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Tencel Resumes Production At Mobile Plant

Acordis Cellulosic Fibers Inc., New York, recently announed that production at its Mobile, Ala., plant will resume. The decision to resume production was based on the high demand of Tencel® fiber globally. At this point, the company says that only one of four production lines will be reopened at the Mobile facility. The possibility of reopening further lines is being kept under review.Production of Tencel at the Mobile plant was suspended in January after the Asian economic crisis had resulted in sharply reduced demand for the fiber. Production had continued at a newer Tencel plant in Grimsby, England.The Grimsby plant will continue to provide all of the A100 fiber, a newer variant of Tencel. Conventional Tencel will be produced at the Mobile facility.Tencel is now very well placed to ride the recovery and resume its long-term growth path, said David Wilkinson, executive director, Acodis Group. The Asian economic crisis had presented Tencel with a significant short-term problem, as Asia is one of Tencel's major markets.""Our strategy of reducing capacity in such a way that we could rapidly increase it again as demand recovered and of pressing ahead with the development of Tencel for a wider range of end-uses has been vindicated."

November 1999