INVESTING IN THE TEXTILE AND CLOTHING FACTORIES OF THE FUTURE IN EUROPE

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1 INVESTING IN THE TEXTILE AND CLOTHING FACTORIES OF THE FUTURE IN EUROPE

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3 Klaus Huneke President of EURATEX The EU textile and clothing industry has reinvented itself through innovation, creativity, adoption of advanced manufacturing technologies, market diversification and internationalisation. Since 2013 the industry s turnover has grown by 14% to 181 billion and extra-eu exports by 15% to 48 billion while employment and company numbers have been maintained. This impressive industrial renaissance would not have been possible without bold investments into modern manufacturing and service facilities and technologies creating safer and higher added value European jobs. Over the last 10 years, the industry has invested almost 50 billion in the EU and is expected to maintain a strong investment rhythm in the near future. The present brochure presents just 10 out of numerous examples, but nicely illustrates the spread of these investments across Europe, all company sizes and all sub-sectors of the industry. EU Policies fostering Growth and Jobs are pointing in the right direction, but more must be done to: improve access to finance especially for smaller companies and more riskier investments into innovation; better reward companies that invest in resource-efficiency, circularity or workplace safety; ensure that innovative, sustainable and safe products from European factories meet level playing field when competing in the EU internal market. EURATEX, the voice of the European apparel and textile industry, calls on EU Policy Makers to pursue a more ambitious Industrial Policy to make Europe the destination of choice for manufacturing investments.

4 Inmaculada Rodríguez-Piñero Member of European Parliament, S&D (Socialists & Democrats) The European Textile and Clothing sector, mostly composed by SMEs, plays a fundamental role in our manufacturing industry. Thanks to the profound transformations accomplished over last decades, the industry has improved its competitiveness by shifting towards products with high added value. Our textile sector is a dynamic high-tech industry that produces not only highquality garments with a high design content, but also makes considerable contribution to other sectors such as, automotive, healthcare, construction and aviation. It is especially noteworthy that textiles and clothing produced in the EU are a guarantee of products that respect labour standards, respect our environment, and are safe for consumers. Nowadays, European producers play a leading role in world markets. Our exports to the rest of the world represent more than 30% of the world market but competition from third countries is increasing. To support our industries efforts to cope with competition from third countries and maintain its leading position, the sector needs further investments to improve machinery, finance research, establish training programmes and develop green technologies. The EU should definitely support one of our most innovative sectors.

5 10 INVESTMENT CASES FROM ACROSS EUROPE AMANN & SÖHNE GMBH & CO. KG Germany COTOBLAU S.A. Spain FRATELLI PIACENZA S.P.A. Italy GALEB D.D. OMIŠ Croatia LENZING AG Austria NORAFIN INDUSTRIES GMBH Germany OOSTRO CARPETS NV Belgium PROVERBIO SAS France ROVITEX HUNGÁRIA KFT Hungary VALÉRIUS S.A. Portugal

6 AMANN & SÖHNE GMBH & CO. KG INVESTMENTS Chemical analysis laboratory - part of the global R&D pilot plan R&D equipment for smart textile developments Increase of manufacturing capacity in Czech Republic & Romania The boundaries between traditional fashion textiles, technical textiles and smart yarns are dwindling. Everybody is looking for smart ideas or smart solutions across all industries from automotive to IT, from fashion to sports. New skills are required. Young experts must be attracted to our industry. In Europe we have a strong network for cooperation between industries, universities and institutes. This must be further supported. More investment must flow into education to make us more competitive. Bodo Th. Bölzle Amann CEO GERMANY PRODUCTION PROCESS Spinning COMPANY PRODUCT Sewing and embroidery threads EMPLOYEES: M EXPORT MARKETS Europe, Asia, North America JOBS CREATED:

7 COTOBLAU S.A. INVESTMENTS 0.5 M Industrial building of sqm Automatic production line Several investments in machinery EU Industrial policy should consider cluster advantages, like the one textile cluster we have in the South of Valencian Region, helping industrial investments in the area, and promoting knowledge and talent in our area. Càndid Penalba Cotoblau CEO SPAIN PRODUCTION PROCESS Making up COMPANY PRODUCT Mattress protectors Main costumer - Ikea worldwide EMPLOYEES: M EXPORT MARKETS Worldwide and recently to China and Russia JOBS CREATED: +50

