Global Viscose Staple Fiber Market By Production Process (Rayon Grade Pulp, Caustic Soda, Carbon Disulphide, and Sulphuric Acid), By Application (Textiles & Apparels, Non-Woven and Specialty, Healthcare, Automotive and Others), By Region, By Company, Competition, Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 14.03 Billion
CAGR (2026-2031)	5.15%
Fastest Growing Segment	Textiles & Apparels
Largest Market	Asia Pacific
Market Size (2031)	USD 18.96 Billion

Market Overview

The Global Viscose Staple Fiber market will grow from USD 14.03 Billion in 2025 to USD 18.96 Billion by 2031 at a 5.15% CAGR. Viscose Staple Fiber (VSF) is a biodegradable, regenerated cellulosic fiber produced from dissolved wood pulp, offering characteristics similar to cotton but with enhanced drapability and color retention. The market is fundamentally driven by the textile industry's requirement for versatile blending materials that provide moisture management and comfort in apparel and home furnishings. Additionally, the inherent biodegradability of VSF supports its adoption as a functional alternative to synthetic fibers, allowing manufacturers to align with material performance standards while utilizing renewable feedstocks.

However, the sector faces a significant challenge regarding the environmental impact of chemical solvents utilized during the regeneration process, which creates regulatory pressures and necessitates costly closed-loop production systems. This complexity can hinder rapid capacity expansion compared to synthetic alternatives. According to the Textile Exchange, in 2024, global viscose fiber production volume reached 6.3 million tonnes in 2023. This figure highlights the fiber's substantial yet constrained position within the broader global fiber market.

Key Market Drivers

Escalating demand for biodegradable and eco-friendly textile alternatives is fundamentally reshaping the Global Viscose Staple Fiber market as brands increasingly prioritize sustainable sourcing to mitigate their environmental footprints. This trend is accelerating the shift from fossil-based synthetics to cellulosic fibers, prompting manufacturers to adopt certified wood pulp and transparent supply chains to meet stringent consumer expectations. Consequently, the integration of verified sustainable feedstocks has become a critical competitive differentiator for fiber producers aiming to secure contracts with major fashion retailers. According to Textile Exchange, September 2024, in the 'Materials Market Report 2024', manmade cellulosic fibers sourced from certified or controlled forestry standards like FSC and PEFC captured an estimated 60% to 65% of the global market share in 2023. This significant proportion underscores the industry's rapid pivoting toward regulated materials to ensure compliance with emerging ecological standards.

The expansion of the global apparel and fast fashion sectors further propels market growth, driven by the fiber’s exceptional blending versatility and moisture management properties which are essential for high-volume clothing production. Manufacturers are aggressively increasing output to satisfy the surging appetite for comfortable, breathable fabrics in key emerging markets where disposable incomes are rising. According to Grasim Industries, July 2024, in the 'Integrated Annual Report 2023-24', the company recorded its highest-ever viscose staple fiber sales volume of 810 kilotonnes, marking a 14% year-on-year increase fueled by strong domestic consumption. This consumption boom is part of a wider trajectory where regenerated cellulosics are gaining ground against other fiber categories. According to Textile Exchange, in 2024, the overall production volume of manmade cellulosic fibers, encompassing viscose, lyocell, and modal, climbed to 7.9 million tonnes in 2023.

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Key Market Challenges

The environmental impact of chemical solvents utilized during the regeneration process stands as a formidable barrier to the Global Viscose Staple Fiber market. The reliance on hazardous substances, such as carbon disulfide, forces manufacturers to navigate an increasingly stringent regulatory landscape. Compliance necessitates the installation of sophisticated closed-loop recovery systems to prevent toxic emissions, a requirement that significantly inflates both capital expenditures and operational costs. These high financial barriers deter new market entrants and severely restrict the ability of existing producers to rapidly expand capacity. Consequently, the sector struggles to scale production at a pace necessary to meet rising demand, creating a supply bottleneck that benefits lower-cost competitors.

This operational constraint places viscose at a distinct disadvantage compared to synthetic alternatives which face fewer immediate production hurdles. According to the Textile Exchange, in 2024, fossil-based polyester continued to dominate the industry with a 59% share of the 132 million tonnes of global fiber produced, while the market share for man-made cellulosic fibers remained comparatively stagnant. This data highlights how the complex and costly requirements of environmental compliance directly hamper the viscose market's ability to capture a larger share of the expanding global fiber industry.

Key Market Trends

Integration of Post-Consumer Textile Waste into Fiber Feedstock is gaining momentum as manufacturers aggressively transition from virgin wood pulp to circular "Next Gen" materials to meet rigorous environmental targets. This trend is driven by the scaling of textile-to-textile recycling technologies that dissolve cotton-rich waste into pulp, thereby reducing the industry’s reliance on ancient forests and mitigating landfill accumulation. Major fiber producers are rapidly commercializing these closed-loop systems, allowing brands to secure recycled-content claims without compromising fiber quality or performance. According to Textile Exchange, October 2025, in the 'Materials Market Report 2025', the market share of manmade cellulosic fibers produced from recycled feedstocks increased to 1.1% in 2024, signaling a pivotal shift from pilot projects to measurable commercial adoption.

