Even before the Second World War, Lenzing was an important location for pulp and paper production. The geographical location in the heart of Europe and the access to important resources favor development.
The area was considered a good production location hundreds of years ago. The "Starlingermühle" produced hand-made paper from old textiles. The Lower Austrian paper industrialist Emil Hamburger acquired the mill in 1890 because the location seemed ideal for his expansion plans. The river Ager provided enough water, the nearby coal mines in Upper Austria's Hausruckviertel provided energy, wood came from the neighboring mountains, and there were enough people who had to move from agriculture to factories.
In 1892 the first pulp and paper mill started operations in Lenzing. It was sold to the Bunzl paper family in 1935/36, who expanded it into one of the most modern pulp and paper locations in Europe in the following years.
1938 to 1945: The Second World War
The fiber plant is being built and will soon be shut down again.
In the spring of 1938 the German troops marched into Austria. In the course of war preparations, Nazi Germany had already planned to set up several "rayon" (viscose) plants in the Greater German Reich in order to become independent of cotton imports. One of the plants was planned in Lenzing, where they wanted to use the existing pulp mill as a raw material supplier. The Bunzl family was expropriated and the fiber factory "Zellwolle Lenzing" was built in the immediate vicinity. As a result, a women's subcamp of the Mauthausen concentration camp was set up in the neighboring community of Pettighofen. The concentration camp prisoners, like numerous other forced laborers, were used under inhumane conditions by the Nazi regime at the Lenzing plant.
Due to a lack of raw materials, production collapsed towards the end of the war. When the US troops marched into Upper Austria, the Nazi rulers wanted to blow up the plant. The bombs already installed in the plant were defused at the last minute by a resistance group.
1945 to 1970: Reconstruction and post-war boom
The Lenzing viscose fiber plant survived the war largely undamaged. In this way, Lenzing can live up to its role as a raw material supplier for the textile industry, which is again developing, during the period of rebuilding.
After the end of World War II, the Allies were able to be convinced that what was then "Zellwolle Lenzing AG" could be an important supplier of raw materials to the textile industry for the successful reconstruction of Austria. With the consent of the Allies and with the support of the Austrian banks, operations could be resumed in 1947/48. The nominal capacity of 60,000 tons of viscose fibers was achieved for the first time in the 1950s. Due to the size of the plant, the establishment of the international export business was started back then, as the Austrian domestic market was far too small for the quantities produced.
In 1965, after several years of research and development work, the first high-modulus fiber from Lenzing, a forerunner of today's Lenzing Modal, was launched. It was the first special fiber from Lenzing.
In 1968/69 Lenzing acquired the neighboring pulp and paper mill. This cleared the way for the merging of pulp and fiber production into an integrated production site with all its economic and technical advantages. Now pulp production could be tailored precisely to the needs of fiber production. From this integration, Lenzing developed the biorefinery concept, which is still groundbreaking today, over the decades that followed.
The beginning of the environmental remediation and the Inter-: 1970 to 1990
nationalization
Growing environmental awareness is bringing the pulp, paper and cellulose fiber industries into disrepute. Lenzing reacts with the concept of the biorefinery and the closure of chemical cycles. At the same time, the internationalization of the group begins.
At the end of the 1960s, environmental protection was still a foreign word. Like all other viscose fiber plants in the world, water and air in Lenzing were also heavily polluted by the production. Gradually, the awareness rose that changes would have to be made here if the location was to survive in the long term. Various strategies and possible solutions were discussed, including closure. The establishment of synthetic fiber production (acrylic and polyester fibers) and diversification into the plastics sector as well as into mechanical and plant engineering was seen as the right way to decouple from viscose fiber production if necessary. The core shareholders, the major Austrian banks Länderbank and Creditanstalt,
In 1975, a separate environmental department was founded to develop the concept of the biorefinery and the closed loop in the production process.
Just a few years later, the first exhaust air purification systems and the largest industrial wastewater purification system in Austria were put into operation in Lenzing. At this time it was also possible to extract organic products such as acetic acid and furfural from the raw material wood and to use them commercially. The redesign of the Lenzing site in the direction of the ecological production of cellulose and cellulose fibers had borne fruit: while one viscose fiber producer after the other in Europe and the USA was closed, Lenzing was secured in the long term.
In 1984 the name was changed from "Chemiefaser Lenzing" to "Lenzing AG", and in 1985 the shares were successfully introduced on the Vienna Stock Exchange.
The first steps in the international expansion of production were also taken during this period. In 1983, South Pacific Viscose, a subsidiary of the Lenzing Group, started fiber production in Indonesia. Lenzing took over a polyester filament plant in Italy and a high-performance plastics production facility in the USA. Both works were later sold again.
1990 to 2000: The start of a new era with Lyocell
In the search for an alternative, environmentally friendly production process, Lenzing came across Lyocell technology and developed it decisively further. It was to be the beginning of a real revolution for the world of botanical cellulose fibers.
