Austria Lan Jing Will Invest 1 Billion Euros To Expand Its Production

Austria fabric giant Lenzing recently announced that it plans to invest more than 1 billion euros in the next few years to expand the production of Lyocell (Lesel, commonly known as "Tencel") fiber. The first step will be to invest 400 million euros in Thailand to build an advanced factory for the production of the fiber.

Lenzing said the plant has been approved for construction and will start construction this autumn, which is located in the Industrial Park 304 Industrial Park of Prachinburi, 150 kilometers east of Bangkok. The project has been fully supported by Board of Investment (BOI) of Thailand (Thailand Investment Council). It is expected that the production will reach 100 thousand tons by the end of 2021.

Lenzing stopped its expansion plan in the United States last September, and a $322 million project in Alabama was shelved and focused on building a new production base in Thailand.

Lenzing said that Thailand has a good trade relationship with the major Asian economies, and Industrial Park 304 has a good overall infrastructure and sustainable bio energy supply, which is in line with Lenzing's aim of reducing carbon dioxide emissions and protecting the climate. In the next few years, Lenzing will further expand its production base in Thailand. The investment in the first stage has laid a foundation for the expansion of Thailand in the future. Lenzing will also continue to identify other possible production bases in the rest of the world.

Lenzing attaches great importance to sustainable development. Its fiber products are made from cellulose, and cellulose is a natural ingredient in wood. Lenzing said it plans to reduce carbon dioxide emissions to half of 2017 by 2030, and achieve zero carbon dioxide emissions by 2050.

In March this year, Lenzing and Belgian chemical company Solvay jointly launched a green fabric. In January, the company also launched a sustainable clothing series called "Planet REhab" with Guatemala designer Juan Carlos Gordillo and Spanish textile manufacturer Tejidos Royo.