Welcron "Second Leap with Eco-Friendly Microfiber Cleaner... Leading High Value-Added Material Development"

Industrial Textile Company Welcron Unveils Numerous New Eco-Friendly Materials
'Recycling Cleaner,' 'Biodegradable Cleaner,' 'Copper Antibacterial Cleaner,' etc.
Sales Share Below 10% as of July Last Year... Expected to Rise to About 30% This Year
"Aim to Increase Product Share to 50% in 2024 and Lead High Value-Added Material Development"

At the Welcron 30th Anniversary Ceremony, Lee Young-gyu, Chairman of the Welcron Group, is delivering a commemorative speech.
[Photo by Welcron]

[Asia Economy Reporter Kwak Minjae] Industrial textile company Welcron is strengthening its eco-friendly material products. This move aims to focus capabilities on the growing eco-friendly business, driven by environmental issues such as the intensified waste crisis during the COVID-19 period and changing consumer trends. Welcron plans to introduce new products incorporating eco-friendly materials that have been developed, such as yarn made from recycled PET bottles and biodegradable fibers naturally decomposed by microorganisms, and to increase their sales proportion.

Welcron has built technological expertise in textile materials such as microfiber and nanofibers over the past 30 years. Since its establishment in 1992, the company has led the global 'microfiber cleaner' market by pioneering the application of microfiber materials to cleaners, including household items like kitchen cloths, automotive cleaners, and towels. Until last year, it held the number one global market share (25%) in cleaners. Compared to general cotton products, its products have been recognized for superior absorbency and cleaning power, and have been fully exported to the U.S., Europe, and other regions, according to the company. However, as its core business shifted to living products such as functional bedding, its momentum has recently weakened.

Accordingly, Welcron plans to secure new growth engines by launching a large number of new microfiber products incorporating eco-friendly materials. According to the Korea International Trade Association's 'Response Strategy to Strengthened Eco-friendly Consumption Trends Due to the Pandemic' report released in April, the domestic eco-friendly consumer goods market size in 2020 was about 30 trillion KRW, growing more than 20 times compared to 1.5 trillion KRW in 2001. The global eco-friendly market is also expected to reach a value of about 10 trillion USD and create 400 million jobs by 2030. In line with the growing ESG (Environment, Social Responsibility, and Governance) trend, Welcron participated in the '2022 Interclean Amsterdam,' the world's largest cleaning and household goods international exhibition, last May, showcasing a large number of new products made from eco-friendly materials.

Welcron's 'Recycling Cleaner' is a representative example. The 'Recycling Cleaner' is made by recycling about five 1.5L PET bottles per product. Welcron has obtained the 'Global Recycled Standard (GRS),' an international certification for eco-friendly textile products, and is strengthening overseas sales and marketing. The company is also steadily expanding its recycled product lineup, including beach towels, cleaner umbrellas, and kitchenware.

Welcron's 'Recycling Cleaner' made by recycling discarded PET bottles.
[Photo by Welcron]

Welcron is also placing high hopes on its 'Biodegradable Cleaner,' which naturally decomposes when buried. Manufactured based on biomass materials, this product rapidly decomposes naturally by microorganisms when buried. Unlike existing biodegradable disposable products such as eco-friendly straws, cleaners require stringent technology because they must maintain quality without changes even after hundreds of washes or uses. Welcron's development team explained, "The development team and material suppliers are collaborating to apply biodegradable yarns with enhanced durability to cleaners instead of common bioplastics like PLA (biodegradable bioplastic) and are focusing on quality improvement." They added, "We are conducting tests applying biodegradable materials to various items such as cloths, cleaning supplies, and car wash products."

Welcron also introduced a 'Copper Antibacterial Cleaner' that provides antibacterial effects without chemical agents. Made from a special fabric using copper components harmless to the human body, it features 99.9% antibacterial performance without using chemical 'antibacterial agents.' A Welcron official stated, "In the past, Welcron dominated the global cleaner market by replacing general cotton products with microfiber, and now our goal is to expand consumer choices worldwide with environmentally friendly products."

Welcron's 'Copper Antibacterial Cleaner' that provides antibacterial effects without chemical agents.
[Photo by Welcron]

The sales proportion of Welcron's eco-friendly cleaners has been steadily increasing. According to Welcron, the sales proportion of eco-friendly cleaners was less than 10% of total cleaner sales as of July last year, but with product inquiries from global clients and overseas buyers and the start of full-scale export supply, the proportion increased to about 30% of total cleaner sales this year. Eco-friendly cleaners are priced 20-30% higher than general cleaners, and the company expects this to contribute to Welcron's future sales growth. A Welcron official said, "Consumers who prefer eco-friendly products that contribute to environmental preservation are clearly increasing, even if the price is higher," adding, "By 2024, we plan to raise the proportion of eco-friendly product lines to about 50% and lead the high value-added transformation of materials by adding new strengths such as antibacterial properties."