After many years of preliminary research, Lenzing started building its first lyocell fiber pilot plant in 1990, opening a whole new chapter in the company's history. For the first time, a high quality botanical fiber could be produced in Lenzing in a particularly environmentally friendly process. In 1997, the first large lyocell production facility started operations at the new Lenzing site in Heiligenkreuz, Burgenland (Austria).
At the same time, the Lenzing location was further expanded in the direction of sustainable growth. Together with a partner company, Lenzing began to extract the raw material for the sugar substitute xylitol from the wood used for pulp production. Furthermore, due to the strong demand, the capacities for the special fiber Lenzing Modal were expanded and more and more fibers were produced for use in the nonwovens segment.
In order to be able to concentrate better on the core business, the Lenzing mechanical engineering subsidiary as well as other smaller subsidiaries in strategic peripheral areas were sold. At the international level, the expansion of the South Pacific Viscose subsidiary and the temporary entry into a viscose fiber plant in the USA and a pulp plant in Brazil were important cornerstones for opening up global markets.
2000 to 2010: Lenzing has a new ownership structure - TENCEL ™ comes to Lenzing
Eventful years for Lenzing. B&C Holding becomes the new core shareholder and Lenzing buys TENCEL ™ - the ultimate breakthrough for this innovative fiber is achieved.
The new decade brought changes on the property side. The former core shareholder Bank Austria transferred its shares to the newly founded B&C Holding, the subsidiary of a foundation to promote Austrian entrepreneurship. The sale of the shares to the private equity fund CVC had previously failed due to antitrust reasons.
However, this fund was also indirectly the owner of Lenzing's fiercest rival on the market for the new lyocell fibers, Corsadi BV (formerly part of the British Courtaulds plc.). Now Lenzing turned the tables and bought these activities. In 2004 the brand name TENCEL ™, including the sales team, and the two production sites Mobile, Alabama (USA) and Grimsby (UK) came to Lenzing. The bundling of the research, development and sales activities of the two companies brought the definitive and sustainable breakthrough on the market for the future-oriented lyocell fiber.
Internationalization also made enormous progress in this decade: Lenzing started its first viscose fiber plant in Nanjing (China) in 2007. In 2009, Lenzing increased the shares in the Indonesian subsidiary South Pacific Viscose to 91 percent. Finally, in 2010, Lenzing acquired the Czech cellulose plant Biocel Paskov, which was converted from paper to fiber cellulose in the years to come.
2010 to today: The growth continues to accelerate
Lenzing rushes from one success to another - with downturns in between. Expansion of capacities for lyocell fibers started.
Spurred on by strong demand, Lenzing focused on dynamic growth at the beginning of the decade. The Viscose production site in Nanjing started with another production line in 2011, and in 2012 construction work began on the first production site for lyocell fibers at the Lenzing site, which was successfully put into operation two years later. The pulp production in Lenzing and Paskov was further expanded, Paskov became largely energy self-sufficient and switched its production to the environmentally friendly chlorine-free bleaching process. The fifth production line at the Indonesian subsidiary SPV went into operation in 2012 and made SPV one of the largest viscose fiber plants in the world.
In 2015, Lenzing presented the corporate strategy sCore TEN, which, among other things, provides for the expansion of capacities for the production of specialty fibers and an increase in self-sufficiency with pulp. In accordance with this new strategic orientation, fundamental investment decisions were made in 2019 after several years of planning and preparation: the decision to build the first lyocell fiber plant in Asia, specifically in Thailand, and the decision to build a pulp mill in Brazil.
In these years Lenzing caused a sensation with far-sighted innovations and a series of collaborations with partners in the value chain: In 2012, LENZING ™ Modal Color was presented, a new type of modal fiber that does not lose any of its color even after repeated washing and because it no longer needs to be colored in production has considerable ecological advantages. In the hygiene area, Lenzing developed a special variant of the lyocell fiber. It enables the safe disposal of wet wipes via the toilet, as the fibers, despite their strength, dissolve again by themselves when used in sewage treatment plants.
The commercial launch of REFIBRA ™ technology in 2017 marked unprecedented progress for the circular economy in the textile industry. Lyocell fibers from the TENCEL ™ x REFIBRA ™ brand are the first cellulose fibers to be manufactured using not only wood but also cutting residues from the production of cotton clothing. In 2019, Lenzing achieved another important milestone with the use of worn clothing as a raw material for the production of TENCEL ™ x REFIBRA ™ fibers.
In 2017, after many years of development work, Lenzing launched its first continuous yarn (filament) with TENCEL ™ Luxe. It is used in the field of sustainable textiles made from cellulose fibers in the luxury segment of the fashion industry. The new filament is made with the environmentally friendly Lyocell technology.
