TEXTILES.ORG
Austrian fiber producer Lenzing Group has moved to phase out production at its historic Tencel lyocell sites in Heiligenkreuz, Austria, and Grimsby, U.K., by the end of 2027, shifting production to core hubs. As reported on prismnews.com, this move gives Lenzing more leverage as demand for cellulose-based fibers continues to be strong.
Heiligenkreuz has historically been central to the Tencel story, with the site operating since 1997. It was the first facility worldwide to produce more than one million tons of lyocell fibers, and has traditionally served as a dependable source for premium-grade fibers in many garment and fabric home products.
The Grimsby site is widely recognized as the birthplace of Tencel‑branded lyocell. Closing the site ends almost 30 years of production in the region, having first opened under Courtaulds Fibers in 1998.
The company will shift towards more nonwoven applications. Georg Kasperkovitz, CEO of the Lenzing Group, said, “With “Grow Nonwovens, Reset Textiles,” Lenzing is taking decisive steps to re-position the company for long-term success in a fundamentally changing market environment. By combining a streamlined premium product portfolio, improved competitiveness and a strong proprietary innovation pipeline, we are creating the foundation for profitable growth and a more focused, resilient Lenzing.”
Lenzing’s global workforce is expected to be cut by around 2,000 jobs by the end of next year, having employed around 8,100 at the end of 2025.