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Lu Feng to double dyed fabric capacity

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Lu Feng Weaving and Dyeing, a subsidiary of Lu Thai Textile, will increase its production capacity of high-end dyed fabric by 50 million sq. metres. The expansion will involve an investment of 660 million Yuan and will be completed in two phases.

The Zibo-based company will increase the annual production capacity by 25 million sq. metres in the first phase, which is expected to be completed by second quarter of 2012.

After the completion of the second phase in 2014, the company hopes that its annual sales income will increase by one billion Yuan.

At present, the company has an annual capacity to produce 50 million metres of high-end dyed fabrics. In 2010, the company’s sales income stood at 996 million Yuan — an increase of 40.8 per cent over the previous year. Most of this income was earned through exports.

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