Hyosung TNC to Invest US$ 1 Billion in Vietnam for Sustainable Bio-BDO Production
South Korean textile giant Hyosung TNC is making a major push into sustainable materials with a $1 billion investment in Vietnam. The company plans to build a factory capable of producing 200,000 tons of Bio-BDO (Butanediol) annually, a key raw material for eco-friendly textiles.
Focus on Sustainability
Hyosung TNC's investment reflects the growing demand for sustainable materials in the global textile industry. Bio-BDO, derived from sugarcane instead of fossil fuels, offers a significantly reduced environmental footprint. The company's new production system will be the world's first fully-integrated operation for bio-spandex, encompassing Bio-BDO production, PTMG (precursor to spandex) manufacturing, and bio-spandex fiber creation.
Partnership with Geno
Hyosung TNC has partnered with Geno, a US-based leader in sustainable materials technology. Geno's proven GENO BDO™ technology enables the efficient production of Bio-BDO with minimal environmental impact. This partnership will accelerate Hyosung TNC's entry into the bio-materials market and allow them to offer Bio-BDO for sale as early as the first half of 2026.
Market Leadership in Sustainable Textiles
The new Bio-BDO production facility in Vietnam positions Hyosung TNC as a leader in sustainable textile production. The company aims to capture a significant share of the rapidly growing sustainable textile market, valued at an estimated $23 billion and projected to reach $75 billion by 2030. Hyosung TNC plans to increase its sales of sustainable spandex to 20% of its total spandex sales by 2030.
Chairman's Vision
Hyosung TNC Chairman Hyun-Joon Cho sees the Bio-BDO investment as a cornerstone for the company's future. He believes that sustainable materials will be a key driver of growth for Hyosung TNC for the next century. The company's commitment to innovation and collaboration with industry leaders like Geno positions them well to capitalize on this growing market opportunity.
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Date of record
2 April 2024
