From the Sector

Glen Raven hosted United States Trade Representative (USTR) Ambassador Katherine Tai in an important visit to the company’s yarn spinning manufacturing facility and headquarters for its Sunbrella® flagship brand in Burlington, N.C. followed by an industry supply chain roundtable.

Ambassador Tai’s visit coincides with USTR’s Federal Register notice for public input to inform the administration’s development of trade and investment policy initiatives related to a domestic supply chain resilience plan.

USTR has highlighted domestic textiles as a critical part of the supply chain. The textile sector, which includes yarns, fabrics, apparel and other finished goods, will be part of its fact-finding investigation into shaping policy tools that could be deployed to enhance supply chain resilience. The office is requesting input on policies that are currently working well for these sectors, and those that are not working well, in advancing domestic supply chains.

The Ambassador’s visit to Glen Raven included a tour of the Sunbrella facilities, a design and innovation center, and a roundtable discussion with several other textile executives based in North Carolina who highlighted the significant impact of the sector to the U.S. economy.

Glen Raven, a family-owned company founded in 1880, operates five manufacturing facilities in North and South Carolina employing 2,500 people, including their joint venture with Shawmut Corporation. The company is currently in the process of scaling a $250 million multi-phase U.S. capacity expansion plan of its facilities and infrastructure to meet customer demand.

Building on a renewed five-year strategy, Fashion for Good selects ten new innovators for its 2024 programme to receive tailored support validating their technologies. This cohort represents an increased focus on novel footwear material and recycling technologies, man-made cellulosics, and nylon recycling.

The 2024 Innovation Programme provides support based on the development stage and ambitions of each innovator, matching them with relevant industry partners to drive technology and impact technology and impact validation as well as investing activities.

The selected innovators joining the 2024 Innovation Programme are:

• Algreen Ltd: Algreen co-develops alternative materials from algae and biobased sources that can replace fossil-based products such as PU.
• Balena: Balena creates biodegradable partly biobased polymers for footwear outsoles.
• Epoch Biodesign: Epoch Biodesign is an enzymatic recycler of PA66 and PA6 textile waste.
• Fibre52: Fibre52 is a bio-based solution replacing traditional bleach prepared-for-dyeing and dye processes.
• Gencrest BioProducts Pvt Ltd: Gencrest works with various agri-residues to convert them into textile-grade fibres using their enzymatic technology.
• HeiQ AeoniQ: HeiQ AeoniQ™ is a continuous cellulose filament yarn with enhanced tensile properties.
• Nanollose - Nullabor: Nullarbor™Lyocell is developed from microbial cellulose which is converted into pulp pulp to produce a lyocell fibre with their partner Birla Cellulose.  
• REGENELEY:  REGENELEY pioneers advanced shoe sole recycling technologies by separating and recycling EVA, TPU, and rubber components found in footwear.
• Samsara Eco: Samsara Eco is an enzymatic recycler of PA66 and PET textile waste.
• SEFF: SEFF Fibre produces cottonised fibres and blends of hemp fabrics utilising a patented HVPED process.

• Three out of four business units with record sales and results
• Carbon Fibers business weighs on the Group's profitability
• Group sales of €1,089.1 million (-4.1%) and adjusted EBITDA of €168.4 million (-2.5%) in a difficult market environment
• Sales and earnings forecast for 2023 achieved despite drop in demand from key market
• 2024 further capacity expansion in graphite components for silicon carbide-based semiconductors

In fiscal year 2023, SGL Carbon achieved the sales and earnings targets set at the beginning of the year despite the drop in demand from the important wind market and an increasingly challenging economic environment. Group sales decreased slightly by €46.8 million (minus 4.1%) to €1,089.1 million (previous year: €1,135.9 million). At € 168.4 million, adjusted EBITDA, a key performance indicator for the Group, was also down slightly (minus 2.5%) compared to the previous year (€172.8 million) but was clearly within the forecast range for 2023 of €160 to 180 million.

While the positive sales development of the Graphite Solutions (+€53.5 million to €565.7 million), Process Technology (+€21.6 million to €127.9 million) and Composite Solutions (+€0.8 million to €153.9 million) business units had a positive effect, the Carbon Fibers business unit had a negative impact on Group sales with a sales decline of €122.3 million to €224.9 million.

Outlook
The global economy will continue to face comparatively high interest rates and subdued growth prospects in 2024. Tighter financing conditions, weak trade growth and a decline in business and consumer confidence are also weighing on the economic outlook. In addition, heightened geopolitical tensions are contributing to increased uncertainty.

