Lenzing subsidiary opens new production line

12/05/2010
Lenzing's subsidiary PT South Pacific Viscose (SPV) has started up its fourth production line. At an investment of around $150 million, the production line is the group's largest individual investment project in recent years.

Its annual production capacity of 60,000 tonnes of viscose fibres for textile and nonwovens applications raises SPV's total annual capacity to 220,000 tonnes, making it Asia's biggest viscose fibre production site and the world's second-biggest producer, after the parent plant at Lenzing, which produces 255,000 tonnes per year.

At the inauguration in Purwakarta, Indonesia, Peter Untersperger, chairman of the Lenzing management board, said: “Indonesia and the whole of Asia are Lenzing's single most important sales market. The extension of PT South Pacific Viscose is another milestone for the Lenzing Group.

“It again marks our commitment to our customers in this part of the world. And it is, moreover, an essential part of our corporate strategy. With the completion of all current investment projects in 2012, about half of the group's fibre production capacity of then 378,000 tonnes will be located in Asia. It is our goal to reach the million-tonne production mark by successive expansion steps and more than half of our total cellulose fibre production will then be generated in Asia."