Packaging manufacturers’ planned facility expansions appeared to gain momentum during the last month. These are some recently announced investments in North American plants:
- Amcor is expanding its capacity to produce packaging that contains postconsumer recycled content at its existing facility in Nicholasville, Kentucky. The new system has dedicated silos that feed multiple production lines, which enables precise PCR blending so customers can decide their optimal percentage up to 100%. The company specifically made this investment to support spirits customers, according to a news release, but opportunities also exist in other segments.
- American Packaging Corp. intends to expand its facility in Story City, Iowa, which will result in additional pouch production capacity to meet growing demand. The company plans to break ground in October and complete the project by September 2026.
- Arglass fired up the new furnace at its glass container manufacturing plant in Valdosta, Georgia, reports Glass International. Last year, the company described its intention to add the second, larger furnace to meet growing demand, noting that this $230 million project would more than double the site’s capacity. The new furnace is expected to be able to produce more than 350 million glass containers per year.
- E. Hofmann, a Canada-based rigid plastic container manufacturer, plans to build its first U.S. facility in Madisonville, Kentucky. The $43 million investment includes constructing a 100,000-square-foot building and installing new equipment. Construction is slated for completion next year. The Kentucky Economic Development Finance Authority preliminarily approved a 15-year agreement with E. Hofmann for up to $2.3 million in tax incentives. To receive that, the company must abide by its $43 million investment and commitment to create and maintain 164 jobs with an average hourly wage of $28.
- Josh Packaging, which manufactures plastic films, also is seeking tax breaks for its $9.2 million expansion project in Suffolk County, New York. They’ve received preliminary approval for $453,700 in tax breaks over 10 years, if they add at least 10 jobs to the existing 68-person workforce, according to Newsday. Executives plan to purchase a building for their second local factory, which will increase the company’s manufacturing and warehouse space by more than 60% to almost 70,000 square feet, Newsday reports. The company also plans to renovate its existing factory.
- Sonoco announced a $30 million investment to expand production capacity for adhesives and sealants by 100 million units annually. The project includes installing new production lines and enhancing existing ones. The investment primarily will go toward facilities in three locations — Orlando, Florida; Winchester, Kentucky; and Hanover, Pennsylvania — with some also going toward the Alpha plant in Beavercreek, Ohio, a spokesperson said via email.
- ValorFlex Packaging of Kentucky, a newly formed subsidiary of Tennessee-based ValorFlex Holdings, is investing $23.4 million to build a manufacturing facility in Bowling Green, Kentucky. This site will serve as the flexible packaging manufacturer’s operational hub. The project is expected to create 82 jobs.