Lenzing Group to Build World’s Largest Lyocell Fiber Plant

The Lenzing Group is substantial increasing its production of lyocell fibers: Over the next years, the Austrian company plans to invest about one billion Dollars in new production facilities for lyocell fibers.

Lenzing/Austria — The first expansion phase of this ambitious growth plan, the construction of a state-of-the art lyocell fiber production plant in Prachinburi (Thailand), has now been approved. The plant will have a capacity of 100,000 tons and feature investments of approximately $ 450 million.

The plant will be the largest site of its kind. Site grading at Industrial Park 304 around 150 kilometers east of Bangkok has been completed successfully and the investment is fully supported by the Board of Investment (BOI) of Thailand. Construction will start this fall and production will commence towards the end of 2021.

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Thailand has favorable trade agreements with the major Asian economic blocks. The selection of Industrial Park 304 in Prachinburi was based on its excellent overall infrastructure and the sustainable biogenic energy supply, which leads to low CO₂ emissions to protect the climate. Over the coming years Lenzing will further expand at the site in Thailand, which has space for several plants. The investment in the first phase already includes the general infrastructure that will benefit future expansion. Lenzing will continue to look for potentially expanding lyocell production in other parts of the world as well.