planning to invest $20m to construct a new high-speed composite can production facility in near Kuala Lampur, Malaysia, to produce packaging for snacks.The company is set to add three high-speed composite can production lines, in addition to two metal end presses. An extrusion laminator is also expected to be deployed at the company's flexible packaging facility in Kajang, Selangor Darul Eshan, Malaysia, for the production of can liners.
Expected to be installed in the third quarter of 2014, the first can line will commence commercial production in Q1 2015.
All three lines, along with the metal end presses and the extrusion laminator are expected to begin operations by the end of 2015.
Once fully operational, the new Sonoco facility will employ about 110 workers.
Speaking to shareholders, Sonoco president and chief executive officer Jack Sanders said, "Continued growth for packaged snacks in Southeast Asia requires that we build our third composite can plant in Malaysia. The new facility will be located on our customer's new manufacturing complex and will more than triple our current can production capacity in Malaysia."