The Proliferation of Biodegradable Non-Woven Hygiene Applications is simultaneously creating a robust growth avenue for the viscose market, fueled by tightening regulations against single-use plastics and shifting consumer preferences. As governments enforce bans on synthetic-based wet wipes and sanitary products, manufacturers are increasingly substituting fossil-based fibers with biodegradable viscose to ensure compliance and eco-friendliness. This structural shift is particularly evident in the personal care sector, where the demand for dispersible and compostable fibers is reshaping production priorities. According to EDANA, April 2025, in the 'Statistics Report on Nonwovens Production and Deliveries for 2024', the hygiene sector remained the largest end-use category in Greater Europe, accounting for 27% of total nonwoven deliveries, underscoring the critical role of hygiene applications in sustaining industrial fiber demand.

Segmental Insights

The Textiles & Apparels segment is currently positioning itself as the fastest-growing category within the Global Viscose Staple Fiber market, primarily driven by a paradigm shift toward sustainable fashion. As regulatory bodies globally implement stricter environmental standards, manufacturers are rapidly adopting biodegradable alternatives to synthetic materials. Viscose is increasingly favored for its plant-based origin, offering superior moisture-wicking properties and a silk-like drape that enhances garment quality. This surge is further supported by rising demand in emerging economies, where consumers are prioritizing eco-friendly woven fabrics that combine comfort with aesthetic appeal, thereby accelerating the segment’s expansion.

Regional Insights

Asia Pacific maintains a dominant position in the global Viscose Staple Fiber market due to the extensive textile manufacturing infrastructure established in key economies such as China and India. This region benefits from robust supply chains and the accessibility of essential raw materials, including dissolving wood pulp. Rising disposable incomes and rapid urbanization have surged the demand for apparel and home textiles, directly driving local fiber consumption. Furthermore, the manufacturing sector here supports high-volume production, securing Asia Pacific as the primary hub for global market activity.

Recent Developments

• In October 2025, the Lenzing Group launched a new fiber innovation known as TENCEL™ Lyocell – HV100, which was developed to address the market demand for sustainable materials with a textured aesthetic. Utilizing proprietary Variocut technology, this new product features controlled irregularities in fiber length that mimic the look and feel of natural fibers such as cotton. The launch, introduced at the Kingpins Show in Amsterdam, offered textile manufacturers a biodegradable alternative for denim and home textile applications, combining the environmental benefits of regenerated cellulose fibers with a matte finish and authentic texture.
• In October 2024, Birla Cellulose entered into a long-term strategic partnership with Circ, a US-based textile-to-textile recycling innovator, to accelerate the scaling of recycled fibers in the textile sector. Through this collaboration, the pulp and fiber business of the Aditya Birla Group agreed to purchase up to 5,000 metric tons of Circ’s pulp annually for five years from its first commercial-scale facility. This pulp is intended to be converted into lyocell staple fiber, thereby enhancing the availability of recycled materials for the global fashion industry and supporting the commercial scaling of circular textile production.
• In October 2024, Asia Pacific Rayon (APR) collaborated with Duniatex, a textile manufacturer, and Matahari, a major retail platform, to showcase sustainable fashion collections at Jakarta Fashion Week 2025. During this initiative, the viscose producer supplied renewable and biodegradable viscose-rayon fibers, which were processed by Duniatex into high-quality fabrics for the retailer's fashion brands. This partnership highlighted the integration of sustainable viscose fibers across the textile value chain, from fiber production to retail, emphasizing the versatility of viscose-rayon in creating breathable and eco-friendly garments for modern consumer needs.
• In June 2024, Suzano S.A. and B&C Group formed a long-term strategic partnership involving a majority stake in the Lenzing Group, a leading supplier of wood-based specialty fibers. As part of this collaboration, the Brazilian pulp producer acquired a 15 percent stake in the Austrian company from B&C Group for EUR 230 million. The agreement established a syndicate to hold the majority stake in the viscose fiber manufacturer, with provisions for the potential acquisition of an additional 15 percent stake by Suzano by the end of 2028. This partnership aimed to drive revenue growth and expand the international competitiveness of the viscose staple fiber producer.

Key Market Players

• Aditya Birla Chemicals Pvt Limited
• Glanzstoff Group
• Jilin Chemical Fiber Group Co., Ltd
• Kelheim Fibers GmbH
• Nanjing Chemical Fibre Co. Ltd
• Xingda Chemical Fibre Co. Ltd
• Lenzing AG
• Tangshan Sanyou Group Xingda Chemical Fibre Co., Ltd
• Xinjiang Zhongtai Chemical Co. Ltd
• Sateri Holding Ltd

By Production Process	By Application	By Region
Rayon Grade Pulp Caustic Soda Carbon Disulphide and Sulphuric Acid	Textiles & Apparels Non-Woven and Specialty Healthcare Automotive and Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Viscose Staple Fiber market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Viscose Staple Fiber market, By Production Process:

• Rayon Grade Pulp
• Caustic Soda
• Carbon Disulphide
• and Sulphuric Acid

• Viscose Staple Fiber market, By Application:

• Textiles & Apparels
• Non-Woven and Specialty
• Healthcare
• Automotive and Others

• Viscose Staple Fiber market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE