Top 10 Companies in the Global Modal Yarn Industry (2025): Market Leaders Powering Textile Innovation

In Business Insights
June 18, 2025

The Global Modal Yarn Market was valued at USD 1.85 Billion in 2023 and is projected to reach USD 2.76 Billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 5.8% during the forecast period (2024-2030). This growth is driven by rising demand for sustainable textiles, expanding apparel applications, and accelerating adoption across home furnishing sectors.

As fashion brands and manufacturers pivot toward eco-friendly materials, modal yarn has become a preferred sustainable alternative due to its biodegradability, moisture-wicking properties, and luxurious softness. Below we analyze the Top 10 Companies in the Modal Yarn Industry—cellulose fiber innovators setting benchmarks for sustainable textile production.


🔟 1. Lenzing AG

Headquarters: Lenzing, Austria
Key Offering: TENCEL™ Modal, ECOVERO™

Lenzing dominates the global modal fiber market with vertically integrated wood-to-yarn production. Their patented closed-loop process recovers 99.7% of solvents while achieving industry-leading sustainability benchmarks.

Sustainability Initiatives:

  • Carbon-neutral production targeted by 2030
  • 60% CO₂ reduction since 2014 baseline
  • FSC/PEFC certified wood sourcing

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Global Modal Yarn Market – View in Detailed Research Report


9️⃣ 2. Grasim Industries Limited (Birla Cellulose)

Headquarters: Mumbai, India
Key Offering: Birla Modal, Liva Reviva

Birla Cellulose operates one of Asia’s largest modal fiber capacities through Grasim Industries. Their specialty lies in innovation blends combining modal with recycled cotton and other sustainable materials.

Sustainability Initiatives:

  • Zero liquid discharge manufacturing
  • Traceable wood pulp supply chains

8️⃣ 3. Sateri

Headquarters: Shanghai, China
Key Offering: EKO® modal yarns

Sateri has rapidly scaled成为中国领先的modal纤维生产商,supplying global fashion brands with high-quality sustainable textiles. Their vertically integrated facilities implement rigorous environmental controls.

Sustainability Initiatives:

  • CanopyStyle audits for ethical sourcing
  • Closed-loop water recycling systems

7️⃣ 4. Kelheim Fibres GmbH

Headquarters: Kelheim, Germany
Key Offering: Specialty modal fibers

This German manufacturer specializes in customized modal solutions featuring enhanced properties like flame resistance, antimicrobial treatments, and superior dyeability for technical applications.

Sustainability Initiatives:

  • EU Ecolabel certified production
  • 100% renewable energy usage

Download FREE Sample Report:
Global Modal Yarn Market – View in Detailed Research Report


6️⃣ 5. Tangshan Sanyou Group

Headquarters: Tangshan, China
Key Offering: Cost-competitive modal yarns

Among China’s leading modal producers, Tangshan Sanyou serves both domestic textile mills and international markets across Asia and Europe with competitively priced offerings.

Sustainability Initiatives:

  • Advanced wastewater treatment plants
  • Energy-efficient spinning technologies

5️⃣ 6. Indorama Ventures

Headquarters: Bangkok, Thailand
Key Offering: Modal blend yarns

Indorama Ventures combines modal fibers with innovative materials like REPREVE® recycled polyester to create performance-driven textile solutions for global sportswear brands.

Sustainability Initiatives:

  • Textile recycling programs
  • Clean energy adoption roadmap

4️⃣ 7. Formosa Taffeta

Headquarters: Taiwan
Key Offering: Modal blended fancy yarns

This Taiwanese textile leader produces premium modal yarns featuring innovative textures and dyeing techniques catering to high-end fashion applications.

Sustainability Initiatives:

  • OEKO-TEX certified production
  • Investment in renewable energy

3️⃣ 8. Nien Foun Fiber

Headquarters: Taiwan
Key Offering: High-tenacity modal yarns

Specializing in technical textiles, Nien Foun produces durable modal yarn blends specifically engineered for activewear and performance clothing applications.

Sustainability Initiatives:

  • Water recycling systems
  • Lean manufacturing processes

2️⃣ 9. Yibin Grace Group

Headquarters: Sichuan, China
Key Offering: Domestic modal yarn supply

Yibin Grace has significantly expanded modal yarn production to serve China’s booming apparel manufacturing sector while implementing modern eco-friendly production methods.

Sustainability Initiatives:

  • Next-gen spinning technologies
  • Supply chain transparency programs

1️⃣ 10. Birla Century

Headquarters: Mumbai, India
Key Offering: Century Modal yarn variants

Part of the Century Textiles group, this manufacturer provides diversified modal yarn solutions ranging from fine knits to heavyweight woven applications.

Sustainability Initiatives:

  • Digital traceability systems
  • Waste reduction initiatives

Get Full Report Here:
Global Modal Yarn Market – View in Detailed Research Report


🌍 Outlook: The Future of Modal Yarn Is Sustainable Innovation

The modal yarn sector is experiencing transformation as brands demand more sustainable, traceable textile solutions. While traditional cotton alternatives dominate current adoption, the industry is investing heavily in next-gen innovations.

📈 Key Trends Shaping the Market:

  • Accelerating adoption in fast fashion and luxury segments
  • Development of colored spun modal variants reducing dye requirements
  • Blended yarn innovations enhancing performance characteristics
  • Supply chain transparency becoming market differentiator

Get Full Report Here:
Global Modal Yarn Market – View in Detailed Research Report

The ranking above represents more than just manufacturers—these companies are enabling the sustainable transformation of global textile production through continuous innovation and environmental commitment.