Lyocell Fabric Market Industry Insights, Upcoming Trends and Top Companies like Acegreen Eco-Material Technology Co., Ltd., Lenzing AG, and Baoding Swan Fiber Co. Ltd.

The global lyocell fabric market size is expected to witness potential gains in the future, and register a significant CAGR of 7.94% over the forecast period (2019 – 2027).

Key players operating in the lyocell fabric market include, Aditya Birla Group, Acegreen Eco-Material Technology Co., Ltd., Lenzing AG, and Baoding Swan Fiber Co. Ltd.

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Market Overview
Lyocell fabric is a natural, manmade fiber. This regenerated cellulose fiber is made from wood pulp. It is sold under the brand name Tencel in the U.S. It is made with wood pulp from sustainable tree farms using a solvent spinning technique and is biodegradable. Major application of lyocell fabric is in the garment industry. It is also used in the automotive filters, ropes, abrasive materials, bandages and protective suiting materials.

Market Dynamics
Increasing preference for organic clothing among the populace is expected to boost the market size for lyocell fabric. The use of lyocell fabric (under the brand name Tencel) in the mainstream fashion and eco-fashion industries has increased significantly. Amine oxide is used as a non-toxic solvent in production of lyocell and can be easily recycled during the process.

However, toxic chemicals and processes that are used in production of conventional garments are also used in converting lyocell fibers into fabric and garments. It is also more expensive than cotton. Therefore, presence of alternative fabrics that are cheaper than lyocell is expected to hinder growth of the lyocell fabric market.

Presence of a few number of manufactures in the market can be a lucrative growth opportunity for new entrants entering in the market. 

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Market Outlook
Among regions, North America is expected to witness significant growth in the market over the forecast period. This is owing to increasing preference of biodegradable fabric among the populace in the region. Presence of major pharmaceutical companies and growing healthcare industry in the region is also expected to impact the market size in the region. Lyocell fabric is used in non-woven apparels such as baby diapers, surgical swabs, and filtration applications.

The market share of Asia Pacific is expected to witness relatively low growth, owing to high prices of 1001 4th Ave, #3200 Seattle, WA 98154, U.S.lyocell fabric. Low presence of market players and high use of alternatives is also expected to impact the market growth in the region. However, increasing disposable income in the region is expected to aid the market growth to some extent.

Europe is expected to witness significant growth in the market, owing to growing automotive sector in the region. Lyocell fabric is used for seat covers and battery separators in the automotive industry.

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