UAE-based Hotpack to set up $100m US facility
UAE-based Hotpack has announced a major step in its international expansion strategy with a $100 million investment to establish a new manufacturing and distribution facility in Edison, New Jersey, US.
This project marks Hotpack's first production base in North America, reflecting its commitment to delivering tailored packaging solutions and strengthening supply chains to meet the evolving needs of its growing customer base in the United States, in alignment with the company's 2030 Vision for international growth.
The state-of-the-art facility will span 70,000 sq ft, with operations set to commence in June 2025. As part of the first phase, the project will create 200 new jobs in the region over five years. The plant will focus on the customisation of cups, containers, and clamshells made from both plastic and paper and promises to generate further employment as it scales.
This strategic investment not only strengthens Hotpack's ability to serve its US clientele with greater efficiency and flexibility but also reinforces its long-term commitment to innovation and sustainability in the global packaging industry, the company said.
New Jersey Governor Phil Murphy, who was in Dubai leading the New Jersey economic mission to the Gulf Arab States, welcomed the announcement.
'Hotpack's decision to expand its presence in New Jersey is a powerful endorsement of our state's strategic location, skilled workforce, and robust infrastructure,' said Governor Murphy.
'With this announcement, New Jersey continues to prove itself as a top destination for global companies looking to grow and innovate in the United States.'
Abdul Jebbar PB, Group CEO & Managing Director of Hotpack, said: 'We are proud to establish a manufacturing presence in New Jersey as this expansion marks a significant milestone for the company. This investment reflects our dedication to better serving our clients in the US market and contributes to the local economy through job creation and advanced manufacturing capabilities.'
'The New Jersey expansion is the latest in a series of investments we have made to scale our international footprint. As part of our strategic international expansions, we have made significant investments in different countries, which includes investment in 2022 for a biodegradable packaging facility in Malaysia, expansion of manufacturing facilities in Saudi Arabia and our dedicated paper products manufacturing facility in India has been fully functional since 2023, further underlining our role in supporting regional and global markets,' he added.
Zainudeen PB, Group COO & Executive Director of Hotpack, added: 'Our New Jersey facility will be equipped with the latest advancements in packaging technology. This facility will serve as a strategic hub for producing bespoke plastic packaging solutions tailored to the unique needs of our clients across diverse industries. With a strong focus on enabling brand customisation, Hotpack will offer precision-crafted products that not only meet the highest standards of quality and functionality but also serve as powerful branding tools for businesses looking to elevate their presence in the market.'
'Hotpack is actively collaborating with local authorities in New Jersey to ensure the smooth and timely establishment of the facility, which is expected to become operational by mid-2025. The new site is designed to strengthen our global supply chain and provide localised support to customers in one of the world's largest packaging markets,' he further said. – TradeArabia News Service
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