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Inauguration of the new viscose fiber plant in Nanjing/China

Lenzing (Nanjing) Fibers Co., Ltd. is a joint venture with Nanjing Chemical Fibre Co., Ltd. (NCFC), with Lenzing and NCFC holding 70% and 30% of the shares, respectively.
The new plant with an annual nominal capacity of currently 60,000 tons of viscose fibers was completed in less than two years and employs a staff of 540. Total investment was EUR 65 mill. Lenzing Technik, the systems engineering subsidiary of the Lenzing Group supplied the plant’s technology.

 “Lenzing Nanjing is a central element of our strategy of expansion and globalization“ said Thomas Fahnemann, chairman of the Lenzing management board, at a press conference held at the event.

China, with an above-average growth of its viscose fiber industry over the past five years, has become the largest producer, as well as the biggest consumer of viscose fibers.

 “For us China is one of the key markets of the future. With our new new fiber production plant we want to give a clear signal to our customers in China: Our strategy is long-term. We will establish ourselves as a local producer. We believe in the sustainable success of the Chinese textile and nonwovens industry.“

If Chinese demand for Lenzing fibers continues to grow at present rates, expansion is scheduled for the next years. The location allows tripling production capacity. 

Sixth fiber plant of the Lenzing Group

Lenzing Nanjing is the sixth cellulose fiber plant of the global Lenzing Group and the group’s second plant in Asia. The plant in Nanjing increases the group’s annual production capacity to 560,000 tons, expanding Lenzing’s leading global position in cellulose fibers for the textile and nonwovens industries. Lenzing up to now supplied the Chinese market through its trading company in Shanghai. Standard viscose fibers were supplied by the the group’s Indonesian plant and specialty fibers were imported from Europe, mainly from the plant at Lenzing. Due to the strong demand for Lenzing fibers, the leading decision for a production plant in China was made in 2004. After an intense period evaluating locations and partners the ground-breaking ceremony was held in April 2005.

Nanjing was chosen for its superior infrastructure and for the fact that Lenzing’s partner, NCFC, was already in the process of building a viscose filament plant there. The joint utilization of energy supply and waste water treatment facilities enabled signifcant cost savings. The immediate proximity of one of China’s biggest chemical complexes (among the neighbors is BASF China) was an additional advantage, as the region therefore offers sufficient regional industrial service providers.

Model mix of high-tech and local value addition

During peak time up to 600 workers were busy at the construction site. Key components were provided by Lenzing Technik, the larger share of investment was spent locally. The mix of European high-tech and local value addition has proven to be a successful model of cooperation with local suppliers in emerging markets. This model will be used for the first Indian viscose fiber plant of the Lenzing Group, too.

Lenzing Nanjing has been designed for the production of viscose fibers for the textile industry, as well as for the nonwovens industry. Textile fibers have been produced as part of trial operations since the spring of 2007. From the fall of 2007, fibers for nonwovens will be produced as well. The stringent standards for medical applications, especially in the USA, require an extraordinary level of monitoring during production in order to ensure highest fiber purity.
 
Lenzing’s global business unit Pulp supplies Lenzing Nanjing with this main material for the production of viscose fibers on the basis of long-term contracts with suppliers. All other important chemicals and auxiliary materials are purchased locally. Energy is provided by the neighboring energy and by the public power grid.

Lenzing Nanjing is one of the most modern viscose fiber plants in Asia. Closed production cycles, a waste gas purification plant, singular in the Chinese viscose fiber industry, and efficient energy management result in very low emission values and attractive production costs. The renewable raw material pulp underlines the new fiber plant’s sustainability in production and products.

Lenzing Technik – Nanjing major project in China

For Lenzing Technik Nanjing is a major Chinese viscose fiber plant project. “Our experience in systems engineering in China goes back to almost twenty years and our well-matched team is excellent at mastering local challenges“, says Christian Reisinger, member of the Lenzing management board responsible for business unit Engineering. The experience in training and teaching local staff gathered over the years was one of the reasons for the smooth start-up phase of Lenzing Nanjing.

Further inquiries:

Angelika Guldt
Corporate Communications
Phone: +43 (0)7672 701-2713

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