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    Sales Reports

    Nan Liu Enterprise

    ...

    Nan Liu Enterprise
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    09.11.19
    Kaohsiung, Taiwan
    www.nanliugroup.com
    2019 Nonwovens Sales: $238 million


    Key personnel:
    John Huang, EVP; Ryan Huang, VP; Jen-Tsung Huang, VP

    Plants:
    Yenchao I and II (Taiwan), Pinghu (China), Ahmedabad (India)

    Processes:
    Carded thermalbond, air-through bond, spunlace, meltblown,

    A sharp focus on the Asian market as well as an ambitious investment in key growth markets has translated into success for Nan Liu Enterprise. The Kaohsiung City, Taiwan-based nonwovens producer reports that sales reached $238 million in 2019, and this number is rising steadily in 2020 thanks to new investments and a Covid-19-related sales boost.

    “During the pandemic period, 46 protection mask lines and a meltblown nonwoven production line were set up,” commercial director Bernard Kerstens says. “Market demand for spunlace nonwovens and air through nonwoven increased enormously and this also caused prices to increase.”

    Much of the increases can be attributed to Nan Liu’s Yanchao, Taiwan plant, which started production in early 2019. The site features a 6.2 meter spunlace line, a three-meter wide cotton spunlace line as well as a new meltblown line, assets for coating and producing medical masks and a cleanroom biotechnology building. These investments contributed more than 50% to the revenue growth in Taiwan and additional investments including wet wipes lines and spunbond production are being evaluated.

    Meanwhile, Nan Liu plans to invest CNY300 million, or $43 million, to set up four additional air through nonwovens lines in Pinghu, China. The investment responds to a need for higher end, softer materials in the Chinese hygiene market.

    “China keeps having higher requirements for material quality,” Kerstens says. “The high-end market is more concerned about whether the new materials are more comfortable rather than the price itself. With the continuous increase of income per capita, the demand in the high-end market continues to grow every year.”

    Nan Liu’s next frontier will be India and possibly Vietnam. Last year the company had started construction of a new plant in India in Gujarat state. Start-up of air-through nonwoven line was planned for third quarter of this year but will be delayed by the Coronavirus as border restrictions have restricted machinery shipments and installation. Expanding from this, in a first phase wet wipes and facial mask production lines will also be installed in this plant. In a second phase medical supply production lines will be added, such as nonwoven fabric for gowns, etc.

    The company remains bullish about growth in India which will be driven by population growth as well as increases in manufacturing and rising per capita incomes.
    “Due to the U.S.-China trade war, many manufacturers have relocated factories too,” Kerstens adds. “The Indian government projects to expand its infrastructure which will attract more global investments to India. This should provide more and better job opportunities and to increase salaries. The enormous population of India will become the huge new market of the future.”
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