Kraig Biocraft Laboratories, the leading developer of spider silk based fibres, is setting up a new subsidiary in Vietnam where it intends to establish large commercial-scale spider silk production.

The company has been talking for more than a year about its plans for Vietnam, but has finally received approval to establish the subsidiary, Prodigy Textiles Co Ltd, which will also be its first.

Vietnam has been the focus of the company's efforts due to the country's existing silk production infrastructure.

However, while the establishment of Prodigy Textiles is a major milestone towards its vision, establishing production in Vietnam requires a separate government issued enterprise registration certificate.

Kraig Biocraft uses genetic engineering technology to create spider silk – known as Monster Silk – which is spun by its line of transgenic silkworms – and Dragon Silk, its strongest and most flexible technology so far.

The composite fibre consists of both spider silk proteins and silk from a silkworm, and is said to be significantly stronger and more flexible than commercial grade silk.