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Textile & Apparel Sourcing
November 9, 2026
15 min read

What Is Lyocell Fabric? Lyocell vs Tencel, Cotton and Viscose

What lyocell fabric is, how it is made from wood pulp, lyocell vs Tencel, cotton, viscose and modal, whether it shrinks, what fibrillation is, sustainability questions and how to specify lyocell for a factory.

Alex Morgan β€” SourceBridge Sourcing Specialist

Alex Morgan

Senior Sourcing Specialist Β· SourceBridge

The Short Answer

Lyocell is a smooth, strong, semi-synthetic fabric made from regenerated cellulose, usually from wood pulp. It belongs to the same family as viscose and modal, but it is made by a different route: the pulp is dissolved directly in a solvent that is recovered and reused, with no chemical conversion of the cellulose along the way. Tencel is a brand name owned by Lenzing AG and is the best-known lyocell on the market, which is why the two words are often used as if they meant the same thing.

For a brand, lyocell is a trade-off. It is stronger than viscose and modal, keeps much more of that strength when wet, drapes well and feels cool. It also costs more, can develop a fuzzy surface called fibrillation if the finish is not controlled, and branded fiber names come with documentation and licensing questions. This guide explains how lyocell is made, how it compares with Tencel, cotton, viscose and modal, whether it shrinks, and how to specify it for a factory.

What Is Lyocell Made Of?

Lyocell starts as dissolving pulp, a purified form of cellulose. The pulp usually comes from wood such as eucalyptus, beech, spruce or birch, and it can also come from bamboo or, in some newer fibers, partly from recycled cotton waste. The cellulose is dissolved and re-formed into fiber, so the structure of the original plant does not survive into the yarn.

That puts lyocell between the two usual fiber categories. The raw material is natural, but the fiber is manufactured. It is not a natural fiber like cotton or linen, and it is not an oil-based synthetic like polyester. The usual descriptions are semi-synthetic, man-made cellulosic or regenerated cellulose.

Lyocell vs Tencel: Are They the Same?

Not quite. The difference is between a fiber type and a brand.

  • Lyocell is the generic name of the fiber. Any producer using the direct solvent process can make it, and several do.
  • Tencel is a trademark of Lenzing AG. It is used for Lenzing's lyocell fibers and also for some of its modal fibers, so a label may say Tencel Lyocell or Tencel Modal.
  • Other lyocell is sold by other fiber producers under their own names, or simply as lyocell with no brand attached.
  • The Tencel name dates from the first commercial lyocell, launched by the British company Courtaulds in the early 1990s. Lenzing acquired the business in 2004. So all Tencel Lyocell is lyocell, but not all lyocell is Tencel. When a mill offers "Tencel", ask whether it means the Lenzing fiber or generic lyocell, and ask for documentation. The price, the paperwork and what you are allowed to write on a hangtag all depend on the answer.

    How Lyocell Is Made

    The lyocell process is shorter than the viscose process and works differently:

  • Dissolving. Wood pulp is mixed with water and an amine oxide solvent, usually known by the abbreviation NMMO. With heat and the removal of water, the cellulose dissolves directly into a thick, clear solution.
  • Filtering. The solution is filtered to remove undissolved particles.
  • Spinning. The solution is pushed through fine holes, across a short air gap and into a water-based bath, where the cellulose re-forms as continuous filaments.
  • Washing. The filaments are washed to remove the solvent.
  • Solvent recovery. The diluted solvent from the bath and the washing stages is purified, concentrated and fed back into the process. Fiber producers report recovering nearly all of it.
  • Finishing. The fiber is dried, given a finish and usually cut into staple lengths for spinning into yarn. Some is sold as filament.
  • Two points explain most of the fabric's behavior. First, the cellulose is dissolved without being turned into a different compound, which is the main difference from viscose and the reason carbon disulfide is not used. Second, the cellulose chains in the finished fiber are long and highly aligned along its length. That alignment gives lyocell its strength, and it is also the reason the fiber surface can split into fine fibrils when it is rubbed while wet.

