While slowing global demand, geopolitical instability and trade policy changes have rendered an uncertain outlook, FENC remains steadfast with resilience as the anchor of its operation and business strategies. Backed by an expansive and vertically integrated network of production sites bolstered with stability and sustainability, its global supply chain is retaining competitiveness. In addition to the existing production sites in Taiwan, mainland China, Vietnam, Japan and the U.S., FENC continues to expand the production capacity and scale of operation in multiple ways. 

Deploying Food-grade rPET Production in Malacca, Malaysia: Expanding Circular Economy Practices

FENC has invested in a food-grade rPET plant in Malacca, Malaysia. With it, FENC created a vertically integrated production deployment with synergistic effects by incorporating the existing local PET bottle production lines. The strategic move gives FENC the advantage of higher infiltration into the Malaysian market and the ability to offer local supply to markets within the Association of Southeast Asian Nations. The new plant has a planned annual capacity of 50,000 metric tons of food-grade rPET, and production is expected to commence in the second half of 2026. This new plant will convert locally recycled post-consumer PET bottles into food-grade packaging materials meeting high purity and safety standards as supplies to major international beverage brands, thus forming a bottle-to-bottle closed-loop circular economy model.

Integrating Automotive Industrial Yarns as Airbag Components: Strengthening Value-added Product Portfolio

The automotive industry continues to gravitate towards safety and high-performance materials, which promoted FENC to further develop the vertical integration of fiber production for the sector. Its supply chain was extended further downstream in 2024. With the airbag yarn production at its Suzhou plant as the base, the Company expanded the production capacity of airbag fabrics and airbags. Production officially began in 2025, creating a strongly competitive supply network of automotive materials. As its major global customers in the sector have expanded their production capacity in Vietnam, FENC is also ramping up the deployment of industrial fiber production in the country. By crossing the high technological threshold for airbag materials to tap into the potential of this high-growth and high-profit market, FENC is solidifying market shares and enhancing operational resilience for the long run.

Commencing Filament Production in Vietnam: Constructing an Integrated Sustainable Regional Supply Chain

FENC’s new filament plant in Vietnam inaugurated in the second quarter of 2025 amid shifting sourcing focus to Vietnam and rest of Southeast Asia among its brand customers. With an annual capacity of approximately 60,000 metric tons, the emphasis is on high-performance and environmentally friendly filaments. The new plant is equipped with high-efficiency facilities, leveraging local energy sources and competitive labor costs to gain pricing advantages. Additionally, FENC is maximizing synergistic effects of its production structure by adding flexibility to the scheduling and capacity of production, distribution and sales in Taiwan, mainland China and Vietnam. In recent years, FENC sites in Vietnam have expanded upon garment production to include the manufacturing of polyester resins, staple fiber and filament as well as dyeing and finishing. Facilities for PET bottle recycling were also added, creating the complete integration of PET recycling, spinning, weaving, dyeing, finishing and garment manufacturing. Since Vietnam is a partner of several multilateral and regional trade agreements, such as Comprehensive and Progressive Agreement for Trans-Pacific Partnership（CPTPP）, Regional Comprehensive Economic Partnership （RECP） and European Union–Vietnam Free Trade Agreement （EVFTA）, the advantage of trading tariff-free has positioned this plant as one of FENC’s most significant production sites overseas, and it will continue to hold a key role in enhancing the sustainability and resilience of the Company’s global production and supply.