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| Hyosung T&C's plant in Turkey / Courtesy of Hyosung T&C |
By Nam Hyun-woo
Hyosung T&C said Monday it will invest 60 billion won ($5.2 million) to expand its spandex plant in Turkey, as part of the company's strategy to capitalize on the recovery of the global apparel market.
According to the company, it decided to invest in the spandex plant in the Cerkezkoy area near Istanbul to add additional production capacity of 15,000 tons per year. When the expansion is completed next July, the plant's total output will reach 40,000 tons per year.
The company said Hyosung Group Chairman Cho Hyun-joon decided so as the European and other global apparel markets show signs of recovery and the demand for spandex will rise. In the wake of the COVID-19 pandemic, the European apparel market cut production and postponed new product releases, resulting in a shortage in apparel inventory, the company said.
"From Turkey, where the manufacturing bases for European clients are located, we will enhance our market control and widen the gap between ourselves and our rivals," Cho said.
Hyosung T&C built its production base in Turkey in 2008, and has already made two expansions, as part of its bid to consolidate its position as the world's No. 1 spandex maker.
According to the company, global spandex demand is showing an average 6 percent to 7 percent growth annually, which is more than twice as fast as the 2 percent to 3 percent growth rate for general apparel fibers.
Hyosung T&C said it expects the demand for spandex will continue to grow as easy wear clothes and sporting apparel are winning choices for customers as people spend more time at home.
Hyosung T&C has been expanding its manufacturing network to cover clients on each continent. Starting from its plant in China in 1999, the company now has bases in Turkey for Europe, Brazil for the Americas, India for emerging Asian markets and Vietnam for the rest of Asia.
