WestRock Company (NYSE: WRK) made an announcement today about its intention to construct a new corrugated box plant in Pleasant Prairie, Wisconsin. This move is aimed at meeting the increasing demand from customers in the Great Lakes region. As part of this plan, the company will close down its current plant in North Chicago once the new facility is ready.
The investment in this new plant is expected to enhance WestRock’s production capabilities and improve its cost structure in the Great Lakes area. The construction is estimated to cost around $140 million, with some of the expenses expected to be offset by property sales.
David B. Sewell, the CEO of WestRock, stated
“Investing in a new, advanced corrugated converting facility will enhance our production capabilities and align with our strategy to improve margins. Expanding our presence in the Great Lakes region is important, and we believe initiatives like this will strengthen WestRock’s position as the preferred supplier.”
The new facility aims to achieve several objectives, including:
- Reduce manufacturing costs and waste
- Enhance sustainability through energy-efficient practices and new technology
- Improve quality and customer satisfaction through automation
- Enhance digital capabilities for better decision-making and reduced downtime
- Cater to various end markets in the Great Lakes region, including retail, distribution, food processing, industrial, and protein businesses
Construction is scheduled to commence in 2024 and is expected to be completed by 2025.
WestRock is a company that collaborates with its customers to provide sustainable paper and packaging solutions. It operates globally, serving customers across North America, South America, Europe, Asia, and Australia. More information can be found at www.westrock.com
The press release also includes forward-looking statements, which are subject to risks and uncertainties. Actual results may differ from those anticipated due to various factors, as outlined in the company’s filings with the Securities and Exchange Commission.