From the Sector

National Council of Textile Organizations (NCTO) President and CEO Kim Glas issued the following statement today in response to the Congressional-Executive Commission on China’s staff report on the forced labor of Uyghurs and other minorities in China to produce consumer products for global companies.

We share the concerns of the bipartisan China commission regarding forced labor in China that is used to produce goods for global companies. We agree with the findings and the commission’s recommendations to the administration and Congress to take action against the systemic abuse of forced labor.

As the commission’s report details, Chinese apparel exporters have clearly profited from the virtual enslavement of this minority population, and we call for continued scrutiny and the end to this exploitation of a repressed people. The commission has served a fair warning to U.S. businesses and consumers to not be complicit in these forced labor practices.

NCTO is a Washington, DC-based trade association that represents domestic textile manufacturers, including artificial and synthetic filament and fiber producers. 

• U.S. employment in the textile supply chain was 594,147 in 2018. 
• The value of shipments for U.S. textiles and apparel was $76.8 billion in 2018. 
• U.S. exports of fiber, textiles and apparel were $30.1 billion in 2018. 
• Capital expenditures for textile and apparel production totaled $2.0 billion in 2017, the last year for which data is available

Net result impacted by operating losses and high impairments in North America

In 2019, Autoneum grew organically by 2.5% and has thereby significantly outperformed the declining market. In Swiss francs, revenue rose slightly to CHF 2 297.4 million. However, as previously communicated, operational inefficiencies in North America and impairments on fixed assets in that region had a particularly strong impact on profitability and led to a net loss of CHF –77.7 million. The Board of Directors therefore proposes that no dividend bedistributed for the 2019 financial year. Based on the new turnaround program launched in North America at the beginning of this year, significant profitability increases are expected for 2020.

2019 was an extremely challenging year for the automobile industry. The continuing weakness of the global economy, ongoing trade disputes and the increasing regulation of mobility impacted vehicle demand negatively. But 2019 was also a year of change for Autoneum internally. An in-depth analysis carried out by the new Group Management in the fall showed a need to reevaluate the Group’s performance over the short- to medium-term. In Business Group North America, the operational and commercial problems have proven more extensive than originally assumed. As a result, the turnaround program launched in spring 2019 was replaced at the beginning of 2020 with a dedicated and far more comprehensive program for the North American sites.

Revenue growth despite a shrinking global market
As a result of weak demand, the number of light vehicles produced worldwide fell again sharply in 2019 compared to the previous year; whereby the decline of almost –6% was much steeper than in 2018. Thanks to numerous production ramp-ups and a favorable model portfolio, Autoneum generated organic revenue growth1 of 2.5%, despite the global market cooling. Revenue consolidated in Swiss francs rose by 0.7% from CHF 2 281.5 million to CHF 2 297.4 million.

Profitability2 impacted by operational inefficiencies and impairments
Operational inefficiencies in North America and impairments on fixed assets in this region were the main reason for the – first-ever – negative net result in 2019. In addition, the sharp drop in automobile production in Europe and China as well as associated lower utilization of production capacities in the affected Business Groups also burdened the Group’s profitability. EBITDA excluding IFRS 16 effects decreased to CHF 126.0 million (2018: CHF 197.2 million), which corresponds to an EBITDA margin of 5.5% (2018: 8.6%). One-time charges from impairments in the amount of CHF –68.0 million had a negative impact on EBIT, reducing it to CHF –32.9 million (2018: CHF 114.1 million). Without these one-time charges, EBIT amounted to CHF 35.0 million. The EBIT margin 1 Change in revenue in local currencies, adjusted for hyperinflation. 2 The figures for the 2019 financial year include IFRS 16 effects. Autoneum Management Ltd . Media Release . March 4, 2020 Page 2/5 excluding impairments was at 1.5% in 2019, and taking those into account the margin decreased to –1.4% (2018: 5.0%).

