Sonoco, the largest US manufacturer of high density polyethylene (HDPE) bags for the grocery, retail and convenience store industries, has announced that it will close its bag plant in Santa Maria, California, and consolidate those operations into lower-cost facilities.
The plant, which employs some 95 people, is expected to close in June this year. Some of the staff will transfer to other Sonoco facilities in Texas, Indiana, North Carolina, Pennsylvania and South Carolina.
Harry J. Moran, executive vice president, said: "This action is part of the company's ongoing manufacturing productivity and quality improvements, to ensure the company's ability to maintain its leadership position and continue meeting the needs of its customers."
Rex E. Varn, division vice president and general manager of the group's high density film products unit, added: "Closing a plant is never easy. However, this action is necessary to continue providing the highest level of quality, service and innovation, as well as to grow our position in the very competitive bag business."