World’s leading supplier of wood-based specialty fibers, Lenzing has completed its key lyocell expansion project in Thailand. The new plant, with a nameplate capacity of 100,000 tons per year, started production on schedule and will help to even better meet the increasing customer demand for TENCEL™ branded lyocell fibers.

The construction of the plantstarted in the second half of 2019 and proceeded largely according to plan, despite the challenges arising from the COVID-19 pandemic. The recruiting and onboarding of new employees has been successful. Investments (CAPEX) amounted to approx. EUR 400 mn.

Lenzing will continue to expand its production capacity for lyocell fibers in line with its sCore TEN strategy, which aims to generate 75 percent of its fiber revenue from eco-responsible specialty fibers such as TENCEL™, LENZING™ ECOVERO™ and VEOCEL™ fibers by 2024. The Thailand site offers space for several production lines. The investment in the first phase already includes general infrastructure that would benefit future expansion. However, Lenzing will continue to look for opportunities to expand lyocell production in other parts of the world too.