Leading fashion and textile industry training centre offers UK professionals hands-on experience with 3D digital design tools
 
EFI™ Optitex®, Electronics For Imaging's global provider of integrated end-to-end 2D & 3D CAD/CAM software solutions for the fashion and apparel industry, today announced its partnership with Fashion Enter Ltd. (FEL), a UK training and technical skills development centre for the fashion and textile industry. FEL has implemented EFI Optitex 3D solutions into its course curriculum.
 
Established in 2006, London-based FEL is a veritable "all-in-one" technology hub for the fashion and textile industry, offering multiple training and technical skills development services encompassing the entire design to production cycle. A not for profit, social enterprise, FEL also provides apprenticeships and adult learning through an Educational Skills and Finding Agency- and Social Enterprise London-approved technical centre supported by Haringey Council, Mayor's Good Growth Fund and online fashion retailer ASOS®.
 
To help lay the foundation for the UK's fashion and textile industry on its imminent journey towards digital transformation, FEL was determined to close the mounting skills gap in both industry and academia and offer UK professionals hands-on experience and exposure to 3D digital design tools. With a keen understanding of the market's growing need for speed, flexibility and shifting demands, in September 2019, FEL selected EFI Optitex as its 3D technology partner. FEL sought advanced 3D solutions that would enable innovative digital design courses, apprenticeships and bespoke training, including collaboration with leading fashion retailers such as Marks & Spencer®, ASOS, Next®, and many others.
 
After a short but highly intensive training period FEL implemented EFI Optitex 3D into its design and production processes, including pattern design and 3D tools for design and fitting. Since the recent implementation, FEL has already reaped the benefits of EFI Optitex 3D fully digital design, from sampling and grading, through to production. During a preliminary implementation phase, EFI Optitex 3D will enable FEL to deliver a wide range of accredited 3D design courses and forge collaborations with new customers, a result of EFI Optitex 3D's intuitive design tools, ease of use, and time and resource savings.

Captivating colours, optimum cost efficiency and a sustainable value chain: these are some of the typical features of Sappi’s Inkjet and Dye Sublimation Papers. The global manufacturer will showcase its diverse, high-quality product ranges at FESPA Madrid, in hall 3, stand D30.

• Transjet Drive dye sublimation paper tailored to industrial printing machines with a glue-belt system
• Scrolljet, a large inkjet paper, with impressively razor-sharp lines
• Digitally printed corrugated board with Fusion Topliner for consumer goods packing and displays

Eye-catching posters, textiles with excellent prints and labels that stand out clearly, this is how brand owners, advertising companies and retailers draw attention to themselves and their products. The comprehensive range of Sappi’s Dye Sublimation Papers, Inkjet Papers and Silicone Base Papers form the perfect basis for impressive brand communication. Customers and potential customers can come and convince themselves at this year’s FESPA event in Madrid, which takes place from 24 to 27 March.

Paper with impressive sustainable qualities
At its large exhibition stand in the Digital Printing hall, Sappi will showcase its Transjet range, which represents highest quality and optimal cost efficiency, offering also environmental advantages, such as low ink consumption and low transfer times. Minimal shrinkage of high elastic textiles is one of the key features of the Sportsline tacky grades. The special Transjet Drive, its extremely smooth backside and fast ink drying on the printable side, allow more efficient production on high-speed printers with glue belt systems. Sappi stands for much more than just the highest paper quality. Professional support through a special team of technical application engineers, Digital Solutions assist customers from their initial product idea to final production ensuring impressive results.

Differentiation through precision and sharpness
With its range of Inkjet papers, Sappi will demonstrate its considerable expertise in large format digital printing in Madrid. At the heart of the exhibition presentation is Scrolljet, a multi-layered coated paper for a wide range of outdoor applications, such as city light and mega light scrolling systems. DT-Plot and Swiss Matt are the best choice for graphic drawings and poster printing due to their exceptional colour results and the high precision and sharpness of the print.