SGL Carbon expects different developments in our key sales markets in 2024. The most important sales and earnings driver will be demand for specialty graphite components for the semiconductor industry. In contrast, all indicators currently suggest that demand for carbon fibers for the wind industry will remain weak in 2024 and that the Carbon Fibers (CF) business unit will therefore continue to record operating losses. Even if demand picks up, SGL Carbon assumes that Carbon Fibers will require additional resources to make the most of market opportunities. With this in mind, teh company announced on February 23, 2024, that they are reviewing all strategic options for Carbon Fibers. These also include a possible partial or complete sale of the business unit.

SGL Carbon's sales forecast for the financial year 2024 takes all four operating business units into account, as the company is only at the beginning of evaluating the strategic options for CF. In line with the assumptions outlined, SGL Carbon is therefore expecting Group sales at the previous year's level (2023: €1,089.1 million).

In the earnings forecast, SGL Carbon has taken into account underutilization of production capacity in the Carbon Fibers business unit and the associated high idle capacity costs. The projected operating loss of CF will have a negative impact on the adjusted EBITDA of the SGL Carbon Group in 2024. Due to the expected positive development of Graphite Solutions, SGL Carbon anticipates an adjusted EBITDA of between €160 million and €170 million for fiscal year 2024, taking into account all four operating business units. Should the process of reviewing all strategic options for the CF business unit result in a sale, the forecast of adjusted EBITDA in 2024 would be between €180 - 190 million.

At the "International Conference on Cellulose Fibers 2024" in Cologne, Germany, the Nova Institute for Ecology and Innovation awarded first place in the Innovation Prize to the project partners of the EU-funded HEREWEAR project. They presented a dress made of cellulose fibers, which is entirely made of straw pulp.

HEREWEAR is an EU-wide research project that brings together partners from research and industry. They are working to establish a European circular economy for locally produced textiles and clothing made from bio-based raw materials.
The HEREWEAR consortium consists of small and medium-sized enterprises and research institutions. HEREWEAR covers all the necessary expertise and infrastructure from academic and applied research and industry from nine EU countries.

The HEREWEAR approach includes technical and ecological innovations in the production of fibers, yarns, fabrics, knitwear and garments, as well as the use of regional value chains and the circular development of fashion items.

New technologies for wet and melt spinning of cellulose and bio-based polyesters, e.g. PLA, from which yarns and fabrics are produced, form the technical basis. Coating and dyeing processes have been developed and tested as part of the project. In addition to reducing the carbon footprint of the product, another environmental goal is to reduce the release of microfibers throughout the textile manufacturing process and life cycle.

Improving the sustainability and recyclability of the developed garments is ensured by design for circularity and digitally networked production means. On-demand production is realized in so-called "microfactories", which are individualized and produce only for actual demand. This production method can be achieved through regional, networked value chains and enables the traceability of materials and manufacturing processes.

The dress presented at the award ceremony is an example of the cooperation and the different qualifications of the project partners: TNO (Netherlands Organization for Applied Scientific Research) provided sustainably produced pulp. The HighPerCell fibers were produced in DITF's spinning facilities. At the same time, designers from the fashion label Vretena created the design for the flexible, two-piece dress, which can be knitted without cutting waste. DITF textile experts worked with the designers to develop the knitting pattern. DITF textile engineers and technicians produced the knitted fabric and assembled the dress at the institutes’ technical center. DITF computer scientists and engineers created the "value chain" and "digital twins" for digital traceability of the production processes.

The innovation prize was awarded to the HEREWEAR consortiu for their joint achievement. Representatives of DITF Denkendorf and Vretena accepted the award on behalf of the EU project partners.

The DITF is leading the joint project "DACCUS-Pre*". The basic idea of the project is to develop a new building material that stores carbon in the long term and removes more CO₂ from the atmosphere than is emitted during its production.       

In collaboration with the company TechnoCarbon Technologies, the project is now well advanced - a first demonstrator in the form of a house wall element has been realized. It consists of three materials: Natural stone, carbon fibers and biochar. Each component contributes in a different way to the negative CO₂ balance of the material:

Two slabs of natural stone form the exposed walls of the wall element. The mechanical processing of the material, i.e. sawing in stone cutting machines, produces significant quantities of stone dust. This is very reactive due to its large specific surface area. Silicate weathering of the rock dust permanently binds a large amount of CO₂ from the atmosphere.

