Hyosung's Chairman Hyun-Joon Cho Unveils Bio-Based Materials Production Strategy in Vietnam

Hyosung's Strategic Move to Bio-Based Materials



Hyosung Corporation is making headlines under the leadership of Chairman Hyun-Joon Cho, who has integrated bio-based materials into the company's long-term growth strategy. The launch of commercial bio-BDO production in Vietnam marks a significant milestone in this initiative. This facility is notable for establishing an integrated production network that utilizes sugarcane as a raw material, resulting in the product's transformation into finished bio-based spandex.

The decision to focus on bio-based materials comes from an understanding of their growth potential and changing sourcing demands. Recognizing the importance of sustainability in the textile industry, Hyun-Joon Cho has directed the company's efforts towards creating innovative solutions. The Vietnam plant is designed to produce 50,000 metric tons of bio-BDO annually, which is a sustainable alternative to conventional production methods primarily reliant on fossil fuels. The ambitious vision includes an investment of approximately $1 billion, with plans to scale production to 200,000 metric tons as market demands dictate.

In the production process, sugars extracted from sugarcane are fermented to create 1,4-butanediol (bio-BDO). This bio-based product is chemically identical to conventional BDO, which means it can be used interchangeably without sacrificing the quality, stretch, or durability of the spandex produced from it. Notably, the bio-BDO produced in Vietnam feeds into the company’s operations in Dong Nai, where it is used to manufacture PTMG, a crucial component for making regen™ BIO spandex, or elastane, a favorite in various clothing lines including sportswear and denim.

This integrated production method aims not only to reduce dependence on traditional fossil-based feeds but also to enhance supply chain reliability, improve efficiency, and minimize transportation costs. The sustainability credentials linked to the sourcing of sugarcane are also bolstered through the VIVE Sustainable Program, alongside certification of bio-based content through SGS's Environmentally Evaluated Product Scheme (EEPS).

The commitment to sustainability and quality performance is increasingly valuable, particularly for premium fashion brands looking for documented assurance in their material sourcing. As such, Hyosung is positioning itself as a frontrunner in the supply of high-quality, sustainable textiles.

Looking beyond textiles, Hyosung TNC is also considering the supply of bio-based chemical intermediates for various applications such as thermoplastic polyurethane (TPU) for automotive interiors and biodegradable plastics. This represents a potential broadening of their market reach, aiming for a more environmentally conscious product line.

Hyosung is not keeping this innovative turn under wraps. The company has been active at recent industry events, sharing its insights into the adoption of bio-based spandex products. At events such as PERFORMANCE DAYS in Munich, and the Textile Exchange Conference in Vancouver, Hyosung invited brands and industry partners to engage in discussions about the applications of regen™ BIO spandex, product development, and sourcing possibilities.

A Bright Future Ahead



As Hyosung embarks on this journey to position itself within the evolving landscape of bio-based materials, Chairman Cho's vision lays the groundwork for the company's future prowess in a market that is increasingly appreciating sustainability. With the right investments and a commitment to innovation, Hyosung aims to lead a transformative movement within the textile industry and secure its status as a market leader in premium textiles on a global stage.

Topics Consumer Products & Retail)

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