Austrian fibre manufacturer Lenzing Group has invested in Swedish company TreeToTextile, joining an initiative aimed at revolutionising the textile industry by producing a renewable, resource-efficient cellulose fibre. The fibre aims to replace cotton and help significantly reduce the industry’s environmental footprint.
The partnership comes as TreeToTextile accelerates the next phase of its growth, supported by founding partners H&M Group, Inter IKEA Group, Stora Enso, and LSCS Invest. Established in 2014 by Swedish entrepreneur Lars Stigsson, TreeToTextile’s mission has been to develop an environmentally friendly fibre that requires fewer chemicals, water, and energy while remaining cost-effective and offering enhanced fibre properties.
The addition of Lenzing, a leading global cellulose fibre producer, is seen as a pivotal moment for TreeToTextile’s future growth. Commenting on the development, TreeToTextile CEO Dr Roxana Barbieru said, “We are both proud and excited to have the leading global cellulose fibre producer join us on our journey. With Lenzing’s additional expertise and sustainability leadership, our speed to market will increase significantly, allowing us to reach our ambitious goals and become an important player in the textile industry.”
Lenzing brings with it over 85 years of experience in fibre technology and innovation. The company, known for producing TENCEL™, LENZING™ ECOVERO™, VEOCEL™, and REFIBRA™ fibres, operates across more than ten countries with a production capacity of over 1.1 million tonnes annually. Lenzing’s CEO, Rohit Aggarwal, expressed enthusiasm about the partnership, describing it as a “significant investment” and a perfect fit for Lenzing’s ongoing sustainability goals.
“We are excited about TreeToTextile’s award-winning technology and its production process, which reduces environmental impact and promotes the transition to a more sustainable future,” said Aggarwal. “This partnership aligns perfectly with our corporate strategy, and we are eager to contribute our expertise to support TreeToTextile’s mission.”
The collaboration is expected to accelerate the commercialisation of the new fibre, which offers an alternative to cotton in both textile and nonwoven applications. Lenzing’s investment will provide additional resources to bring the product to market faster, supporting TreeToTextile’s efforts to scale up production.
Since its founding, TreeToTextile has made significant strides in fibre innovation. In 2016, the first volumes of the fibre were produced, with an initial proof of concept following in 2017. Stora Enso, a major global player in renewable solutions, joined the venture in 2019, adding its expertise to the project. By 2021, plans were announced to build a demonstration plant on Stora Enso’s former premises in Nymölla, Sweden. The plant was inaugurated in 2023, and by June 2024, TreeToTextile successfully produced its first bale of fibre.
The new investment from Lenzing will enhance TreeToTextile’s ability to meet its long-term goals, which include making the textile industry more sustainable by reducing its reliance on cotton and introducing renewable, resource-efficient materials.
The deal is currently awaiting regulatory approval from relevant authorities, but both companies have expressed optimism about the potential of their partnership to drive innovation and sustainability in the global textile sector.
This strategic collaboration marks a significant step towards the goal of creating better, more sustainable fibres for a growing industry and an environmentally conscious world.