Carbon fibers in the form of technical fabrics reinforce the side walls of the wall elements. They absorb tensile forces and are intended to stabilize the building material in the same way as reinforcing steel in concrete. The carbon fibers used are bio-based, produced from biomass. Lignin-based carbon fibers, which have long been technically optimized at DITF Denkendorf, are particularly suitable for this application: They are inexpensive due to low raw material costs and have a high carbon yield. In addition, unlike reinforcing steel, they are not susceptible to oxidation and therefore last much longer. Although carbon fibers are more energy-intensive to produce than steel, as used in reinforced concrete, only a small amount is needed for use in building materials. As a result, the energy and CO₂ balance is much better than for reinforced concrete. By using solar heat and biomass to produce the carbon fibers and the weathering of the stone dust, the CO₂ balance of the new building material is actually negative, making it possible to construct CO₂-negative buildings.

The third component of the new building material is biochar. This is used as a filler between the two rock slabs. The char acts as an effective insulating material. It is also a permanent source of CO₂ storage, which plays a significant role in the CO₂ balance of the entire wall element.

From a technical point of view, the already realized demonstrator, a wall element for structural engineering, is well developed. The natural stone used is a gabbro from India, which has a high-quality appearance and is suitable for high loads. This has been proven in load tests.  Bio-based carbon fibers serve as the top layer of the stone slabs. The biochar from Convoris GmbH is characterized by particularly good thermal insulation values.

The CO₂ balance of a house wall made of the new material has been calculated and compared with that of conventional reinforced concrete. This results in a difference in the CO₂ balance of 157 CO₂ equivalents per square meter of house wall. A significant saving!

* (Methods for removing atmospheric carbon dioxide (Carbon Dioxide Removal) by Direct Air Carbon Capture, Utilization and Sustainable Storage after Use (DACCUS).

Polartec® introduces Polartec® Power Shield™ RPM, made from recycled polyester materials and the Polartec® 200, and Micro Series recycled fleeces featuring Polartec® Shed Less™ technology.

Polartec® Power Shield™ RPM is a recycled polyester fabric that offers waterproofness, wind-proofness and breathability, and also ensures high-stretch comfort and resilience. With its high range of motion and highly durable 100% recycled polyester membrane designed for high intensity activities, Power Shield™ RPM elevates end use comfort and is made for runners, cyclists and golfers who refuse to trade performance for sustainability.

Polartec® Shed Less™ technology is an innovative process that decreases fiber fragment shedding during home laundering up to 85%* without compromising the performance or durability of the fabrics it’s applied to. Less shedding means fewer microfiber fragments end up in the oceans and waterways.

Polartec® Micro™ Series is engineered to provide long-lasting comfort in a vast range of conditions and activity levels. This recycled fleece with Polartec® Shed Less™ technology is made from a lofted structure with thermal air pockets to retain warmth without inhibiting breathability. Polartec® Micro™ Series is both hydrophobic and fast drying.

Polartec® 200 Series is the modern version of the original PolarFleece®, which in 1993 became the first performance fleece knit from yarn made from recycled plastic bottles. It has a great resiliency, lightweight warmth and a fast drying time.

Der am 19. März veröffentlichte Patent Index 2023 zeigt eine neue Höchstmarke: Beim Europäischen Patentamt (EPA) wurden im vergangenen Jahr insgesamt 199.275 Patentanmeldungen eingereicht, was einem Anstieg von +2,9 % gegenüber dem Vorjahr entspricht. Der positive Trend aus den Jahren 2021 (+4,7 %) und 2022 (+2,6 %) hat sich weiter fortgesetzt. Patentanmeldungen stehen als wichtiger Frühindikator für Investitionen der Unternehmen in Forschung und Entwicklung. Zugleich unterstützen sie die Vermarktung von Erfindungen.

Aus Deutschland wurden beim EPA im vergangenen Jahr 24.966 Patentanmeldungen eingereicht, +1,4% mehr als im Vorjahr, die erste Zunahme nach drei Jahren mit stagnierendem Anmeldeaufkommen. Deutschland bleibt an der Spitze der europäischen Staaten und steht im weltweiten Ranking der europäischen Patentanmeldungen weiterhin auf dem zweiten Platz hinter den USA. 2023 stammten rund 12,5% aller beim EPA eingereichten Anmeldungen aus Deutschland.  
 
