Sector News

Huhtamaki injects US$100M to expand molded fiber production in North America

June 11, 2022
Energy & Chemical Value Chain

Huhtamaki has announced plans to expand its molded fiber product manufacturing unit in the city of Hammond, Indiana, US, as part of its investment in fiber solutions.

The investment, which is expected to start ramping up toward the end of 2023, will enable Huhtamaki to better serve existing and new customers in North America with a broad range of environmentally sustainable, fully recyclable and compostable, fiber-based packaging solutions manufactured from 100% recycled North American raw material.

“With the high-precision manufacturing technology we have developed at Huhtamaki we are able to produce [environmentally] sustainable fiber-based products with superior performance. Fiber-based products dramatically reduce the consumption of less sustainable packaging while continuing to provide the same functionality,” tells Ann O’Hara, president, Huhtamaki North America, PackagingInsights.

New product range
The investment in this new manufacturing capacity, adjacent to Huhtamaki’s existing site in Hammond, represents the company’s belief in the region’s future development and in the continued success of Huhtamaki’s customers – both current and new, says Charles Héaulmé, president and CEO of Huhtamaki.

“The expansion will introduce new [environmentally] sustainable fiber-based products such as egg cartons and cup carriers – manufactured on state-of-the-art machinery developed by Huhtamaki – to our portfolio in the region and drive production efficiency,” he says.

“Our expertise in material and manufacturing innovation enables us to help our customers deliver on their [environmental] sustainability agenda and goals,” adds O’Hara.

Boosting customer service
Amounting to a total investment of almost US$100 million, the expanded facility covers circa 23,000 square meters and will be built adjacent to Huhtamaki’s existing Hammond manufacturing unit.

Huhtamaki has operated in Hammond, Indiana, since 1948 and currently has approximately 140 employees. It expects to employ a further 100 new employees when fully operational.

“We have a 75-year history in the community of Hammond. Our new investment builds on our existing technological expertise and will expand our manufacturing capacity, further leveraging the success of earlier expansions of other Huhtamaki units across North America and harnessing our global expertise in molded fiber technology,” says O’Hara.

“This investment will enable us to better serve our customers in the growing North American consumer goods and retail markets.”

Huhtamaki currently employs approximately 4,400 people across 18 manufacturing units in North America – 17 in the US and one in Mexico – and is a manufacturer of packaging for consumer-packaged goods, as well as tableware, cups, folding cartons, containers, carriers, trays and service ware for the foodservice industry and retail market.

Earlier this year, Huhtamaki announced that its manufacturing site in Alf, Germany, is switching its focus from plastics to smooth molded fiber products to meet the growing demand for plastic free alternatives for food packaging.

The Alf unit plans to replace more than 2,000 metric tons of plastic with fiber in 2022 and when fully operational, the state-of-the-art automated manufacturing site will have the capacity to manufacture up to 3.5 billion fiber products annually. This represents “the first” such large-scale production capability in Europe, says the company.

Huhtamaki also launched a monomaterial PET blister lid that is free from aluminum. The Push Tab is a “first-to-market” innovation for the global pharmaceutical and healthcare industry.

The company also set up its first recycling plant in Maharashtra, India, as part of its #CloseTheLoop initiative. The site spreads across 2,000 square meters and recycles around 1,600 kg of post-consumer used flexible plastic waste per day since it became fully operational on May 2.

The Central Pollution Board of India estimates that India generates close to 26,000 tons of plastic waste per day, and just over 10,000 metric tons per day of plastic waste remains uncollected.

By Natalie Schwertheim

Source: packaginginsights.com

comments closed

Related News

May 4, 2024

Heikki Malinen appointed as the President and CEO of Neste Corporation

Energy & Chemical Value Chain

Neste Corporation’s Board of Directors has appointed Heikki Malinen, M.Sc. (Econ.), MBA (Harvard) as the President and CEO of Neste as of 2 November 2024, at the latest. Malinen joins Neste from Outokumpu Corporation where he has held the position of President and CEO since 2020.

May 4, 2024

Rossouw to step down as Sasol CFO in October

Energy & Chemical Value Chain

Petrochemicals company Sasol has announced that CFO and executive director Hanré Rossouw will step down from his position, effective October 31. Sasol has started the process to appoint a successor. Rossouw will still oversee the publication of Sasol’s reports for the financial year ending June 30, to allow for a structured handover period.

May 4, 2024

Chemours CFO Jonathan Lock resigns following code of ethics violations

Energy & Chemical Value Chain

Chemours announced its CFO Jonathan Lock has resigned from all positions within the company, according to an SEC 8-K filing on April 23. The resignation comes in the aftermath of the company announcing that Lock, former CEO Mark Newman, and principal accounting officer Camela Wisel, had been placed on administrative leave.

How can we help you?

We're easy to reach