Rhodia Targets Suede Upholstery Products for Growth
July 5, 2001
Valence, France — Rhodia Performance Fibers is investing a reported 55 million Euros in a new flock manufacturing facility here in order to further upgrade the tow it produces for flock fiber, on-line by the end of 2001 according to Regis Marceron, textile fiber director.
Rhodia sees that standard upholstery products will be limited to two to three percent growth a year and that growth of velvet surfaces are uncertain.
"Only through innovation of world-class products will the flock category continue to grow," said Marceron.
With this expansion, Rhodia will double its capacity for flock from polymer, to yarn extrusion to finished tow. Rhodia will also exhibit at Decosit 2001 for the first time.
The company expects to grow the business through innovation and by working with its nine important partners in North America.
Overall, Rhodia produces 245 million Euros in business in four business units. These units include Kermel® aramid Fibers for protective clothing and industrial applications; bulk continuous filament and staple nylon for carpet, nonwovens and nylon tow for flock.
Rhodia produces brands of Sylkharesse and Novaltech. Marceron said that Rhodia's market share for flock worldwide is pegged at 40 percent, with a total annual capacity of 20,000 tons now and 40,000 tons after the expansion is completed. The production is split evenly between clothing, upholstery and other uses.
Most of the sales (55 percent) are in Europe with 33 percent in North America. Nylon flock is estimated to be 90 million square meters in North America and 45 million square meters in Western Europe, with 10 million square meters in Asia, Rhodia said. Rhodia said it has 30 percent of this market.
Within two years, Rhodia hopes to unveil a breakthrough product in a sub-0.8 denier that will emulate real suede but will offers the benefits of nylon. "There are different flock suedes on the market, but they are still flock. What we're after is a suede product to the touch with the visual aspect of real suede. The product we wish to make will look as if it came from another planet. Alcantara® is based on other fibers. You can't clean it with alcohol. Our product will be cleanable and offer easy care.
"Real suede is 20 percent of the upholstery market in Europe or 90 million square meters," Marceron said.
Rhodia doesn't make finished flock or the greige goods used in upholstery. It sells tow that is transformed into the flock sold to various mills, which make flock fabrics.
"We feel it is our job to innovate the flock product," said Regis. "We will make the future for flock. It depends on us," he added.
Marceron said that flock is a seasonal business. "The season is August through December for upholstery. April through June is weak for everything in this business."
A large part of what it produces is exported to North America. The company produces 0.8 denier to 3.3denier in different lusters, including bright, semi-dull and dull as well as cross sections round, trilobal — all in nylon.
Rhodia has a small flock line where it produces trial runs of new flock products in the greige state for its customers.
"Flock is a magic product which produces fine things for toys, fashion and upholstery. We feel that every segment will move if you produce new items."
Rhodia produces more specialized products than Dupont even though it is the smaller company. "We must do or die in this business as a result," Regis said.
While Rhodia produces some carpet fiber, its principal business is the production of nylon tow for the flock home and apparel market. By 2003, Rhodia is planning to build a flock line in China to service the domestic Chinese market. The facility will produce genuine Rhodia Frenchtow either in one of the 12 plants it owns in China or in the facility of a joint-venture partner. "The Chinese are selling commodity versions of our product, but we'll be able to offer the market the genuine article," said Lazo. "China is not a structured market. Asia is the wild East."
Lazo expects to upgrade the Chinese market for flock once its production is underway. Rhodia has a continuous filament nylon plant in northern China close to the border of North Korea.
Rhodia Performance Fibers has three offices in France; one in Colmar, and another in Arras and Valence. Rhodia has other plants in Germany, Italy and Brazil.
SIDEBAR
Ruben Lazo
His family is from La Coruna, Spain. He was originally born in South America in Montevideo, Argentina. He lived in Sao Paulo, Brazil for 10 years and has lived in France, Germany and Russia.