Starkes Wachstum aus China und Korea
Die fünf Länder mit den meisten europäischen Patentanmeldungen im letzten Jahr waren die USA, auf die 24% des gesamten Anmeldeaufkommens entfielen, Deutschland, Japan (11%), China (10%) und die Republik Korea (6%). Der Anstieg der Patentanmeldungen im vergangenen Jahr beruht vor allem auf der weiterhin starken Zunahme aus Korea (+21% zum Vorjahr) und China (+8,8% gegenüber 2022). Damit rückt das Land auf den 5. Platz im Länderranking vor.
 
Technologietrends: Deutschland weiterhin in der Mobilität führend – starkes Wachstum bei Elektrische Maschinen/Energie, in der Computertechnik und Biotechnologie
Die zahlenmäßig stärksten Technologiefelder bei den Patentanmeldungen aus Deutschland waren erneut die traditionell patentintensiven Bereiche Elektrische Maschinen/Geräte/Energie, Transport (einschließlich der Fahrzeugtechnologien) sowie Messtechnik. Daneben wurden insbesondere in zukunftsträchtigen Segmenten wie der Computertechnik (+13,5%) und der Biotechnologie (+13,4%) wieder deutlich mehr Patente angemeldet. Im Länder-Ranking für die Biotechnologie ist Deutschland die Nummer zwei hinter den USA. Unter den 25 anmeldestärksten Unternehmen in diesem Bereich finden sich fünf deutsche Firmen, angeführt von BASF, das auf dem achten Platz rangiert. In der Computertechnik liegt Deutschland auf Rang 3 hinter den USA und China. Unter den Top 25 in Computertechnik befinden sich mit Siemens und der Fraunhofer-Gesellschaft ebenfalls zwei deutsche Anmelder.  
 
In seinen traditionell anmeldestarken Technologiesegmenten hat das „Autoland Deutschland“, im Jahr 2023 seinen Spitzenplatz verteidigt, besonders im Bereich Transport: Mehr als 20% aller im vergangenen Jahr eingereichten europäischen Patentanmeldungen in diesem Sektor stammten aus Deutschland. In der Messtechnik, die auch die für die 4. Industrielle Revolution wichtigen Sensoren umfasst, meldeten nur US-amerikanische Unternehmen mehr Patente an als die deutschen Firmen (+6,5% im Jahresvergleich). Auf dem Gebiet Elektrische Maschinen, Geräte, Energie steht Deutschland weltweit an dritter Stelle beim EPA, hinter den Spitzenreitern China und der Republik Korea. Hier stiegen die Patentanmeldungen aus Deutschland um +7,7% gegenüber dem Vorjahr. Die Firma Robert Bosch liegt im internationalen Vergleich auf Rang 12 der Patentanmelder beim EPA für Erfindungen in der Batterietechnik, einem Teilgebiet von Elektrische Maschinen / Geräte / Energie. 

87 Prozent des weltweiten Textilabfalls in der Bekleidungsindustrie landen auf Deponien oder werden verbrannt. Von den 13 Prozent, die noch mechanisch weiterverarbeitet werden, enden die meisten Alttextilien als Dämmmaterial (Downcycling). Nicht einmal ein Prozent werden zu hochwertigen Fasern aufbereitet, aus denen wieder neue Kleidung entsteht.
 
Gemeinsam mit Bache Innovative als Antragstellerin hat die Hochschule Niederrhein (HSNR) ein großes Forschungsprojekt gestartet: „KnitCycle – kreislaufgerechte Produktentwicklung für Flachstricktextilien“. Die Deutsche Bundesstiftung Umwelt (DBU) fördert das Vorhaben für zwei Jahre mit insgesamt rund 290.000 Euro, davon fließen 225.000 Euro an die HSNR.
 
Wo Textilabfall recycelt und damit in den Kreislauf zurückgeführt werden kann, muss auch weniger entsorgt werden. Werden Produktionsabfälle und -überhänge vernichtet, ist das nicht nur teuer für die Unternehmen. Für die Herstellung neuer Kleidung müssen auch wieder neue Fasern erzeugt werden. Je nach Faserstoff kommt es dabei zu großem Wasserverbrauch, starkem Pestizid- und Düngemitteleinsatz sowie langen Transportwegen mit hohen CO2-Emissionen.  
 
Die Projektpartner erarbeiten ein Konzept, mit dem gestrickte Produkte so entwickelt werden können, dass sie sich am Produktlebensende durch ein Faser-zu-Faser-Recycling zu hochwertigen Fasern neu aufbereiten lassen. Aus diesen Fasern kann anschließend neues, industriell verarbeitbares Garn für Bekleidung hergestellt werden, das im Idealfall später abermals recycelt werden kann.
 
