Amcor Tobacco Packaging will close the German plant in Neumünster by the end of 2014, but announced to build a greenfield tobacco packaging facility in Indonesia.
In response to the persistent fall in demand for cigarette packaging in Western Europe, Amcor Tobacco Packaging will eliminate excess capacity in gravure printing and has announced plans to close its operation in Neumünster, Germany.
Amcor expects the closure process to take place over the course of four months with final closure anticipated on or before December 31, 2014. Production will be transferred to other Amcor Tobacco Packaging sites across Western Europe.
Amcor Tobacco Packaging also announced to "actively support growth of its customers in emerging growth markets". Therefore the company will build a new tobacco packaging facility in East Java, Indonesia, the third largest tobacco market in the world and the second largest market in Asia. The plant is expected to be fully operational by late 2015. Amcor will be the first international tobacco packaging player to establish a manufacturing presence in Indonesia.
In addition to serving the Indonesian market, this plant will also produce for export markets, offering in-line flatbed, rotary gravure, and off-line capabilities to Asian customers.
Amcor Tobacco Packaging claims to be the world leader in tobacco packaging and specialty packaging markets. The business employs more than 4,000 staff and operates 23 plants in 19 countries.