8 FRATELLI PIACENZA S.P.A. INVESTMENTS OVER 4 M Weaving and finishing machineries IT tools for support of design and production management Production facility in Biella (Italy) of more than sqm I believe that we have to join forces to meet the challenges of globalization and competition. This is the path that EU (and Italian) entrepreneurs should follow. By realizing that we have to promote the well-made, beautiful and sustainable, to maintain our preminent position in international markets. It is also important to intensify the collaboration between schools and business, by matching the businesses needs with training programs. Carlo Piacenza Piacenza CEO ITALY PRODUCTION PROCESS Weaving, Finishing COMPANY PRODUCT Fine woolen fabrics & noble fibre fabrics for fashion and luxury markets EMPLOYEES: M EXPORT MARKETS France, Korea, UK, China, USA JOBS CREATED: +15%

9 GALEB D.D. OMIŠ INVESTMENTS OVER 2 M 100 circular knitting machines tons annual capacity Modern dye and color jets Full line for fabric drying and compacting 200 sewing machines Flat yarn technology production line The efforts of the European Union shall focus on more sustainable textile and clothing value chains in the areas of financial support, promotion of best responsible business practices and corporate social responsibility. It is also important to raise awareness among the consumers for better valorization of European designs and products. Stjepan Pezo Galeb CEO CROATIA PRODUCTION PROCESS Knitting, Dyeing COMPANY PRODUCT New innovative performance fabrics for underwear EMPLOYEES: M EXPORT MARKETS Germany, Austria, Slovenia and Balkans countries JOBS CREATED: +50

10 LENZING AG INVESTMENTS Lyocell production facility with tons capacity - investment of 150 M Expansion of capacities for specialty fibers - plus tons of lyocell capacity and investment of 100 M Expansion and modernization of the dissolving wood pulp production in Austria & Czech Republic sites Biobased and biodegradable materials support the EU policy to avoid and reduce wide spread usage of plastic materials. In the age of soil and marine littering problems caused by micro plastic, sustainable and resource conscious solutions offer viable alternatives. Development of such products for apparel, nonwovens, packaging and agriculture should be supported by the EU policy makers and stakeholders in the fiber industries. Robert van de Krerkhof Lenzing Group CCO AUSTRIA PRODUCTION PROCESS Dissolving wood pulp and fiber production COMPANY PRODUCT High-quality botanic fibers from the renewable raw material wood EMPLOYEES: M EXPORT MARKETS Asia, Europe & Americas JOBS CREATED:

11 NORAFIN INDUSTRIES GMBH INVESTMENTS 13.5 M Buildings and production line (modern laboratories & equipments) for new technical products Europe needs to get closer together in order to get stronger worldwide. We have to invest more in people. China and India have more than 1.3 billion people each and Europe has about 510 million all together. André Lang Norafin CEO GERMANY PRODUCTION PROCESS Nonwoven COMPANY PRODUCT Nonwoven products for several applications - filtration, performance apparel, industrial, medical & automotive EMPLOYEES: M EXPORT MARKETS The Netherlands, Poland, Belgium, Austria, Finland, UK and USA JOBS CREATED: +70

12 OOSTRO CARPETS NV INVESTMENTS OVER 3 M Weaving machines Finishing line automatization - full automatic cutting machine and sort center Furniture line for woven fabrics & customer base We need to put more efforts in the Skills topic. Today, we are encountering a great need of qualified people. Due to automatization and optimalization, we need more qualified people that can work with different IT tools and machines. Christophe Harinck Oostro Carpets CEO BELGIUM PRODUCTION PROCESS Weaving COMPANY PRODUCT Flatweave rugs for niche markets such as outdoor, non-skid & wool qualities EMPLOYEES: M EXPORT MARKETS USA, Germany and Skandinavian countries

