PPG to Expand Coatings Manufacturing Capacity in Europe for Packaging Applications

Rhea-AI Summary

PPG (NYSE: PPG) has announced an expansion of its coatings manufacturing capacity in Europe to meet growing customer demand for aluminum and steel can coatings. Investments will enhance production at facilities in The Netherlands and Poland, including a 30% increase in capacity for PPG INNOVEL^® non-BPA coatings in Tiel, expected to complete by Q1 2022. Additionally, the Cieszyn plant in Poland will double its capacity for PPG NUTRISHIELD^™ coatings by Q3 2021. These expansions follow previous growth initiatives and demonstrate PPG's commitment to innovative packaging solutions.

Positive

• 30% increase in capacity for PPG INNOVEL^® coatings in The Netherlands.
• Doubling of capacity for PPG NUTRISHIELD^™ coatings in Poland.
• Demonstrates long-term commitment to packaging customers in Europe.
• Follows previous successful expansions, indicating strong demand.

Negative

• None.

PPG (NYSE: PPG) today announced an expansion of its coatings manufacturing capacity in Europe for packaging applications. The investments at sites in The Netherlands and Poland will support growing customer demand in the region for the latest generation of coatings for aluminum and steel cans used in packaging for beverage, food and personal care items. Financial details related to the expansions were not disclosed.

The projects include a further expansion of the company’s location in Tiel, The Netherlands, which will increase the plant’s production capacity for PPG INNOVEL^® non-BPA internal coatings for beverage cans by 30%. Expected to be completed in the first quarter of 2022, the project follows a 50% expansion completed at the end of 2020. The Tiel plant also will double its production capacity for PPG iSENSE^® external coatings that are used for the exterior of metal cans for beverage and personal care packaging. That project is expected to be completed by the end of 2021.

PPG Innovel is the most widely used, non-BPA internal beverage can spray technology in the world, providing flavor-neutral properties and suitability for a broad range of filling products. PPG iSense specialty overvarnish coatings offer differentiating sensory surface effects for can exteriors, including textured finishes that help brands stand out on increasingly crowded store shelves.

PPG also will double capacity at its Cieszyn, Poland, plant to support the growth of the PPG NUTRISHIELD^™ line of non-BPA, internal, food can coatings. The project is expected to be completed by the end of the third quarter of 2021.

“These investments demonstrate our long-term commitment to support our packaging customers across Europe and beyond,” said Alessandro Borzino, PPG general manager, packaging coatings, Europe, Middle East and Africa. “They will improve our ability to efficiently supply the innovative coatings solutions that canmakers and brands trust.”

These latest investments follow a project completed last year to expand packaging coatings capacity at the company’s Bodelshausen, Germany site. That project doubled production capacity for white lacquers that are used on the external surface of personal care and caps and closures packaging. The research and development (R&D) facility at the site has also been expanded and now represents the company’s European R&D packaging center of excellence. Its official inauguration will be later this year.

“We are dedicated to delivering novel and breakthrough technologies to exceed our customers’ expectations,” said Borzino. “Through our commitment to innovation and dedication to quality and high-performance products, PPG provides increased value for brand owners and operational advantages to manufacturers.”

To learn more about PPG’s packaging coatings, visit www.packagingcoatings.com.

PPG: WE PROTECT AND BEAUTIFY THE WORLD™
At PPG (NYSE:PPG), we work every day to develop and deliver the paints, coatings and materials that our customers have trusted for more than 135 years. Through dedication and creativity, we solve our customers’ biggest challenges, collaborating closely to find the right path forward. With headquarters in Pittsburgh, we operate and innovate in more than 70 countries and reported net sales of $13.8 billion in 2020. We serve customers in construction, consumer products, industrial and transportation markets and aftermarkets. To learn more, visit www.ppg.com.

We protect and beautify the world is a trademark and iSense, Innovel, Nutrishield and the PPG Logo are registered trademarks of PPG Industries Ohio, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210617005678/en/

FAQ

What is the significance of PPG's recent expansion in Europe?

PPG's expansion aims to increase manufacturing capacity for coatings used in packaging, responding to rising customer demand in Europe.

When will the new capacity for PPG INNOVEL^® coatings be operational?

The capacity increase for PPG INNOVEL^® coatings in The Netherlands is expected to be completed by the first quarter of 2022.

What changes are being made at PPG's Cieszyn plant in Poland?

PPG plans to double the capacity for its PPG NUTRISHIELD^™ line of coatings at the Cieszyn plant by the end of the third quarter of 2021.

How do PPG's expansions affect its market position?

These expansions position PPG to better meet growing customer needs in the packaging industry, enhancing its competitive edge.

What products are being focused on in PPG's European expansion?

The focus is on non-BPA internal coatings for beverage cans and specialty coatings for food can applications.