VEOCEL™ has expanded lyocell fiber production to Thailand, marking the first nonwoven-grade lyocell manufacturing in Asia. This move improves supply chain efficiency, reduces emissions, and supports sustainable nonwovens production for products like wipes and hygiene items across the region.

Launching a New Chapter for Nonwovens in the Region
VEOCEL™, Lenzing’s flagship specialty nonwovens brand, expands production at its Thai plant in Prachinburi. This is the first-ever production of its nonwoven-grade lyocell fibers in Asia. Built in 2022 with a 100,000-ton annual production capacity, the facility – previously focused on fibers for textile applications – now can directly meet the demand for VEOCEL™’s biodegradable¹, wood-based lyocell fibers for nonwovens products. These fibers are an essential ingredient for high-quality nonwovens products, ranging from baby wipes to facial sheet masks and everyday personal hygiene items.
Serving Asia from Asia
For more than 25 years, Lenzing has led the way in lyocell fiber production, driving sustainability, pioneering innovation, and setting new standards in cellulosic fibers. This expansion brings those fibers closer to nonwovens customers and value-chain partners across Asia, improving access and reinforcing VEOCEL™’s commitment to the region. With production in Thailand, manufacturers and brand partners can now count on greater supply chain stability with significantly shorter lead times.
Localized production also means fewer miles traveled. Sourcing these fibers directly within Asia, rather than from Lenzing’s other lyocell facility in Austria, reduces the need for intercontinental imports. This significantly contributes to reducing transport-related emissions, supporting the environmental commitments of both Lenzing and its partners in Asia.
“This expansion is a landmark achievement for the VEOCEL™ brand and the broader nonwovens industry in Asia,” said Patricia A. Sargeant, Executive Vice President Nonwovens at Lenzing AG speaking at the launch ceremony on 18th March in Prachinburi. “We are now ideally positioned to serve our valued customers with enhanced speed, stability, and sustainability². We deeply value the partnership we have built so far, yet there is more to come. We believe that true progress is only possible when we move forward together. By offering a robust local supply of biodegradable¹, wood-based lyocell fibers, we are empowering our partners in Asia to meet the consumer demand for environmentally responsible wipes and hygiene products, while significantly reducing the carbon footprint associated with global logistics.
Building on a Sustainable Foundation
The Prachinburi plant itself exemplifies Lenzing’s commitment to responsible fiber manufacturing. Its production of VEOCEL™ Lyocell fibers utilizes a resource-efficient, closed-loop production process that results in low air and water emissions². The facility also drives Lenzing’s broader climate goals, targeting 95 percent biomass energy by 2027 and Scope 1 and 2 carbon neutrality by 2030³.
“Our site in Thailand was built with future growth and our ambitious climate goals in mind,” added Krishna Manda, Global Head of Sustainability for Lenzing Group. “Expanding the facility’s capabilities for VEOCEL™ fibers is a testament to our ongoing investments in sustainable innovation. Once fully commercialized, this capability will play a vital role in transitioning the regional nonwovens industry from fossil-based synthetics to biodegradable, cellulosic alternatives. We look forward to strengthening collaboration as we begin this new chapter together.”
The plant uses optimized processes to guarantee the high performance, skin comfort, and sustainability benefits VEOCEL™ is known for. By aligning local supply with global environmental standards, Lenzing is advancing an eco-conscious supply chain and reinforcing its leadership in environmentally responsible fibers.
FAQ
What is VEOCEL™ lyocell fiber?
VEOCEL™ lyocell is a biodegradable, wood-based fiber used in nonwoven products like wipes and hygiene items, known for sustainability and skin comfort.
Why is the Thailand expansion important?
It enables local production in Asia, reducing lead times, improving supply stability, and lowering transport emissions.
What industries benefit from this expansion?
Nonwovens industries including baby wipes, facial masks, and personal hygiene products benefit significantly.
How is lyocell environmentally friendly?
It is produced using a closed-loop process with low emissions and relies on renewable wood sources.
Learn Next About: Lenzing, Mill Partners Introduce Next-Gen Denim Possibilities With New TENCEL™ Lyocell – HV100 Fiber Innovation At Kingpins
¹ A range of LENZING™ Lyocell fibers for nonwoven applications are certified by TÜV AUSTRIA to be biodegradable in soil, freshwater and marine conditions and compostable under home and industrial conditions.
² VEOCEL™ Lyocell fibers have gained a commendable reputation for their environmentally responsible, closed loop production process, which transforms wood pulp into cellulosic fibers using a highly resource-efficient process with low ecological impact. Within this solvent-spinning process, the process water is recycled, and the solvent can be recovered up to 99.8 percent and reused.
³ Please refer to Lenzing Annual and Sustainability Report 2025.

