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Lenzing continues to expand production capacities

17 Dec '07
3 min read

The Lenzing Group continues the expansion of production capacity at its second largest production site, PT. South Pacific Viscose in Purwakarta (Indonesia).

Within the next two years viscose fiber production capacity will be increased by 65,000 tons from currently 155,000 tons to 220,000 tons per year by the construction of a fourth production line, improvements in infrastructure and by debottlenecking. Total investment is budgeted at EUR 106 mill. Lenzing will also invest an additional EUR 45 mill. to increase capacity at the largest production site in Lenzing (Austria) from the current level of 235,000 tons annually to 250,000 tons in the future.

"The demand for Lenzing fibers, particularly in Asia, has recently been very positive. In the medium term we view the continuing economic growth of the region, the rise in prosperity and its growing population as indicators of very good market opportunities" reasons Thomas Fahnemann, chairman of the Lenzing management board.

Cellulose fibers manufactured by the Lenzing Group increasingly demonstrate their advantages in the competitive field of the fiber industry: They are made from the sustainable resources wood and pulp and their ecologically friendly carbon foot-print is increasingly appreciated by customers in Asia as well. High comfort of wear makes cellulose fibers the indispensable component for the growth sector function wear. Rapidly rising living standards and the expanding health and hygiene infrastructure in the emerging markets also lead to a significant rise in the demand for cellulose nonwoven fibers.

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