After a period of significant expansion in spunlace nonwovens during the coronavirus pandemic, from 2020-2021, investment has slowed. The wipes industry, the biggest consumer of spunlace, saw a huge surge in demand for disinfectant wipes during that time, which has led to an oversupply today.
Smithers projects both a slowing of expansion globally and some closures of older, less efficient lines. “Perhaps accelerating the process of closing older lines is the addition of newer spunlace processes more efficient at addressing ‘plastics-free’ wipes,” says Mango. “Carded/wetlaid pulp spunlace and hydroentangled wetlaid spunlace lines both make the addition of wood pulp and the production of plastics-free products less costly and higher performing. As these newer lines enter the market, older lines become even more obsolete.”
Growth prospects are still excellent, Mango adds, as spunlace end-use markets remain healthy. “Wipes are still in the growth phase, though maturity in this market is probably only five to 10 years away. The desire for plastics-free products in many other markets helps spunlace in markets like hygiene and medical. The overcapacity situation, while disadvantageous for spunlace producers is advantageous for spunlace converters and customers, who have ready supply and lower prices. This will encourage growth in spunlace tons consumed if not in sales dollars.”
In 2023, world consumption of spunlace nonwovens totaled 1.85 million tons with a value of $10.35 billion, according to the latest study from Smithers—The Future of Spunlace Nonwovens to 2028. Detailed market modelling forecasts this segment of the nonwovens industry will increase at a compound annual growth rate (CAGR) of +8.6% by weight across 2023-2028—reaching 2.79 million tons in 2028, and a value of $16.73 billion, at constant pricing.
Post time: Jul-31-2024