Everything from a single, innovative source
When it comes to making classic packaging, shelf-ready packaging and POS displays stand out from the rest, marketing managers, brand owners and designers can always count on Fusion Topliner with its high degree of whiteness. As the topliner reproduces colours brilliantly and can be processed excellently, products made with this clearly stand out and attract attention. The product range presented by the paper and paperboard specialist is topped off by Silicone Base Papers for self-adhesive applications such as car wrapping, outdoor advertising and office supplies. This makes Sappi a versatile, long-term partner on which customers can rely. Sappi’s paper and paperboard thus go far beyond FESPA 2020: “Where colour comes alive.”

Sicomin continues to assert itself as the leading formulator and supplier of high-performance, bio-based epoxy resin systems with the launch of new bioresins at JEC World 2020, Hall 6, Booth 43. The group will unveil a variety of products that are each available in industrial quantities for series production within Automotive, Wind Energy and Civil Engineering.

Bio Fire Retardant Epoxy Gelcoat for Wind Energy and Infrastructure
Sicomin will showcase SGi 128, an innovative intumescent epoxy gelcoat developed specifically for fire retardant coating applications for critical components found in the Wind Energy and Civil Engineering markets.
SGi 128 Gelcoat is produced with 38% of its carbon content derived from non-oil sources and is a halogen free gelcoat that provides outstanding fire protection for epoxy laminates and extremely low smoke toxicity. Available with both fast and slow hardeners, this easy to apply epoxy system forms a much tougher and waterproof part surface than traditional intumescent coatings. Sicomin’s SGi 128 is available in industrial volumes with short lead times and has been successfully tested to EN 13501 (EUROCLASS B-S1-d0) and ASTM E84 (Class A).

NEW Bio Resin for HP-RTM processing for Automotive
Sicomin’s new bio-resin specifically formulated for HP-RTM processing, SR GreenPoxy® 28, is the sixth product in Sicomin’s renowned GreenPoxy® range. SR GreenPoxy® 28 is a fast cycle, low toxicity, third generation bio-based formulation aimed specifically at the HP-RTM moulding processes used for both high performance Automotive structural parts and aesthetic carbon fibre components. The new formulation has been optimized for fast production cycle times and superior mechanical performance and is a more sustainable alternative to traditional resins providing exceptional performance and quality for high volume programmes.

GreenPoxy® InfuGreen 810 on display with the GREENBOATS Flax 27 Daysailer on the JEC Planets
With very low viscosity at room temperature, InfuGreen 810 has been formulated to support manufacturers seeking bio-based alternatives for producing parts using injection or infusion techniques. Produced with 38% plant-based carbon content, InfuGreen 810 holds the DNV GL certification, providing extra assurance of the product’s quality, efficiency and safety standards. This high-performance epoxy infusion system is demonstrated at JEC World through the display of the GREENBOATS Flax 27 daysailer on the JEC Planets.

Today’s consumers demand versatility in their apparel, whether they’re shopping for work, sports or leisure wear. Work wear is no longer just about style, and sports and leisure wear is no longer just about stretch, while the demands for high-performance textiles in every category continue to increase. More and more consumer brands are looking to Schoeller’s established technologies to deliver not only beautiful fabrics that offer comfort and style but also breathability and the best in water and dirt repellence to their customers.

3XDRY® finishing technology from schoeller® allows the exterior of a textile to be water repellent, while the inside absorbs moisture and quickly distributes it over the surface. As a result, textiles with 3XDRY® dry much faster in comparison to conventional textiles. Since the launch of 3XDRY® in 2001, the technology has proven performance focused mostly on sportswear. Now that demands within the fashion industry are also trending toward performance textiles, more of its apparel brands are also turning to the patented 3XDRY® technology’s reliability and versatility for functional jackets, pants and shirts.

Focus on Sustainability and Climate Change

Passion for Cotton: The 35th International Cotton Conference Bremen starts on 25 March in the Hanseatic city’s historic Town Hall. But before subject-specific questions are discussed in depth in the individual sessions, the concise and inspiring keynotes by leading business experts from science and industry will draw attention to the current trends and challenges in the industry at the start of the conference. A large part of the presentations is shaped by the current discussion on environmental and sustainability issues and the resulting consequences for the global economy.

