The investment comprises consolidating an external warehouse and increasing the location’s manufacturing capacity by leasing the warehouse and manufacturing facilities and investing funds in production assets
A product image of Huhtamaki’s straws. (Credit: Huhtamäki Oyj)
Sustainable packaging solutions provider Huhtamaki has announced an investment of $30m to expand its facility in Paris, Texas in the US for further growth in North America.
The investment comprises consolidating an external warehouse and increasing the location’s manufacturing capacity.
The warehouse and manufacturing facilities will be leased, and an estimated $30m will be invested in production assets.
Huhtamaki anticipates that the investment will enable its North American business division to have additional folding carton capacity to support the expansion of the food service industry.
The production is anticipated to ramp up in Q1 2025, and it will be essential to meet the increased demand from both current and prospective clients in the Southern and Midwestern states.
The Paris factory is ideally situated to address the rising demand in the US for environmentally friendly folding cartons that provide time-pressed consumers with convenient, secure, and hygienic food, the packaging firm said.
Within the first three years, it is anticipated that the Paris, Texas location will employ up to 80 workers.
Huhtamaki North America president Ann O’Hara said: “This expansion scales up our core business to support the continued growth of our US foodservice customers.
“The Paris plant will be key in helping the company achieve its 2030 strategy for Customer Excellence by meeting the demand for folding cartons across the region.”
Huhtamaki is a manufacturer of tableware, cups, folding cartons, containers, carriers, trays, and service ware for the food service sector and retail market. The firm currently employs about 4,100 people across 18 manufacturing facilities in North America, 17 in the US and one in Mexico.
The move to increase investment in North America aligns with Huhtamaki’s 2030 strategy, which calls for scaling its core business via paperboard, flexibles, and fibre technologies to achieve profitable growth.
Last month, the company unveiled its plans to combine the production of its flexible packaging in Europe and close its flexible packaging production site in Prague, Czech Republic.