Lyocell Fiber Market

Lyocell Fiber Market Growth Outlook (2023 to 2033)

Based on the analysis by Fact.MR, the global lyocell fiber market is estimated to be valued at US$ 1.6 billion in 2023 and it is expected to grow at a CAGR of 11.1% to reach US$ 4.6 billion by the end of 2033.

Lyocell fibers exhibit high strength, making them durable and resistant to wear and tear. They have a tensile strength comparable to that of polyester fibers, allowing them to withstand repeated use and washing without losing their integrity.

Lyocell fibers are biodegradable and can be broken down naturally in the environment without causing harm. This makes them a more sustainable alternative to synthetic fibers that often contribute to microplastic pollution. This, in turn, drives the lyocell fiber market.

Report Attributes	Details
Lyocell Fiber Market Size (2022A)	US$ 1.4 Billion
Estimated Market Value (2023E)	US$ 1.6 Billion
Forecasted Market Value (2033F)	US$ 4.6 Billion
Global Market Growth Rate (2023–2033)	11.1% CAGR
East Asia Market Share (2023)	26.7%
China Market Growth Rate (2023–2033)	11.5% CAGR
Key Companies Profiled	Acegreen Eco-Material Co LTD Acelon Chemicals & Fiber Corp. Baoding Swan Chemical Fiber Groups Co. LTD China Populus Textile LTD Chonbang Co. LTD Grasim Industrial LTD

Historic and Future Pathway Analysis for the Lyocell Fiber Market

Lyocell fiber is a type of cellulose fiber made from wood pulp. It is known for its high strength, durability, and versatility. Lyocell is produced using a solvent-spinning process, typically involving a non-toxic organic solvent called N-methyl morpholine N-oxide (NMMO). This process is considered more environmentally friendly compared to other fiber production methods.

Lyocell fibers have a smooth surface and a soft, luxurious feel against the skin. The fibers are known for their excellent moisture absorption and release properties, which contribute to enhanced comfort and breathability.

• Short Term (2023–2026): Consumers are becoming more conscious of the environmental and social impacts of their purchasing decisions. They are actively seeking products made from sustainable materials, including textiles and apparel. Lyocell fibers, with their eco-friendly production process, biodegradability, and softness, are aligning with consumer preferences and driving the demand for sustainable textiles.
• Medium Term (2026–2029): Lyocell fibers are gaining popularity in the fashion and apparel industry due to their desirable properties. They offer excellent breathability, moisture management, and comfort, making them suitable for a wide range of clothing items. The trend toward athleisure and activewear, where moisture-wicking and performance properties are crucial, is further driving the demand for lyocell fibers.
• Long Term (2029–2033): Continuous advancements in manufacturing technologies and innovations in lyocell fiber production have contributed to market growth. Manufacturers are investing in research and development to improve the performance and properties of lyocell fibers, including strength, dyeability, and colorfastness. These advancements are expanding the range of applications for lyocell fibers and driving their market growth.

According to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 11.1% CAGR between 2023 and 2033.

Market Dynamics Outlook

“Lyocell Fibers: Paving the Way for Sustainable Fashion”

The fashion industry is experiencing a shift towards eco-conscious fashion, with a growing emphasis on sustainability and ethical practices. Designers, fashion brands, and retailers are incorporating sustainable materials and production processes into their collections to meet consumer preferences. Lyocell fibers, being derived from renewable wood pulp and produced using a closed-loop solvent spinning process, align well with the sustainability goals of the fashion industry.

Lyocell fibers offer desirable performance properties that make them attractive for various apparel applications. They provide excellent moisture management, breathability, and softness, offering comfort to the wearer. These properties are particularly valuable in activewear, athleisure, and other performance-driven apparel segments, where consumers seek textiles that offer functionality along with sustainability.

The textile industry continually seeks to diversify its product offerings to meet the evolving demands of consumers. Lyocell fibers, with their versatility, are often blended with other fibers to enhance performance or aesthetics. This allows textile manufacturers to create a wide range of fabrics, including blends of lyocell with cotton, wool, polyester, or other fibers, offering unique combinations of properties and catering to diverse market segments.

“Factors Restraining Lyocell Fiber Market Growth”

Compared to other fibers, the production costs of lyocell fibers are relatively higher. The manufacturing process involves specialized equipment and requires the use of specific solvents. These factors contribute to the overall production costs, which make lyocell fibers more expensive compared to alternative fibers. Higher costs limit the adoption of lyocell fibers, particularly in price-sensitive markets.

Lyocell fiber alternatives such as cotton, polyester, and viscose are available which hamper the overall growth of the market. These fibers are well-established in the market and have existing supply chains and infrastructure. Manufacturers and brands that are already accustomed to working with traditional fibers may be hesitant to switch to lyocell fibers, especially if it requires modifications to their production processes or supply chains.

Country-wise Insights

Why France Has a Significant Market Share in the Global Lyocell Fiber Market?

France has a renowned fashion and textile industry with a rich heritage and global influence. The country is known for its fashion houses, luxury brands, and high-quality textiles. The demand for innovative and sustainable fibers in the French fashion industry drives the adoption of lyocell fibers. The preference for high-end, eco-friendly textiles in France leads to a significant market share for lyocell fibers.