1990 to 2000: The start of a new era with Lyocell
In the search for an alternative, environmentally friendly production process, Lenzing came across Lyocell technology and developed it decisively further. It was to be the beginning of a real revolution for the world of botanical cellulose fibers.
After many years of preliminary research, Lenzing started building its first lyocell fiber pilot plant in 1990, opening a whole new chapter in the company's history. For the first time, a high quality botanical fiber could be produced in Lenzing in a particularly environmentally friendly process. In 1997, the first large lyocell production facility started operations at the new Lenzing site in Heiligenkreuz, Burgenland (Austria).
At the same time, the Lenzing location was further expanded in the direction of sustainable growth. Together with a partner company, Lenzing began to extract the raw material for the sugar substitute xylitol from the wood used for pulp production. Furthermore, due to the strong demand, the capacities for the special fiber Lenzing Modal were expanded and more and more fibers were produced for use in the nonwovens segment.
In order to be able to concentrate better on the core business, the Lenzing mechanical engineering subsidiary as well as other smaller subsidiaries in strategic peripheral areas were sold. At the international level, the expansion of the South Pacific Viscose subsidiary and the temporary entry into a viscose fiber plant in the USA and a pulp plant in Brazil were important cornerstones for opening up global markets.
2000 to 2010: Lenzing has a new ownership structure - TENCEL ™ comes to Lenzing
Eventful years for Lenzing. B&C Holding becomes the new core shareholder and Lenzing buys TENCEL ™ - the ultimate breakthrough for this innovative fiber is achieved.
The new decade brought changes on the property side. The former core shareholder Bank Austria transferred its shares to the newly founded B&C Holding, the subsidiary of a foundation to promote Austrian entrepreneurship. The sale of the shares to the private equity fund CVC had previously failed due to antitrust reasons.
However, this fund was also indirectly the owner of Lenzing's fiercest rival on the market for the new lyocell fibers, Corsadi BV (formerly part of the British Courtaulds plc.). Now Lenzing turned the tables and bought these activities. In 2004 the brand name TENCEL ™, including the sales team, and the two production sites Mobile, Alabama (USA) and Grimsby (UK) came to Lenzing. The bundling of the research, development and sales activities of the two companies brought the definitive and sustainable breakthrough on the market for the future-oriented lyocell fiber.
Internationalization also made enormous progress in this decade: Lenzing started its first viscose fiber plant in Nanjing (China) in 2007. In 2009, Lenzing increased the shares in the Indonesian subsidiary South Pacific Viscose to 91 percent. Finally, in 2010, Lenzing acquired the Czech cellulose plant Biocel Paskov, which was converted from paper to fiber cellulose in the years to come.
2010 to today: The growth continues to accelerate
Lenzing rushes from one success to another - with downturns in between. Expansion of capacities for lyocell fibers started.
Spurred on by strong demand, Lenzing focused on dynamic growth at the beginning of the decade. The Viscose production site in Nanjing started with another production line in 2011, and in 2012 construction work began on the first production site for lyocell fibers at the Lenzing site, which was successfully put into operation two years later. The pulp production in Lenzing and Paskov was further expanded, Paskov became largely energy self-sufficient and switched its production to the environmentally friendly chlorine-free bleaching process. The fifth production line at the Indonesian subsidiary SPV went into operation in 2012 and made SPV one of the largest viscose fiber plants in the world.
In 2015, Lenzing presented the corporate strategy sCore TEN, which, among other things, provides for the expansion of capacities for the production of specialty fibers and an increase in self-sufficiency with pulp. In accordance with this new strategic orientation, fundamental investment decisions were made in 2019 after several years of planning and preparation: the decision to build the first lyocell fiber plant in Asia, specifically in Thailand, and the decision to build a pulp mill in Brazil.
In these years Lenzing caused a sensation with far-sighted innovations and a series of collaborations with partners in the value chain: In 2012, LENZING ™ Modal Color was presented, a new type of modal fiber that does not lose any of its color even after repeated washing and because it no longer needs to be colored in production has considerable ecological advantages. In the hygiene area, Lenzing developed a special variant of the lyocell fiber. It enables the safe disposal of wet wipes via the toilet, as the fibers, despite their strength, dissolve again by themselves when used in sewage treatment plants.
The commercial launch of REFIBRA ™ technology in 2017 marked unprecedented progress for the circular economy in the textile industry. Lyocell fibers from the TENCEL ™ x REFIBRA ™ brand are the first cellulose fibers to be manufactured using not only wood but also cutting residues from the production of cotton clothing. In 2019, Lenzing achieved another important milestone with the use of worn clothing as a raw material for the production of TENCEL ™ x REFIBRA ™ fibers.
In 2017, after many years of development work, Lenzing launched its first continuous yarn (filament) with TENCEL ™ Luxe. It is used in the field of sustainable textiles made from cellulose fibers in the luxury segment of the fashion industry. The new filament is made with the environmentally friendly Lyocell technology.
