March 26, 2026
Fibre

Lenzing Expands VEOCEL Lyocell Production To Asia, Strengthens Nonwovens Supply Chain

Lenzing AG has expanded its VEOCEL lyocell production footprint in Asia, commencing nonwoven-grade fiber output at its Prachinburi facility in Thailand—a first for the region.

The plant, commissioned in 2022 with a capacity of 100,000 tonnes per annum, was initially focused on textile applications and has now been upgraded to serve the growing nonwovens segment, including wipes, hygiene and personal care products.

The move reinforces Lenzing’s Asia for Asia strategy, enabling localized supply, shorter lead times and reduced dependence on imports from Europe. It is also expected to significantly cut transport-related emissions, aligning with the sustainability goals of both the company and its regional partners.

“This expansion is a landmark achievement for the VEOCEL™ brand and the broader nonwovens industry in Asia,” said Patricia A. Sargeant, Executive Vice President Nonwovens at Lenzing. “We are now ideally positioned to serve our valued customers with enhanced speed, stability, and sustainability.”

The Prachinburi facility operates on a closed-loop production process designed to minimise emissions and resource use. It is also aligned with Lenzing’s climate roadmap, targeting 95 per cent biomass energy by 2027 and Scope 1 and 2 carbon neutrality by 2030.

“Our site in Thailand was built with future growth and our ambitious climate goals in mind,” said Krishna Manda, Global Head of Sustainability for Lenzing Group. “Expanding the facility’s capabilities for VEOCEL™ fibers is a testament to our ongoing investments in sustainable innovation. Once fully commercialized, this capability will play a vital role in transitioning the regional nonwovens industry from fossil-based synthetics to biodegradable, cellulosic alternatives. We look forward to strengthening collaboration as we begin this new chapter together.”

With Asia emerging as a key demand hub for hygiene and personal care products, the expansion is set to enhance supply chain resilience while supporting the shift towards sustainable, biodegradable fiber solutions.

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