Taiwan-based textile maker, Far Eastern New Century is expanding its capacity in Vietnam. The ongoing capacity expansion plans are part of the company’s investment project in Vietnam to develop a supply chain for fabrics and garments over three years.
The company provides a wide range of petrochemical and textile products, such as polyester-related materials, knitted fabrics and apparels. Another plant in Vietnam, which would produce knitted fabrics, is set to begin production in the second quarter of this year. The new plant is expected to manufacture 6000 tons of knitted fabrics a year.
The company is likely to take advantage of global price increases in ethylene glycol, which would help increase prices of polyester fibers. The price of ethylene glycol is expected to hover at relatively high levels in the near future, as supply shortage problems in China are not yet completely resolved.
Far Eastern is also in talks with several global brands for its eco-friendly products, and is expecting higher revenue contributions from recycled fiber and textiles for this year. The polyester and textile businesses amount to more than 50 per cent of the company’s total sales. However, for whole of last year, the company’s consolidated revenue slid 0.92 per cent year-on-year.