Climate Change and Sustainability

“Climate change - a storm in a teacup?” asks Kai Hughes, Executive Director of the International Cotton Advisory Committee, Washington D.C., USA, in a provocative speech. The aim of his presentation is to work out the challenges of climate change especially for agriculture and cotton production. This should form the basis for later discussion on concrete approaches and solutions within the cotton community.

With his lecture “The HUGO BOSS sustainability programme ... and what our customer has to do with it” Andreas Streubig, Director of Global Sustainability at Hugo Boss AG, Metzingen, Germany, rolls up the textile value chain from a different angle, starting at the consumer level. As a representative of a premium brand for women's and men's clothing, Streubig discusses sustainability as a strategic element of the corporate strategy and provides information on how elements of the strategy are being implemented at Hugo Boss.

Rüdiger Senft, Head of Sustainability at Commerzbank, Frankfurt am Main, Germany, looks at the changing role of banks in financing the cotton market. In addition to a general introduction to the topic of sustainability and banking regulation, Senft's presentation deals with the financing of the cotton trade from a social and ecological point of view.
The opening session on 25 March is hosted by Bill Ballenden, founder and owner of Dragontree, Swindon, UK, an online auction platform for the cotton trade. As a former cotton manager for Louis Dreyfus in Europe and Asia, Bill Ballenden has many years of experience in the industry.

Cross-Cutting Issues: Digitalisation, Gender, Value Chains

The subsequent session in the conference programme with the headline “A Wider View” is devoted to currently defining trends and important cross-cutting issues in the industry. This goes far beyond classic cotton themes.

A lecture by Mark Messura, Senior Vice President, Global Supply Chain Marketing for Cotton Incorporated, Cary, North Carolina, deals with the role of cotton in an increasingly digitally controlled supply chain. Significant keywords here are faster delivery times, vertical integration, transparency and traceability.

The presentation by Roger Gilmartin, Managing Director of Tri-Blend Consulting, Charlotte, USA, entitled “The secret recipe for timely, cost-optimised and high-quality cotton clothing” promises exciting and enlightening insights. Tri-Blend Consulting conducts studies on the performance of different cotton varieties during the entire consumption process to the finished yarn and evaluates them from an economic point of view.

Amy Jackson, from the Better Cotton Initiative, London, UK, presents ICA Liverpool's “Women in Cotton” initiative. With this commitment, the initiative aims to increase the influence of women in the cotton industry and give them a stronger voice, for example by building networks in cooperation.

Navdeep Singh Sodhi, International Strategic Management Consultant at the Gherzi Textile Organisation, Switzerland, gives an insight into the current development of the value chain for cotton, textiles and clothing in Africa. Looking ahead to the coming decades, also in view of population growth, Africa is seen as having a high potential for building economic structures to improve income and prosperity.

Thomas Schneider, Professor at the University of Applied Sciences in Berlin and active in the field of production planning and control, textile materials and materials testing will host the session. A leading light in his field, Thomas Schneider has more than 30 years of experience in scientific and application-oriented research in the textile and fibre sector, including at the Fibre Institute Bremen e.V.

Exhibit to showcase solutions answering sustainability demands in fashion supply chain
Kornit Digital (Nasdaq: KRNT),  announced that the company is exhibiting at the Pure Origin event, taking place February 9-11 at the Olympia London. Hosted in conjunction with Pure London, Pure Origin is billed as “the UK’s only fashion sourcing show to bring every element of the fashion supply chain together in one location.”

The Kornit exhibit (Stand PO-A4) will call on brands and manufacturers to produce fashion in the most sustainable manner possible, approaching the fashion market with a statement that clothing can be produced on demand, in a profitable manner, without compromising on environmental concerns.