In addition, France is home to prominent lyocell fiber manufacturers that are operating in the industry for a long time. These manufacturers have developed expertise in lyocell fiber production and have established a strong foothold in the market. Their experience, technical know-how, and high-quality production contribute to France's significant market share in the global lyocell fiber market.

Further, France has a strong emphasis on sustainable and eco-friendly textiles. The French textile industry, including fiber manufacturers, is proactive in adopting sustainable practices and materials. Lyocell fibers, known for their environmentally friendly production process and biodegradability, align well with the sustainability goals of the French market. The demand for sustainable textiles in France drives the adoption and market share of lyocell fibers.

Why is Demand for Lyocell Fiber Rising continuously in China?

China has one of the largest textile industries in the world. The country's booming textile industry, due to the domestic and international demand, creates a significant market for lyocell fiber. As a versatile and sustainable fiber, lyocell is increasingly preferred by Chinese textile manufacturers for a wide range of applications, including apparel, home textiles, and technical textiles.

The applications of lyocell fiber in China have expanded beyond traditional textile sectors. Fiber is now being utilized in nonwoven materials, personal care products, medical textiles, and other emerging sectors. The versatility of lyocell fiber and its ability to meet the diverse requirements of various industries contribute to its continuous demand growth in China.

Category-wise Insights

Why Staple Fiber Market Segment Holds the Majority of the Market Share?

Staple fibers find extensive applications across various industries, including textiles, automotive, construction, furniture, and hygiene products. They are used in the production of yarns, fabrics, nonwoven materials, and other end products. The versatility of staple fibers allows them to cater to diverse market segments, contributing to their higher market share.

Staple fibers are generally more cost-effective compared to other fiber types, such as continuous filaments. The manufacturing process for staple fibers is relatively simpler and requires less sophisticated equipment. This makes staple fibers a preferred choice, especially in price-sensitive industries where cost optimization is crucial. The cost advantage of staple fibers contributes to their larger market share.

Staple fibers are easier to handle and process compared to continuous filaments. Their shorter length allows for better blending with other fibers and facilitates spinning and yarn formation. Staple fibers are easily carded, spun, and woven into fabrics. Their ease of processing makes them suitable for various textile applications and contributes to their dominance in the market.

How Growing Medical Industry Drives Lyocell Fiber Market?

Lyocell fibers are increasingly used in the production of medical textiles and nonwoven materials. These applications include wound dressings, surgical gowns, face masks, bandages, and medical wipes. Lyocell fibers offer excellent absorbency, softness, and biocompatibility, making them suitable for medical applications that require high performance, comfort, and breathability.

In the medical industry, there is a growing demand for textiles that possess antimicrobial properties to prevent the spread of infections and promote better hygiene. Lyocell fibers are treated with antimicrobial agents, helping to inhibit the growth of bacteria and maintain a clean and hygienic environment. Additionally, the moisture-wicking properties of lyocell fibers are beneficial in medical textiles to manage moisture and improve patient comfort.

Lyocell fibers have a smooth and gentle surface, making them biocompatible and skin-friendly. This is essential in medical applications where the fabric comes into direct contact with the patient's skin. Lyocell fibers minimize the risk of irritation, allergies, and other skin reactions, making them suitable for sensitive and delicate skin, such as in wound care and dressings.

As the medical industry continues to grow and focus on advanced healthcare solutions, the demand for high-performance, sustainable, and skin-friendly materials like lyocell fibers will continue to rise.

Eminent Players Key Stratagems

Prominent lyocell fiber manufacturers are Acegreen Eco-Material Co LTD, Acelon Chemicals & Fiber Corp., Baoding Swan Chemical Fiber Groups Co. LTD, China Populus Textile LTD, Chonbang Co. LTD, and Grasim Industrial LTD

Manufacturers are often engaged in strategic partnerships and collaborations with other companies along the value chain. This includes collaborations with raw material suppliers, textile manufacturers, retailers, and brands. By collaborating, manufacturers are leveraging each other's strengths, accessing new markets, and developing innovative products that cater to specific customer needs.

Manufacturers are also investing in research and development activities to drive technological advancements and innovation in lyocell fiber production. R&D efforts focus on improving manufacturing processes, optimizing product performance, and exploring new applications. By staying at the forefront of technology and innovation, manufacturers are maintaining a competitive edge in the market.

• In October 2021, The Lenzing Group is expanding its sustainable offering for the denim industry with the introduction of matte TENCEL branded lyocell fiber. The new fiber type is specifically designed to diffuse light and permanently reduce sheen in denim applications, further increasing the versatility of indigo-dyed denim fabrics.

Fact.MR has provided detailed information about the price points of key manufacturers of lyocell fiber positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Lyocell Fiber Industry Research

• Lyocell Fiber Market by Fiber Type :

  • Staple
  • Filaments
  • Others

• Lyocell Fiber Market by Application :

  • Apparel
    • Sportswear
    • Denim
    • Others
  • Home Textiles
    • Curtains
    • Carpets & Upholstery
    • Beddings
    • Towels
    • Others
  • Medical Use
  • Footwear
  • Others

• Lyocell Fiber Market by Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa