Sonoco will invest USD 40 million over two years to modernize its Richmond, Virginia paperboard mill. The project will improve quality and efficiency, add about 9,000 tons of annual capacity, and support growing demand for recycled paperboard packaging.
4 Oct 2026
Sonoco Products Company has announced a USD 40 million investment to modernize and expand production at its Richmond, Virginia paperboard mill. The two-year project, expected to begin in early 2027, is designed to strengthen the company’s uncoated recycled paperboard (URB) operations and support long-term growth. The first phase will focus on improving sheet formation, profile control, density, and cleanliness, while expanding production capability. A second phase, scheduled for completion by the end of 2028, will upgrade pulping operations, water systems, automation, and employee facilities.
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The upgrade will increase the mill’s annual production capacity by approximately 9,000 tons while improving product quality, operating efficiency, and manufacturing capabilities. Richmond is a key part of Sonoco’s integrated URB system, supplying paperboard for the company’s paper can packaging and producing lightweight Tan Bending Chip (TBC) grades for a wide range of customers.
“Richmond has long played an important role in supporting our Consumer and Industrial packaging businesses with quality paperboard that delivers value to our customers,” said Howard Coker, Sonoco’s President and Chief Executive Officer. “This investment demonstrates our commitment to strengthening Sonoco’s paperboard system through targeted, high-return projects.”
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Sonoco said construction will cause minimal disruption, allowing the Richmond mill to maintain its current annual output of about 120,000 tons throughout the project. The company operates 10 URB mills and 16 paper machines across the United States and Canada, producing roughly 1.2 million tons of paperboard annually.
