Top 10 Companies in the Lyocell Rayon Industry (2025): Sustainable Fiber Leaders Reshaping Textiles

In Business Insights
June 07, 2025

The Global Lyocell Rayon Market was valued at USD 1.26 Billion in 2023 and is projected to reach USD 2.38 Billion by 2032, growing at a Compound Annual Growth Rate (CAGR) of 7.3% during the forecast period (2023-2032). This expansion stems from the textile industry’s pivot toward eco-friendly materials, with lyocell’s closed-loop production process and biodegradability making it the sustainable fiber of choice for fashion brands worldwide.

As fast fashion confronts environmental scrutiny, lyocell rayon has emerged as a technological and ecological breakthrough in cellulose fibers. We profile the Top 10 Companies in the Lyocell Rayon Industry—innovators who are transforming textile supply chains through cutting-edge production methods and circular solutions.


🔟 1. Lenzing AG

Headquarters: Lenzing, Austria
Key Offering: TENCEL™ branded lyocell and modal fibers

The undisputed market leader controls 50%+ global lyocell capacity through its patented REFIBRA™ technology, which integrates recycled cotton waste into lyocell production. Lenzing’s vertical integration spans from wood pulp processing to finished textile solutions.

Sustainability Leadership:

  • First carbon-neutral lyocell producer achieving Scope 1-3 emissions neutrality
  • 99.8% solvent recovery rate in closed-loop production
  • Global Renewable Energy Index score: 91/100

Download FREE Sample Report: Lyocell Rayon Market – View in Detailed Research Report


9️⃣ 2. Aditya Birla Group (Grasim Industries)

Headquarters: Mumbai, India
Key Offering: Livaeco lyocell for mass-market apparel

This industrial powerhouse operates the world’s largest viscose production capacity and has committed $200 million to lyocell expansion. Their Birla Cellulose division supplies 15% of global lyocell demand across 50 countries.

Operational Advantages:

  • 40% lower water consumption than conventional viscose production
  • New 100,000 ton/year lyocell plant commissioning in Thailand (2025)

8️⃣ 3. Eastman Chemical Company

Headquarters: Kingsport, Tennessee, USA
Key Offering: Naia™ cellulosic fibers for premium textiles

Leveraging 50+ years of cellulose ester expertise, Eastman’s molecular recycling technology produces lyocell with enhanced softness and durability. Their Naia™ fiber dominates the North American sustainable fashion market.

Technical Breakthroughs:

  • Patented low-energy dissolution process
  • Fiber traceability through blockchain integration

7️⃣ 4. Sateri

Headquarters: Shanghai, China
Key Offering: Ecovero™ lyocell for Asian fast-fashion markets

As China’s largest viscose producer, Sateri is converting 30% of capacity to lyocell production. Their recent acquisition of Finland’s Infinna technology enables textile-to-textile recycling at scale.

Sustainability Benchmarks:

  • FSC™ and PEFC™ certified wood sourcing
  • Water recycling rate: 85% (industry average: 65%)

Download FREE Sample Report: Lyocell Rayon Market – View in Detailed Research Report


6️⃣ 5. Baoding Swan Fiber Co., Ltd.

Headquarters: Baoding, China
Key Offering: Industrial-grade lyocell for technical applications

Specializing in performance textiles, Baoding produces lyocell variants with enhanced tensile strength (up to 45 cN/tex) for medical, filtration, and composite materials.

R&D Focus Areas:

  • Flame-retardant lyocell for protective gear
  • Antimicrobial fiber treatments for healthcare textiles

5️⃣ 6. Qingdao Textiles Group Fiber Technology

Headquarters: Qingdao, China
Key Offering: Cost-competitive lyocell for apparel blends

The company’s optimized production processes enable price points 15-20% below Western producers, making sustainable textiles accessible to emerging markets.

Geographic Reach:

  • Supplies 300+ Chinese garment manufacturers
  • 25% annual export growth to ASEAN countries

4️⃣ 7. Acelon Chemicals & Fiber Corporation

Headquarters: Taipei, Taiwan
Key Offering: Performance-enhanced Acelon-LY™ fibers

Taiwan’s specialty fiber leader produces lyocell with built-in moisture-wicking, UV protection, and thermal regulation properties for activewear brands.

Technical Capabilities:

  • Nanofiber surface treatments
  • Cross-linking technology for durability

3️⃣ 8. Chonbang Co., Ltd.

Headquarters: Seoul, South Korea
Key Offering: High-tenacity lyocell for denim applications

Chonbang’s proprietary wet-strength technology makes its lyocell ideal for durable denim, reducing cotton dependency in the jeans industry by up to 50%.

Product Innovation:

  • Patented indigo affinity technology
  • Stretch lyocell blends for comfort denim

2️⃣ 9. Smartfiber AG

Headquarters: Rudolstadt, Germany
Key Offering: SeaCell™ with seaweed additives

This specialty producer creates lyocell infused with organic seaweed extracts, delivering natural antioxidants and minerals to skincare textiles.

Wellness Applications:

  • Medical textiles with anti-inflammatory properties
  • Luxury sleepwear with skincare benefits

1️⃣ 10. China Populus Textile Ltd.

Headquarters: Shanghai, China
Key Offering: Budget lyocell for mass production

With capacity exceeding 150,000 tons annually, China Populus supplies cost-effective lyocell to domestic fast-fashion retailers and textile exporters.

Market Strategy:

  • Economies of scale in production
  • Just-in-time delivery for garment manufacturers

Get Full Report Here: Lyocell Rayon Market – View in Detailed Research Report


🌱 Outlook: The Sustainable Fiber Revolution Accelerates

The lyocell market is undergoing a fundamental transformation as brands replace conventional fibers with closed-loop alternatives. With environmental regulations tightening globally, manufacturers are racing to expand capacity through 2030.

📈 Critical Market Dynamics:

  • European brands committing to 50% lyocell blends by 2028
  • North American CAGR of 8.2% through 2032 (highest regional growth)
  • Technical textiles sector adopting high-performance lyocell variants
  • Circular production models reducing reliance on virgin wood pulp

Get Full Report Here: Lyocell Rayon Market – View in Detailed Research Report

These industry leaders aren’t just producing fibers—they’re redefining sustainable textiles for the 21st century.