Leather supplier ISA TanTec is to set up its second tannery in Vietnam in response to increased demand from its customers.

The company has continuously invested in increasing the capacity of its existing facilities but says it now needs a new tannery to sustain its growth.

The new tannery, TransAsia TanTec, will be built on a 60,000 square metre site on an industrial park located in the Tay Ninh Province. It will be in close geographical proximity to the existing tannery Saigon TanTec and also to Saigon as the main business hub in Vietnam.

It will be the group's fifth tannery, on top of its existing facilities in the US, Vietnam, China and Italy.

"The setup of the new tannery will mirror the already successful site in Saigon. The replication of the tannery will enable the realisation of synergies and has benchmark options including but not limited to the possibility of shared service between both tanneries", says company CEO Uwe Hutzler.

"Our experiences in Vietnam are outstanding and we decided for this location to bridge the gap of 3-5 years before new regions might be attractive and stable enough for the tanning industry," adds executive chairman Thomas Schneider.

The company offers a range of leather for apparel, footwear and accessories, and claims "the most advanced technologies, a high grade of automation, lean manufacturing and a sophisticated QA system to ensure high standards for its innovative products." Its LITE (Low Impact To the Environment) concept commits to high level of environmental responsibility.

Customers include brands such as Timberland, Wolverine, Deckers, Keen, Clarks, Danner/LaCrosse and The North Face.

Earlier this year the company inked an agreement to acquire leather lace specialist Auburn Leather.