Spotlight on COTTON USA Mills

Meeting Vietnam’s Growing Demand for High Quality Materials

Phu Hoang Spinning

Vietnam has rapidly evolved into one of the world’s most important apparel producing nations.  However despite the fast growth of the nation’s garment manufacturing industry, investment in mills has lagged behind.  This has left manufacturers reliant on imported raw materials – a situation that is increasingly problematic.

Phu Hoang Spinning is looking to provide part of the solution to that problem.

The company’s founders recognized that from political risk to country-of-origin requirements in free trade agreements, like the recently ratified EVFTA, garment manufacturers need sources for domestically produced textiles. 

In September of 2019 they opened Phu Hoang Spinning, a spinner of high quality (20-40 count) cotton yarn and combed yarn.  The facility has 40,000 spindles and a monthly capacity of 650 tons. 

Le Hoang Anh, Director

“It’s the most modern factory in the world,” said Le Hoang Anh, Director.  She explained that the factory has the highest level of automation thanks to their investment in the best European equipment.

The fully automated factory requires fewer workers, and those workers who are employed focus more on supervisory tasks, such as keeping an eye on the production lines to make sure that the machines are running well.  Machines now do all of the physically heavy tasks.

“We have a moving transport system that moves each stage of production – it goes directly from roving to the finished product.  We are one of only 10 factories worldwide to have installed this system,” she said.

This is the most modern factory in the world. It is fully automated using the best European equipment.

Phu-Hoang-logo

Automation not only spares workers from hauling heavy materials and operating massive machinery, it also speeds up the workflow making the factory more efficient.

Starting With Quality

In a highly competitive industry like textiles, Phu Hoang Spinning decided to position itself for the premium or better segment of the market.

“We only buy machine picked cotton and the U.S. has the best machine picked cotton,” said Ms. Le.  “We mainly buy U.S. cotton.  The crop is very big and so it’s easy to buy U.S. cotton all year round.  Having this stable supply is very important to us,” she said.

“Also, the USDA (U.S. Department of Agriculture) controls the quality of the cotton.  Each bale is rated and is very clean.  There’s very little foreign material in it.

“Customers like that our yarn is made from U.S. cotton.  This makes it easier for us to market our products.  We can charge a bit more for our yarn because it is clearly better and more reliable,” said Ms. Le.

Technical Excellence

Producing a premium product also requires a lot of technical expertise. Phu Hoang Spinning is keen to make sure that their investment in state-of-the-art equipment and superior quality cotton is supported by highly skilled engineers and technicians.

“Cotton Council International (CCI) sends technical experts to our factory to help us gain more knowledge of yarn spinning best practices and to work with us to solve technical issues.  They suggest improvements and provide seminars so we can get more market information.  They give us lots of support and that really helps us to improve.  It’s a big advantage,” she said.

We mainly buy U.S. cotton. Each bale is rated and is very clean. Plus the crop is very big so we always have a stable supply.

Moving Forward – Fast !

Phu Hoang Spinning is already planning its next factory, which is scheduled to open in January 2021.  The new facility will have a monthly capacity of 450 tons.  The core products made at this new factory will be 20-28 count OE yarn for the U.S. underwear market. 

That will only be the second phase of the company’s growth plans.  Phu Hoang Spinning has their eye on building a third facility – to produce thread. 

With rising demand from their domestic market, as well as increased demand from around the region, Phu Hoang Spinners looks to be making the right investment at exactly the right time.

The COTTON USA Advantage

  • Family growers who are committed to working their fields sustainably and leaving them better for future generations.
  • A long history of innovative harvesting and ginning technologies resulting in higher-quality cotton.
  • One of the highest rates of adoption in the world for Precision Agriculture, which minimizes water and pesticide usage.
  • U.S. farmers operate under voluminous, stringent, and enforceable regulations.
  • A commitment to transparent partnership that is unmatched anywhere.
  • One of the most comprehensive systems for monitoring and measuring all the key metrics involved in sustainability. 

 

U.S. Cotton Facts

  • 2/3 of U.S. cotton land uses only rain water
  • U.S. cotton water use efficiency has improved by 82% over the past 35 years
  • Cotton is carbon footprint neutral, meaning the plants remove more greenhouse gasses than production produces.

Sustainability Goals

The U.S. cotton industry is building upon the strong environmental gains already achieved over the past 35 years. The aim is to help members meet their current needs while making the world a better place for future generations.

Specific goals include:

  • Reducing by 13 percent the amount of land needed to produce a pound of cotton fiber
  • Reducing soil loss by 50 percent, in balance with new soil formation
  • Increasing water use efficiency (more fiber per gallon) by 18 percent
  • Reducing greenhouse gas emissions by 39 percent
  • Increasing soil carbon in fields by 30 percent
  • Reducing energy to produce seed cotton and ginned lint by 15 percent
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