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German investment in Indonesia and China for specialty fibres

Germany’s Lenzing Group will invest more than Euro 200 million in its production sites in Purwakarta, Indonesia, and Nanjing, China, to convert existing standard viscose capacity into environmentally responsible specialty fibres. Source: Lesprom

The Lenzing Group is a global supplier of wood-based specialty fibres.

In Nanjing, China, Lenzing will establish the first wood-based fibre complex in China that is independent from coal as an energy source. By using natural gas-based cogeneration, Lenzing will reduce CO2 emissions at the site by more than 200,000 tons. At the same time a line of standard viscose will be converted to 35,000 tons TENCEL branded modal fibres line making Lenzing (Nanjing) Fibres a 100% wood-based specialty fibre site by the end of 2022.

In Purwakarta, Indonesia, Lenzing will reduce its CO2 emissions by increasingly using biogenic fuels. Additional investments to reduce emissions to air and water will make this facility fully compliant with the EU Ecolabel by the end of 2022. That will allow converting standard viscose capacity into LENZING ECOVERO branded fibres for textile applications as well as LENZING Viscose Eco fibres for personal care and hygiene applications.

As a result, the site in Indonesia will also become a pure specialty viscose supplier as of 2023.

Both investments are in line with Lenzing’s target to reduce its greenhouse gas emissions per ton of product by 50% by 2030. By avoiding or reducing the use of fossil fuels at the two sites, the Lenzing Group will be able to reduce CO2 emissions by more than 320,000 tons in total, or 18%, compared with 2017. In addition, this investment allows Lenzing to reduce its total sulfur emissions by more than 50%, compared with 2019.

“With our ambitious climate targets towards a zero-carbon future, we are pioneers in the entire manufacturing industry and especially in the fibre sector. Our investments in China and Indonesia underpin that investments in improving our eco-footprint are at the same time value enhancing for shareholders. These investments are a substantial step towards our strategic targets for 2024,” said Stefan Doboczky, CEO of the Lenzing Group.