Key Improvements Required
- The immediate next step for Nanjing Chemical Fiber (NCFC) is to formalize agreement with the auditor to initiate the third party verification audit to verify progress in implementing its policy as well as other elements of the CanopyStyle initiative.
- Use ForestMapper to ensure future expansion plans and ventures are not located in Ancient and Endangered Forests.
- We recommend that the company move quickly to have 80-100% of new production capacity originate from Next Generation Solution feedstock and move assertively to substitute alternatives for any reliance on sourcing from Ancient and Endangered Forests by the end of 2020.
- To prioritize the development of products that meet or surpass the current market expectation for viscose products containing at least 50% Next Generation raw material input.
Of note, the company has been delayed in undergoing the CanopyStyle audit because it was forced to halt production and relocate one of its mills to another province due to environmental regulation enforcement.
Areas where the company is showing leadership
When prompted, Nanjing Chemical Fiber (NCFC) engages in dialogue with Canopy and customer brands. Nanjing Chemical Fiber (NCFC) has shown leadership by publicly supporting ForestMapper and by listing its suppliers on its website in 2018.The company has also taken action to eliminate high risk sources in 2016-2017.
Number of viscose, lyocell and dissolving pulp mills + location and production volumes
Nanjing NCFC owns two mills in China which produces viscose staple fibre and viscose filament yarn.
• The production capacity of viscose staple fiber in Nanjing is 85 000 tonnes.
•The production capacity for viscose filament yarn in Jiangsu is 18 000 tonnes.
Of note, the company received a government request to shut down the coal-fired units of the thermal power plant at their viscose mill in Nanjing and has completed the shutdown of that viscose mill in October 2018. The mill will be relocated. The Nanjing NCFC mill in Jiangsu has resumed production in August 2018 and is now operational.
Nanjing NCFC produces man-made cellulosic fibre (MMCF) mainly standard viscose fibres and rayon.
The company has been unresponsive in providing such information. Like many other viscose producers, the company is expected to be sourcing a large variety of tree species.