Korea's Youngone Corporation completes coal phase-out at Vietnam textile facility

Seoul-headquartered Youngone Corporation has completed a coal phase-out project at its textile and dyeing facility in Vietnam's northern province of Nam Dinh.

Youngone has fully transitioned from coal to biomass boilers, powered by rice husk pellets, reaffirming its commitment to environmental sustainability and decarbonization, the company stated in a release on Tuesday.

Youngone is one of the world’s leading OEM manufacturers of outdoor wear, sportswear, shoes and bags for many of the world’s leading outdoor and sports brands. Founded in 1974, the company has production facilities in Bangladesh, Vietnam, El Salvador, Ethiopia, Uzbekistan and India, and has operations in 17 countries with more than 90,000 employees worldwide.

This initiative aligns with Youngone's overarching policy to combat climate change and prioritize decarbonization in its operations. It represents a significant milestone in achieving the company’s ambitious target of reducing carbon emissions by 40% by 2030.

The coal phase-out project began in early 2023 with feasibility studies and design planning for the transition. The first biomass boiler was installed in Q3/2023, followed by the installation of additional boilers. The project involved the replacement of three key boilers at the Nam Dinh facility including steam and thermal hot oil boilers.

"The successful completion of our coal phase-out project in Nam Dinh is a testament to Youngone’s dedication to sustainability and climate action. By transitioning to biomass boilers and recycling boiler ash into organic fertilizer, we are reducing our carbon footprint, repurposing waste, and supporting the local community,” said Rae Eun Sung, vice chairman of Youngone Group.

“This project is a key step in meeting our 2030 carbon reduction goals and sets a precedent for sustainable practices across our global operations," she added.

The new boilers are powered by rice husk pellets, a renewable biofuel derived from local farm waste. Youngone Corporation worked closely with local rice mills to validate the source of rice husks, ensuring sustainability and traceability throughout the supply chain.

The switch from coal to biofuel not only eliminates coal’s environmental footprint but also supports the local agricultural economy by repurposing waste into valuable energy. This ash will be treated and repurposed to produce organic fertilizer.

Youngone Corporation’s investment of more than $2.7 million in biomass technology and waste recycling is part of its broader effort to implement innovative, sustainable solutions in its operations worldwide.

This milestone marks a significant step forward in the company’s journey to create a more sustainable future while addressing global climate challenges.