With its unique single-step printing solution and proprietary water-based NeoPigment™ inks, Kornit Digital enables on-demand textile manufacturing in a sustainable way. Furthermore, these solutions provide retail-quality impressions that enable retailers to become e-tailers.

Fashion giant H&M Group and Danish retailer Coop are joining chemical expert NGO ChemSec’s call to action to end the use of harmful PFAS chemicals in products and supply chains.
This commitment comes on the same day as award-winning actor Mark Ruffalo and director Todd Haynes address the EU Parliament to speak about the true story that inspired the duo’s latest film Dark Waters, in which an environmental attorney takes on chemical giant DuPont and exposes decades of PFAS pollution.
ChemSec’s corporate PFAS initiative includes:

• A call on policy makers to regulate PFAS efficiently, without the possibility for manufacturers to simply swap one PFAS chemical for an unregulated “cousin”.
• A call on the chemical industry to put money into innovation and develop safer alternatives to PFAS for all kinds of products.
• A recognition that PFAS are a major health and environmental problem.
• A serious commitment to end all non-essential PFAS uses in products and supply chains.
• A call on all other brands to join this commitment and work towards a phase-out of PFAS in all kinds of consumer products.

The single biggest problem with PFAS is that, with very few exceptions, they are perfectly legal to use. This means that the brands and retailers who want to stop it from being used as ingredients in their products have very limited ways of communicating this in the global supply chain. As long as there is not a restriction in place, suppliers will continue to use these very effective chemicals in manufacturing.  

PFAS, short for per- and polyfluoroalkyl substances, is a chemical family consisting of almost 5,000 industrially produced chemicals. In manufacturing, PFAS are favoured for their durability and well-functioning properties; they provide properties such as non-stick, water repellence and anti-grease to many types of products, including cosmetics, food packaging, frying pans, outdoor gear and firefighting foam.
The industrial use of PFAS has been so prevalent in the last decades that today 99% of every human, including foetuses, have measurable levels of PFAS in their bloodstreams.   
What is worrying is that human epidemiological studies have found associations between PFAS exposure and a number of health disorders, including various cancers, lowered birth weights and negative effects on the immune system.

At JEC World 2020, MECELEC COMPOSITES is a finalist of the JEC Innovation Awards in the Design & Furniture category. The Group announces the launch of a new sustainable development application on the urban design market. MECELEC COMPOSITES designed the first mass-produced flax fibre roofs for the 550 Morris columns installed by JCDecaux in Paris. “This is the first application of flax fibre BMC for mass production. The new solution combines all the advantages of composite materials, lightness and strength, with stringent environmental requirements and is adapted to the safety constraints of this kind of street furniture,” says Bénédicte Durand, Chief Executive Officer at MECELEC COMPOSITES.

A COMPOSITE ROOF THAT IS BOTH INNOVATIVE AND GREEN
The dome of the Morris columns is composed of 23 different parts, 14 of which are made from composite materials. To design the roof, MECELEC COMPOSITES developed a new RTM complex and a new BMC material, that is reinforced exclusively with a flax mat. “Today it is the only BMC with a 100% flax fibre reinforcement, which uses a partially recycled ABS resin. It was created specifically for this project and we had to work on the processes in order to adapt them to this new material,” explains Bertrand Vieille, Head of sales.
In the design, MECELEC COMPOSITES replaced the bonding process with a time-saving mechanical assembly process using an invisible fixing system.

AN ECO-FRIENDLY APPLICATION IN LINE WITH THE GROUP’S ECO-DESIGN CSR APPROACH
MECELEC COMPOSITES creates scalable, sustainable and environmentally-friendly street furniture. The Group is committed to developing a sustainable production process and reuses all its waste materials. MECELEC COMPOSITES R&D laboratory promotes eco-design with a process of characterisation and mechanical sizing of parts. “For this project, we imagined, created, produced and delivered a mass-produced composite application with a low environmental impact within less than a year. At the end of its lifecycle, the product completely breaks down, leaving no fibre residue,” Bénédicte Durand concludes.