The Lenzing Group aims to increase 50% of its specialty fiber production by 2020.

The new facility will be the largest Tencel fiber plant in the world and will utilize the latest technological standards. It will be a state-of-the-art plant with a production capacity of 90,000 tons of fibers per year. It is expected to be operating in the first quarter of 2019.


The holding will invest a total of USD 293 million (€275 million) for building a new Tencel fiber plant in the USA, at its site in Mobile, Alabama.


The Lenzing Group currently has a worldwide production capacity of 222,000 tons per year of Tencel fibers and aims at increasing its production capacity thanks to the new plant in Mobile and other Tencel fiber sites.


“This investment represents another major milestone in the implementation of our corporate strategy sCore TEN,” commented Lenzing CEO Stefan Doboczky referring to other expansion plans they had previously announced aimed at increasing their production of specialty fibers at the sites in Heiligenkreuz and Lenzing (Austria) and in Grimsby (UK). “Such new plans will bring us a big step further to reach our target of 50 percent revenue from specialty fibers by 2020. This expansion also underscores our commitment to all our Tencel fiber customers, who continue to make their products even more sustainable using Tencel fiber, the world’s most sustainable botanic fiber,” added Doboczky.


In order to reach Lenzing Group’s organic growth goals, they decided to create a new management board role, pooling together the key technical, operational and engineering responsibilities. The supervisory board of the company appointed Heiko Arnold as the new Chief Technology Officer. He will be responsible for all technical departments in the Lenzing Group. Arnold has gained 15 years of experience, mostly spent with BASF, realizing major investment projects, implementing continuous operational improvements and extensive know-how in R&D.

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