Smurfit Kappa invests €22m in Mexico plant overhaul

Packaging giant Smurfit Kappa has invested $23.5 million (€22 million) in an upgrade of its Nuevo Laredo sheet plant in Mexico, turning it into a fully integrated corrugated plant.

As part of the investment, the plant has been extended and a state-of-the-art corrugator installed. The new machine, which is already up and running, will double production capacity and reduce CO2 emissions by up to 40 per cent.

“This investment reinforces our commitment to being an important player in the growth of the Mexican market. It will also strengthen our partnerships within the sectors that drive the local economy in the Nuevo Laredo region,” said Laurent Sellier, chief executive of Smurfit Kappa the Americas.

The plant is located in the Tamaulipas region in northeastern Mexico, and the increased capacity will streamline Smurfit Kappa’s operations in San Antonio, Texas. The investment will also help with the plant’s sustainability targets, cutting emissions due to significantly less transportation between Smurfit Kappa’s Nuevo Laredo and San Antonio plants.

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“The enhanced production capacity we now have because of this investment has strengthened our ability to meet the needs of current and indeed potential customers in the region,” said Eduardo Rubio, chief executive of Smurfit Kappa North America. “Smurfit Kappa is a reliable source of high-performance, sustainable packaging, no matter how complex the product or supply chain requirements are.”