    Properties of Lyocell Fabric

  • Strong, including when wet. Lyocell is the strongest of the common regenerated cellulose fibers and keeps much more of its strength when wet than viscose does.
  • Smooth, cool hand. The fiber surface is smooth, so the fabric feels cool and soft against the skin.
  • Good drape. Lyocell hangs fluidly, with slightly more body than viscose or modal.
  • Absorbent and breathable. It takes up moisture readily, which makes it comfortable in warm weather. Fabric weight and construction still matter as much as the fiber.
  • Good color. It dyes with the same dye classes as cotton and gives clear, deep shades.
  • Fibrillation. The surface can develop fine fibrils with wet abrasion. This can be used on purpose for a soft peach-skin finish, or it can appear later as fuzz, pilling or a frosted look on dark colors if it is not controlled.
  • Creasing. It creases less than regular viscose in many constructions, but it is not a non-iron fabric.
  • Limited stretch. The fiber has little natural elasticity. Lyocell fabric stretches only when it is knitted or blended with elastane.
  • Lyocell vs Cotton, Viscose, Modal and Polyester

    Lyocell vs Cotton

    Lyocell is smoother, drapes more and has a subtle sheen. Cotton has more body, a matte look and a drier hand. Both are absorbent and comfortable in warm weather. Cotton is more widely available, usually costs less and tolerates harsh laundering well. Lyocell is the stronger choice when the design depends on movement and a soft, cool surface. The two are often blended, especially in denim, shirting and jersey, to add softness and drape to a cotton base.

    Lyocell vs Viscose

    Both are regenerated cellulose, but lyocell is stronger, far more stable when wet and generally less prone to shrinking and distorting. Viscose usually costs less and is available in a wider range of printed and fashion wovens. Lyocell is the better fit for garments that will be washed often. Viscose can be enough for a dress or blouse washed occasionally. Our viscose fabric guide covers viscose, rayon and why viscose shrinks.

    Lyocell vs Modal

    Modal tends to feel softer and more fluid, which is why it is common in underwear, sleepwear and loungewear. Lyocell is stronger and has a cleaner, slightly crisper hand, which suits shirts, trousers, dresses and denim. Both hold up better in washing than regular viscose. Our modal fabric guide covers modal and micromodal in detail.

    Lyocell vs Polyester

    Polyester is an oil-based synthetic. It resists creasing, dries quickly, holds its shape and costs little, but it absorbs very little moisture and can feel warm. Lyocell feels cooler and more natural against the skin, but it costs more and needs more care in finishing. Lyocell-polyester blends trade some of that comfort for durability and easier care.

    Common Lyocell Fabrics and Uses

    Lyocell is a fiber, not a construction, so the name alone does not tell a factory what fabric you want. Common types include:

  • Lyocell twill. A fluid woven with a soft surface, used for shirts, shirt dresses, trousers and light jackets.
  • Lyocell denim and chambray. Pure lyocell or cotton-lyocell blends, used for soft, drapey jeans, shirts and dresses.
  • Lyocell poplin and plain weaves. Lighter wovens for shirts, blouses and summer dresses.
  • Lyocell-linen blends. Used for summer shirts and trousers, adding softness and drape to a linen look.
  • Lyocell jersey. A knit used for T-shirts, tops, dresses and base layers, often blended with cotton or elastane. Our guide to jersey fabric explains the construction and its common faults.
  • Lyocell sateen. A smooth weave used mostly for sheets and duvet covers.
  • Whether the fabric is knitted or woven changes how the garment is cut, sewn and tested. The knit vs woven guide covers that choice.

    Does Lyocell Shrink?

    It can, but usually less than viscose. Lyocell is more stable when wet than regular viscose, and a properly finished lyocell fabric holds its dimensions reasonably well in gentle washing. Hot water, tumble drying and loose constructions can still cause shrinkage, and the first wash usually shows most of it.

    The result depends on the construction, the finish and the care, so treat shrinkage as a specification item and not a fiber fact. Set a maximum dimensional change, name the test method and test the bulk fabric, not only the sample. A garment wash adds another variable, as our guide to enzyme and garment washing explains. The test logic in our pre-shrunk cotton guide applies here as well.

    Care instructions should come from testing. In the US, a care label needs a reasonable basis under the FTC Care Labeling Rule. If the garment is meant to be machine washed and tumble dried, the fabric should be developed and tested for that.

    What Is Fibrillation?

    Fibrillation is the splitting of fine fibrils from the fiber surface when the fabric is rubbed while wet. It is the production issue most specific to lyocell.

    It can work for or against a product. Mills use controlled fibrillation, followed by an enzyme treatment and tumbling, to produce the soft, slightly sueded peach-skin surface that many lyocell fabrics are known for. Uncontrolled fibrillation is a fault. It shows up after home washing as a fuzzy or matted surface, pilling, or a pale, frosted look on dark shades, most visibly along seams and creases.

    There are three practical controls:

  • Fiber choice. Fiber producers offer low-fibrillation lyocell types for fabrics that need a clean surface.
  • Finishing route. The mill can remove surface fibrils with an enzyme treatment or protect the surface with a resin finish.
  • Testing. Wash the fabric or a finished garment several times before approving bulk, and compare the surface and color against the original.
  • If a clean surface matters, say so in the specification. "Lyocell twill" on its own leaves the finish to the mill.

    Is Lyocell Sustainable?