13 PROVERBIO SAS INVESTMENTS Facilities enlargement up to 8000 sqm Mechanical finishing & dyeing machines R&D laboratories Training programmes ISO certifications It is important to strengthen customs controls on substances contained in imported yarns that are then found in the fishing effluents. It is also essential to support the European textile industry, creating jobs and growth in the regions against its competitors outside Europe. Bruno Proverbio Proverbio President FRANCE PRODUCTION PROCESS Finishing COMPANY PRODUCT Specialized in textile finishing operations for luxury markets (i.e. clothing, accessories & lingerie) EMPLOYEES: M EXPORT MARKETS French brands selling worldwide

14 ROVITEX HUNGÁRIA KFT INVESTMENTS Extension of the logistic and production building - new production hall of 750 sqm: investment of 0.4 M Textile machines The EU decision-makers should adopt and implement clear and simple regulations that support the textile production in Europe. Norbert Romeisz Rovitex CEO HUNGARY PRODUCTION PROCESS Printing, Finishing COMPANY PRODUCT Home Textiles EMPLOYEES: 64 7 M EXPORT MARKETS Germany, Austria, Croatia, Slovakia and Romania JOBS CREATED: +8

15 VALÉRIUS S.A. INVESTMENTS 12 M Expansion of facilities up to sqm Equipment to reduce waste Equipment to recycle fibers and fabrics More support and benefits are needed from local and European governments in order to achieve a better and more sustainable future. We have made environmental protection a huge focus at Valérius and we believe that this topic is of great importance and should be at the top of the agenda when it comes to the textile industry and the EU decision makers. José Vilas Boas Ferreira Valérius CEO PORTUGAL PRODUCTION PROCESS Making up COMPANY PRODUCT Textile & apparel products from seamless to sport clothing EMPLOYEES: M EXPORT MARKETS Germany, Italy, UK, USA, Spain, China and Korea JOBS CREATED: +50

16 INVESTMENTS AND JOB CREATION IN THE TEXTILE AND CLOTHING INDUSTRY INVESTMENTS IN MILLION - TOP 5 COUNTRIES ITALY GERMANY PORTUGAL FRANCE SPAIN TOTAL IN EUROPE 4.9 billion 0 Clothing Textile Source: Euratex By 2025, nearly job openings are expected in the EU textile and fashion sector.

17 INDUSTRY AT A GLANCE THE EU T/C SECTOR IN ,3% + 1,1% + 3,9% - 0,7% - 0,5% + 7,1% 100% 80% 60% 40% 20% 0% 181 BILLION VALUE ADDED 44 BILLION INVESTMENT 4.9 BILLION COMPANIES EMPLOYMENT EXPORTS 48 BILLION Clothing Textile Source: Euratex based on Eurostat BREAKDOWN OF EU PRODUCTION BY SUB-SECTORS Source: Euratex based on Eurostat 4% Underwear 2% Workwear 6% Yarns 17% Fabrics 33% Clothes & accessories T/C Turnover 181 billion in % Home textiles 6% Knitwear 17% Industrial & technical textiles

18 T/C STRENGTHS IN EUROPE Belgium More than 28% of European carpets are produced in Belgium Germany 25% of all technical textiles made in Europe are produced in Germany United Kingdom Value of UK textiles is worth almost 9bn to the economy and is growing Poland Home textiles make more than 22% of textiles and clothing goods produced in Poland France France ranks 3rd in the EU total textile & clothing turnover UK Germany Poland Austria Austria is among leaders in the production of cellulosic fibers in Europe France Italy Romania Spain Spain Spain is the 2nd largest extra-eu exporter of clothes Portugal Portuguese region Norte is the top employer in textiles and fashion among all EU regions Romania Romania is the 2nd largest employer in textile and fashion sector in the EU Italy Italy produces 42% of all clothes made in the EU and is the biggest textile and clothing employer in Europe. Source: Euratex and Eurostat

19 EURATEX is the European Apparel and Textile Confederation representing the interests of the European textile and clothing industry at the level of the EU institutions. As the voice of the European industry, EURATEX aims to create favorable environment within the European Union for manufacturing of textile and clothing products. EURATEX provides the EU institutions with accurate data and useful tools for making the policies that enhance Europe s economic growth and facilitates jobs creation. We are committed to facilitate access of our companies which are predominantly SMEs, to the European actions. EURATEX is focused on a few clear priorities: genuine industrial policy, research and innovation support, free and fair trade and sustainable production.

20 euratex euratex_eu

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