International Paper, a global provider of sustainable packaging solutions, has officially begun construction on a new packaging facility in Waterloo, Iowa, marking a significant expansion of its U.S. operations.

The new greenfield box plant is strategically located in the Midwest, positioning the company closer to key customers in the protein industry. The facility will focus on producing custom packaging solutions designed to meet the growing demand for environmentally responsible packaging materials, reflecting the broader industry push toward sustainability.

According to International Paper, the Waterloo plant will be outfitted with state-of-the-art technology and advanced machinery, enabling the production of innovative and eco-friendly packaging products. The company emphasized that the facility’s design incorporates modern safety standards and the latest technological advancements, ensuring both worker safety and production efficiency.

Operations at the plant are slated to begin in the last quarter of 2026. Once fully operational, the facility is expected to create approximately 65 new jobs, increasing International Paper’s local workforce to about 190 employees. This expansion reflects the company’s commitment to local economic growth and long-term investment in the Waterloo community.

John Berry, group vice-president at International Paper, expressed enthusiasm about the project, saying: “We are thrilled to break ground and invest in our company and the city of Waterloo. This facility represents our dedication to growing in markets where we want to compete, advancing our capabilities and ensuring our customers receive quality and reliable products. We look forward to our continued future in Waterloo and are very grateful to everyone who has made today possible.”

This development follows recent international moves by International Paper. Just last month, the company announced it had entered into exclusive discussions with Germany-based PALM Group for the sale of five corrugated packaging facilities in Europe. The facilities include three plants in Normandy, France — box plants in Saint-Amand and Mortagne, and a sheet plant in Cabourg — as well as two additional plants in Ovar, Portugal, and Bilbao, Spain.

The divestment is part of International Paper’s regulatory obligations tied to its acquisition of DS Smith, a transaction that significantly expanded the company’s European market presence but required certain asset sales to satisfy competition authorities.

As International Paper continues to balance its international portfolio, the investment in the Iowa facility highlights the company’s focus on strengthening its U.S. operations, particularly in sectors such as protein packaging, where demand for customized and sustainable solutions is on the rise.

“International Paper begins construction of packaging plant in Iowa” was originally created and published by Packaging Gateway, a GlobalData-owned brand.

Originally reported by Global Data in Yahoo Finance.