period. The company is continuing the implementation of its Group strategy sCore TEN in order to further expand the offering of specialty fibers and be even closer to its customers and business partners.

Consolidated revenue climbed 9.4 percent year-on-year to EUR 1,726.6 mn. This increase is mainly attributable to higher prices for all three fiber generations. Consolidated earnings before tax, depreciation and amortization (EBITDA) rose 23.9 percent to EUR 397.1 mn, corresponding to an EBITDA margin of 23 percent, up from 20.3 percent in the prior-year period. Earnings before interest and tax (EBIT) increased by 34.6 percent to EUR 298.4 mn, resulting in a higher EBIT margin of 17.3 percent (Q1-3 2016: 14 percent). The profit for the period improved by 35.3 percent to EUR 219.3 mn, and earnings per share rose 36 percent to EUR 8.12 per share. In September Lenzing redeemed the retail bond of EUR 120 mn. At the end of the reporting period the Group had net liquidity of EUR 16.9 mn.

“In the first three quarters of 2017, we successfully captured value in a very positive market environment and we continue to implement the sCore TEN strategy with great discipline. The opening of our new application innovation center in Hong Kong is an important step to boost our regional innovation capabilities. We were particularly proud to launch TENCELTM Luxe as a sign of Lenzing’s ongoing commitment to innovation and sustainability”, states Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “After three excellent quarters we are confident to deliver substantially better operating results in 2017 compared to 2016, but at the same time we do expect more headwinds in 2018.”

Focus on customer intimacy

In September 2017, the Lenzing Group opened a new application innovation center (AIC) in Hong Kong, thus setting a further milestone in strengthening its innovation offering to all partners along the value chain. New applications for Lenzing fibers will be developed and tested at the new facility, among them applications for recent innovations such as the TENCELTM Luxe branded lyocell filament, the RefibraTM branded lyocell fiber and the EcoVeroTM branded viscose fiber.

Furthermore, new sales and marketing offices were opened in Turkey and South Korea in the first half of 2017. The direct contact to customers and well-equipped showrooms featuring products made of LenzingTM fibers serve as the basis for providing even better customer support.

Investment program in progress

The Lenzing Group aims to increase the share of specialty fibers as a percentage of revenue to 50 percent by 2020. Following the capacity expansion initiatives in Heiligenkreuz (Austria) and Mobile, Alabama (USA) which are both underway, Lenzing announced its intention to construct the next plant to produce TENCEL® fibers in Thailand.

A new era of sustainable production

In October 2017, the Lenzing Group presented a new product, TENCELTM Luxe, at an exclusive event held in Paris. The TENCELTM Luxe branded filament yarn represents Lenzing’s entry in the filament market. This fiber will support the Lenzing Group’s path towards becoming a true specialty player in the market for botanic materials derived from the sustainable raw material wood.

The launch volumes of TENCELTM Luxe are being produced at the Lenzing site. The basic engineering for a commercial scale plant was commenced.

Outlook
Demand development on the global fiber market remains positive within the context of a generally friendly macroeconomic environment. Lenzing expects wood-based cellulose fibers to grow at an even higher rate than the overall fiber market. After three excellent quarters, the Lenzing Group will achieve an operating result in 2017 that is significantly better than 2016.

For 2018, Lenzing sees a number of somewhat opposing factors that limit visibility regarding fiber price developments. Overall market demand is expected to remain high. However, the Group expects a substantial increase on the supply side, especially for viscose but also for cotton. Price trends for selected key raw materials, especially caustic soda, are difficult to predict. Against this background the Lenzing Group expects a much more challenging market environment for standard viscose during the upcoming quarters.

The above-mentioned development reassures the Lenzing Group in its chosen corporate strategy sCore TEN. The Group initiated its transformation from a volume-oriented viscose player to a value-oriented specialty fiber player at the end of 2015, and will continue the disciplined implementation of its business strategy.

Lectra has leveraged more than 10 years of experience in connected manufacturing to offer Versalis®, an innovative digital solution designed to cut leather without compromise on quality. Featuring a powerful automatic nesting system for overall improvements in efficiency, the fully automated solution enables automotive leather suppliers to cut costs, improve productivity and minimize waste while also establishing a pathway to value-added Industry 4.0 processes.

Currently, almost 90% of leather used for automotive applications is cut using manual die presses, which require designers to build a physical prototype and finalize the design through trial and error. Lectra offers a fully digitalized leather solution from prototyping to cut parts—when used in combination with Lectra’s 3D prototyping and pattern-making software, Versalis digital leather cutting solution enables a 12-16 week reduction in development and launch cycles for vehicle seating models.
During the leather-cutting phase, the latest release of Versalis LeatherSuite allows automotive leather suppliers to achieve up to 15% greater productivity. Lectra’s end-to-end automotive leather offering furthermore guarantees optimal uptime through an extensive worldwide support network of field engineers and technical experts.
"Lectra focuses on a consultative approach that allows it to fully understand the customer’s needs before building a solution comprising software, hardware, consulting, training, and after-sales support,” said Frost & Sullivan Industry Analyst Kamalesh Mohanarangam. "Lectra’s equipment is fitted with more than 200 sensors that predict failure and immediately report issues to its call centres. This product feature and service has resulted in 98% uptime and very fast mean time to repair."

Although digital leather cutting solutions are an investment, leather cutters and Tier-1 suppliers have begun to recognize the value of these products. On average, Lectra’s solutions help customers achieve up to 7% savings on leather compared to manual die-press methods by minimizing human error and variability in the cutting room. A benchmark test of leather trim cutting for door panels demonstrated a 3.5% gain in material made possible by Versalis’ superior nesting capabilities compared to the customer’s yield using manual nesting with die press machines, representing potential savings of €9 million per year.
Versalis is the fruit of significant R&D investment for the company, which has always made re-investment of capital a priority. As part of a transformational plan, Lectra spent more than €50 million in investments between 2011 and 2015. With Lectra’s new strategy focusing on supporting their customers’ transition to Industry 4.0 standards, Lectra will increase the share of revenues dedicated to R&D to 10% for the period from 2017 to 2019, representing a rise of about 50% between 2016 and 2019.