Amcor Rigid Plastics to close PET preform factory at the end of the year

By Jenny Eagle contact

- Last updated on GMT

Amcor has announced job losses amid closure of its Ohio plant.
Amcor has announced job losses amid closure of its Ohio plant.

Related tags: Amcor rigid plastics, Polyethylene terephthalate, Plastic

Amcor Rigid Plastics will close a factory that makes PET (polyethylene terephthalate) preforms for beverage containers and other applications, at the end of December.

The closure in Dayton, Ohio, US, will affect 86 employees with the potential to relocate to the company’s other sites.

Transport costs

Preform injection molding operations will be transferred to other plants which are closer to customers, to save on transportation costs, the firm said.

Larry Weber, VP/GM, beverage business unit, Amcor, said it will move its Dayton plant equipment and production over the next few weeks.

It said the decision to close the site was part of a ‘strategic evaluation of the location as well as the rest of the company’s manufacturing operations in the US’.

We don’t take this decision lightly but after careful review it is clear this move will improve our level of service to existing customers and ensure future growth options​,” he said.

The news is a surprise for some after Amcor paid $55m to buy the plant​ (formerly Encon) last year.

In other news, Amcor Flexibles said 74 jobs will go at Workington Packaging plant, Cumbria, UK, as part of a plan to overhaul the business.

Cumbria job losses

In a statement the company announced its "intention to restructure AF Cumbria and convert it into a healthy platform for growth serving the UK Snacks & Confectionery market with Short-Run and long-Run Flexo, as well as Extrusion capabilities​."

It said 74 positions out of a total of 360 would be at risk because of the restructuring.

"With the implementation of these changes we would strengthen the ability of the business to return to being one of the UK’s premier packaging plants​,” said Angela Gibbs, plant general manager, Amcor Flexibles Cumbria.

We do regret what would be unavoidable job losses at our site, and the impact on those who leave us and their families.

We intend to do what we can to mitigate the impact by providing fair and reasonable severance benefits, including support and assistance to help prepare people for their job search​."

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