    Lyocell has a stronger starting point than regular viscose, but the fiber name does not answer the question. The process avoids carbon disulfide and recovers the solvent in a closed loop, and the fiber is biodegradable under suitable conditions. The outcome still depends on the producer and on everything that happens after the fiber is made.

  • Pulp sourcing. Wood pulp can come from well-managed sources or from sensitive forests. Canopy's CanopyStyle initiative focuses on this risk, and forest certification such as FSC or PEFC can support pulp sourcing claims.
  • Producer practice. Solvent recovery, energy use and wastewater treatment vary between plants. Ask who made the fiber.
  • Fabric processing. Spinning, dyeing and finishing add their own water, energy and chemical use, whatever the fiber.
  • Useful questions for a mill include who produced the fiber, whether the pulp is traceable, and whether the finished fabric is certified to OEKO-TEX or another harmful-substance standard. If the product is positioned as organic, check how a lyocell blend fits the rules in our GOTS certification guide. Avoid broad claims such as "eco-friendly" unless you can substantiate them.

    What Is Bamboo Lyocell?

    Bamboo lyocell is lyocell made from bamboo pulp. Once the bamboo has been dissolved and re-formed, the result is regenerated cellulose, so it is not a bamboo fiber in the way that linen is a flax fiber. The FTC has taken repeated action against sellers of rayon textiles marketed as bamboo.

    Do not label or advertise this fabric simply as "bamboo", and do not assume the mill's trade description is safe to reuse. Get the exact wording approved by a compliance adviser before labels and product pages are finished.

    Common Production Issues With Lyocell

  • Uncontrolled fibrillation. Fuzz, pilling or frosting after washing. Agree on the fiber type and finish, and wash test before bulk.
  • Crease and rope marks. Lyocell is stiff when wet, so fabric that is folded or bunched in dyeing can keep permanent lines. This is a mill process issue, and it is worth checking the fabric for it at inspection.
  • Shade variation. Blends with cotton or linen dye differently from pure lyocell, and garment-dyed lots can vary. Approve lab dips on the actual base. Our guide to garment dyed vs piece dyed explains why this happens.
  • Wash-down on dark colors. Abrasion in washing can lighten seams and edges. This may be the intended look in denim, but it is a fault in a clean black shirt.
  • Seam slippage. Yarns in smooth, light wovens can pull apart at seams under stress. Fitted styles need testing at the stress points.
  • Fabric movement during cutting. Fluid wovens shift on the table and need relaxing before spreading.
  • Press marks and shine. High heat and pressure can mark the surface, particularly on dark colors. Agree on a press test.
  • Substitution. Lyocell, modal and viscose are all regenerated cellulose, and routine fiber tests may not separate them reliably. Ask for mill or yarn documentation as well as a test report, especially when a branded fiber is quoted.
  • How to Specify Lyocell Fabric for a Factory

    "Tencel shirt" is not a specification. A useful tech pack line covers:

  • Exact composition. The percentage of each fiber, and whether you need a named branded fiber or generic lyocell.
  • Construction. Twill, poplin, sateen, denim or jersey, with yarn count and fabric density where they matter.
  • Fabric weight. State the finished GSM with a tolerance.
  • Surface. Clean or peach-skin, and how it should look after repeated washing.
  • Dyeing. Piece dye, yarn dye or garment dye, plus a color standard.
  • Finish. Any enzyme treatment, softener, resin finish or garment wash.
  • Dimensional stability. Maximum change after washing, tested to AATCC 135 or ISO 6330 and ISO 5077.
  • Colorfastness. Requirements for washing, rubbing and light. Our guide to colorfastness covers methods such as AATCC 61 and ISO 105-C06.
  • Pilling and appearance after wash. Name a pilling method such as ASTM D3512 or ISO 12945-2, and add a repeated-wash appearance check for fibrillation.
  • Seam strength. For wovens, test seam slippage to ASTM D1683 or ISO 13936 on fitted styles.
  • Fiber content. Use AATCC 20A or ISO 1833 where a report is needed, with the limits noted above in mind.
  • Care instructions. Decide these from testing, and keep them consistent with the label.
  • Agree acceptance limits with the factory before bulk. Then write them into the order and check them at inspection, as covered in our guide to AQL sampling.

    Labeling and Using the Tencel Name

    Under the FTC's Textile Rules, rayon is the generic name for regenerated cellulose fiber, and the rules allow the term lyocell to be used as a generic description for fiber made by this direct solvent process. A brand name is not a generic fiber name, so a trademark such as Tencel does not replace the fiber content statement. Confirm the exact fiber wording, along with the care and country-of-origin details, with a compliance adviser before labels are printed.