Unter dem Motto „Design for Recycling“ analysieren die Partner, welche Faktoren und Verfahren am besten geeignet sind, Textilien schon bei ihrer Entstehung so zu planen, dass sie am Produktlebensende optimal recyclingfähig sind. Gleichzeitig dürfen sich Ästhetik, Qualität und Langlebigkeit der Produkte nicht verschlechtern. Die Frage ist also: Welche Parameter im mechanischen Recycling werden benötigt und welche Produkteigenschaften erzielen das beste kreislauffähige Ergebnis?
 
„KnitCycle“ konzentriert sich auf Pulloverwaren und Produkte, die auf Flachstrickmaschinen endformgerecht in Deutschland produziert werden. Dafür liefert und produziert die auf 3D-Strickwaren spezialisierte Firma Bache Innovative eigenes Abfall- und Forschungsmaterial.
 
Unterstützung mit Experten-Knowhow gibt es auch von TURNS Faserkreisläufe. Dieses Unternehmen stellt recycelte Garne aus verschiedenen gebrauchten, ausrangierten Alttextilien her.
 
Die Faser-zu-Faser-Recycling-Versuche finden am hochschuleigenen Forschungsinstitut für Textil und Bekleidung (FTB) statt. Dazu schafft die HSNR von dem Fördergeld eine Reißmaschine für das Textilrecycling an. Hiermit werden vor Ort die optimalen Prozessparameter für das Recycling der jeweiligen Produkttypen ermittelt. Die in diesem Prozess gewonnenen Reißfasern werden dann u.a. mit Unterstützung der Firma Textechno H. Stein GmbH & Co. KG aus Mönchengladbach analysiert und bewertet.

Mittels unterschiedlicher Aufbereitungs- und Spinnverfahren werden aus den Reißfasern anschließend neue Garne hergestellt. Die Forschenden testen, wie sich die Fasern wiederverspinnen lassen – auch in Kombination mit anderen Naturfasern, um mit möglichst hochwertigen neuen Produkten den Produktkreislauf zu schließen.

An Labor-Strickmaschinen erzeugt das FTB-Team erste 2D-Strickproben. Die finalen Strickprodukte aus den recycelten Garnen stellt der Kooperationspartner Bache Innovative her. 

Autoneum significantly improved revenue in local currencies by 34.8% in 2023 compared to the previous year, supported by inorganic growth and a positive market environment. Consolidated in Swiss francs, revenue increased by 27.6% to CHF 2 302.3 million. The acquisition of Borgers Automotive already made a positive contribution to earnings and value in the first year and Business Group North America achieved a turnaround. EBIT adjusted for one-time effects more than doubled year-on-year to CHF 99.2 million and, with an EBIT margin of 4.3%, was at the upper end of the guidance. Net profit for the full year 2023 increased by an impressive CHF 50.2 million to CHF 61.1 million. Based on the positive net results, the Board of Directors is proposing a dividend of CHF 2.50 per share.

Outlook
According to forecasts, worldwide automobile production will be somewhat restrained in 2024 and may even decline slightly compared with 2023. Based on these market forecasts¹, Autoneum expects revenue in 2024 of CHF 2.3 billion to 2.5 billion. The Company anticipates an EBIT margin of 4.5–5.5% and free cash flow in the high upper double-digit million range for 2024.

¹ Source: S&P Global Light Vehicle Production Forecast of February 16, 2024.

• Combination of financial and non-financial reporting as evidence of the central role of sustainability
• Measurable progress in achieving sustainability and climate targets
• Recognized for sustainability and prepares for the European Green Deal

The Lenzing Group has published a combined annual and sustainability report for the first time, reaffirming the strategic importance of social and environmental responsibility for the company. With the title “Ready to join?”, Lenzing would like to extend an invitation to all customers and partners to join forces to renew the textile and nonwovens industries and bring about positive change.

“This annual and sustainability report is also an invitation to find answers together. Lenzing is working tirelessly to make the industries in which it operates even more sustainable and to drive the transformation of the textile business model from linear to circular. For this transformation to be successful, further efforts by the entire industry and a policy designed to ensure a level playing field for sustainability pioneers are needed,” says Stephan Sielaff, CEO of the Lenzing Group.

The results for the 2023 financial year were already published. The report was once again prepared in digital form and is now available.