Lazo has spent his entire 17-year career with Rhodia including in posts in all levels of production, engineering and then strategy and marketing of chemicals and fibers. He took over his current position as president last January. He currently manages eight plants.
Rhodia sees that standard upholstery products will be limited to two to three percent growth a year and that growth of velvet surfaces are uncertain.
"Only through innovation of world-class products will the flock category continue to grow," said Marceron.
With this expansion, Rhodia will double its capacity for flock from polymer, to yarn extrusion to finished tow. Rhodia will also exhibit at Decosit 2001 for the first time.
The company expects to grow the business through innovation and by working with its nine important partners in North America.
Overall, Rhodia produces 245 million Euros in business in four business units. These units include Kermel® aramid Fibers for protective clothing and industrial applications; bulk continuous filament and staple nylon for carpet, nonwovens and nylon tow for flock.
Rhodia produces brands of Sylkharesse and Novaltech. Marceron said that Rhodia's market share for flock worldwide is pegged at 40 percent, with a total annual capacity of 20,000 tons now and 40,000 tons after the expansion is completed. The production is split evenly between clothing, upholstery and other uses.
Most of the sales (55 percent) are in Europe with 33 percent in North America. Nylon flock is estimated to be 90 million square meters in North America and 45 million square meters in Western Europe, with 10 million square meters in Asia, Rhodia said. Rhodia said it has 30 percent of this market.
Within two years, Rhodia hopes to unveil a breakthrough product in a sub-0.8 denier that will emulate real suede but will offers the benefits of nylon. "There are different flock suedes on the market, but they are still flock. What we're after is a suede product to the touch with the visual aspect of real suede. The product we wish to make will look as if it came from another planet. Alcantara® is based on other fibers. You can't clean it with alcohol. Our product will be cleanable and offer easy care.
"Real suede is 20 percent of the upholstery market in Europe or 90 million square meters," Marceron said.
Rhodia doesn't make finished flock or the greige goods used in upholstery. It sells tow that is transformed into the flock sold to various mills, which make flock fabrics.
"We feel it is our job to innovate the flock product," said Regis. "We will make the future for flock. It depends on us," he added.
Marceron said that flock is a seasonal business. "The season is August through December for upholstery. April through June is weak for everything in this business."
A large part of what it produces is exported to North America. The company produces 0.8 denier to 3.3denier in different lusters, including bright, semi-dull and dull as well as cross sections round, trilobal — all in nylon.
Rhodia has a small flock line where it produces trial runs of new flock products in the greige state for its customers.
"Flock is a magic product which produces fine things for toys, fashion and upholstery. We feel that every segment will move if you produce new items."
Rhodia produces more specialized products than Dupont even though it is the smaller company. "We must do or die in this business as a result," Regis said.
While Rhodia produces some carpet fiber, its principal business is the production of nylon tow for the flock home and apparel market. By 2003, Rhodia is planning to build a flock line in China to service the domestic Chinese market. The facility will produce genuine Rhodia Frenchtow either in one of the 12 plants it owns in China or in the facility of a joint-venture partner. "The Chinese are selling commodity versions of our product, but we'll be able to offer the market the genuine article," said Lazo. "China is not a structured market. Asia is the wild East."
Lazo expects to upgrade the Chinese market for flock once its production is underway. Rhodia has a continuous filament nylon plant in northern China close to the border of North Korea.
Rhodia Performance Fibers has three offices in France; one in Colmar, and another in Arras and Valence. Rhodia has other plants in Germany, Italy and Brazil.
SIDEBAR
Ruben Lazo
His family is from La Coruna, Spain. He was originally born in South America in Montevideo, Argentina. He lived in Sao Paulo, Brazil for 10 years and has lived in France, Germany and Russia.
Lazo has spent his entire 17-year career with Rhodia including in posts in all levels of production, engineering and then strategy and marketing of chemicals and fibers. He took over his current position as president last January. He currently manages eight plants.