Huhtamaki has agreed to purchase a manufacturing facility to set up a new world class manufacturing and distribution unit in the United States. The facility is located in Goodyear, Arizona, and is set to service the southwest and west coast foodservice packaging and retail tableware markets. "This is a significant investment to further grow our foodservice business in the United States and to leverage our global paperboard packaging expertise," says CEO Jukka Moisio. The total investment including the site purchase and modifications, improvements in infrastructure, and machinery investments and installations is expected to exceed USD 100 million. Majority of the investment will take place in 2016-2017. Huhtamaki will start using the 70,000 m2 (750,000 sq. ft.) facility as a distribution center in early 2017 and manufacturing is scheduled to begin in late 2017. When fully operational, the unit is expected to employ approximately 300 employees and manufacture a full range of products including single wall paper cups, insulated paper hot cups, folding carton packaging, food containers, pressed paperboard plates and plastic cups and lids.
Sonoco-Alcore S.a.r.l. today announced it will raise prices for paper-based tubes and cores by up to 8.5 percent, depending on product category, effective from shipments beginning on 15th April 2017.
“The increase follows a continuous rise over the past six months in coreboard prices across Europe driven predominantly by higher OCC costs peaking now in a 60 Euro per ton or a 15 percent increase in coreboard,” said Karsten Kemmerling, Director of Sales and Marketing – Tubes and Cores, Europe. “We are doing all we can to maintain tight cost control, but with coreboard a dominant part of our cost, we are unable to offset such movement.”