Business

Graphic Packaging International is to invest $27m (£13.5m) in expanding its folding carton operation in Michigan, which will create 160 jobs.

The US paperboard packaging manufacturer produces folding cartons for a variety of food, beverage and consumer products at its plant in Kalamazoo, Michigan. There is also a coated-recycled paperboard mill on the site, which has a total workforce of more than 500.

The firm has been awarded tax credits from the State of Michigan and the City of Kalamazoo to assist with funding for the expansion.

Graphic Packaging chief executive David Scheible said the expansion would enable the firm to grow the Kalamazoo operations into a "more efficient and productive manufacturing centre".

The firm has announced price increases for its recycled boards and coated unbleached kraft paperboards, which come into force at the end of this month.

Graphic Packaging merged last year with Chicago-based Altivity Packaging and together the firms employ 15,600 staff and run 86 facilities worldwide, including 47 folding carton plants, 12 multi-wall and speciality bag facilities, 10 paperboard mills, six flexible packaging plants and three packaging machinery manufacturing factories.