    TENCEL and LENZING are trademarks of Lenzing AG. If a brand wants to use those names on a hangtag or product page, it should check the brand owner's licensing and fabric certification requirements first, and it needs documentation that the fiber is genuine. Do not use a branded fiber name on the strength of a mill's verbal description.

    Apparel sold in the US must also meet the flammability standard at 16 CFR Part 1610, so ask your adviser whether a light or brushed fabric needs testing. For duties, classification depends on the garment and its fiber content, and a lyocell garment may not fall under the same tariff line as its cotton version. Ask a customs broker to confirm this before you compare landed costs.

    MOQ and Cost Factors

    Lyocell programs depend on the fabric as much as the garment. Factors that affect minimums and cost include:

  • Fiber source. Branded and documented fibers are usually priced above generic lyocell, and may add lead time.
  • Fabric availability. Stock qualities are easier to start with than a custom weave or knit.
  • Blend. Cotton-lyocell and linen-lyocell blends change both the price and the dyeing route.
  • Dyeing. Dye house minimums apply per color.
  • Finishing. Enzyme treatments, peach finishes and garment washes add steps.
  • Testing. Repeated-wash testing for fibrillation takes time and should be planned into development.
  • Actual minimums and prices vary by factory and quality, so they should be confirmed in a written quote. Comparing quotes only works when composition, fiber source, construction, GSM and finish are the same on each one.

    Sourcing Lyocell Garments in Turkey

    Turkey has a large weaving, knitting, denim, dyeing and finishing base serving apparel brands, and its garment manufacturers regularly produce shirts, dresses, jersey tops and denim. Which lyocell qualities a factory can source, whether the fiber is branded or generic, and whether fabric comes from stock or through a partner mill all vary by factory. Confirm them at the quote stage, along with documentation of the fiber source.

    SourceBridge responds to a textile brief within 24 hours with options from 2–3 pre-vetted Turkish factories. The published starting point for textiles is 300 units per style. Samples typically take 7–14 days, plus 5–7 days for international courier, and production typically runs 4–8 weeks depending on product complexity, with a pre-shipment inspection against the approved sample before goods leave the factory. Our guides on how to find a clothing manufacturer and clothing manufacturers for startups cover the steps before and after the specification.

    FAQ: Lyocell Fabric

    What is lyocell fabric?

    Lyocell is a smooth, strong semi-synthetic fabric made from regenerated cellulose, usually from wood pulp. The pulp is dissolved in a solvent that is recovered and reused, then re-formed into fiber. It is used for shirts, dresses, denim, T-shirts and bedding.

    Is lyocell the same as Tencel?

    Not exactly. Lyocell is the generic fiber name. Tencel is a trademark of Lenzing AG, used for its lyocell fibers and for some modal fibers. All Tencel Lyocell is lyocell, but lyocell from other producers is not Tencel.

    Is lyocell a natural fiber?

    No. Lyocell starts from natural cellulose, but that cellulose is dissolved and re-formed in an industrial process. It is usually called semi-synthetic or man-made cellulosic, and it is not an oil-based synthetic like polyester.

    Does lyocell shrink?

    It can, though usually less than viscose. Hot water, tumble drying and loose constructions increase the risk, and most shrinkage shows in the first wash. Set a maximum dimensional change and test the bulk fabric.

    Is lyocell breathable?

    Generally yes. Lyocell absorbs moisture readily and feels cool against the skin, so it is comfortable in warm weather. The weight and construction of the fabric matter as much as the fiber.

    Is lyocell stretchy?

    Not much on its own. Woven lyocell has little stretch unless elastane is added. Lyocell jersey has stretch from its knit structure, and it is often blended with elastane for better recovery.

    Is lyocell better than cotton?

    Neither is better in every case. Lyocell is smoother and drapes more, while cotton has more body, is more widely available and usually costs less. The right choice depends on the garment and how it will be washed.

    Is lyocell sustainable?

    It has a stronger starting point than regular viscose because the solvent is recovered and reused. Pulp sourcing, the fiber producer and fabric processing still matter. Ask for fiber producer documentation, and avoid broad environmental claims unless you can substantiate them.

    What is fibrillation in lyocell?

    Fibrillation is the splitting of fine fibrils from the fiber surface when lyocell is rubbed while wet. Controlled, it gives a soft peach-skin finish. Uncontrolled, it causes fuzz, pilling or a frosted look, so specify the surface and wash test before bulk.

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    Alex Morgan

    Written by Alex Morgan

    Senior Sourcing Specialist Β· SourceBridge

    Alex has 10+ years of experience connecting American brands with top manufacturers in Turkey, China, and the USA. He specializes in private label product sourcing, Amazon FBA strategy, and helping entrepreneurs launch profitable brands with the right factory partners.

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