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Major European Tissue Paper Maker Continues U.S. Expansion
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Sofidel is one of the largest manufacturers of paper products in the world, but it’s primarily known in Europe, specifically in Italy, where the company is based. However, the toilet tissue and paper towel producer is making major moves in the U.S., where market leaders like Kimberly-Clark, Procter & Gamble, and Georgia-Pacific dominate. Last October, Sofidel announced plans for a major U.S. expansion to meet growing demand, particularly in the south. The company knew it was going to expand capacity at one of its 14 production sites in the U.S.— it just didn't know which one. Most Read in Manufacturing Hyundai Halts Palisade SUV Sales After Fatal Power Seat Incident Volvo to Close 40-Year-Old Business, Cites Rising Supply Chain Costs New Ferrari Has Old Mazda's Name, Setting Up Trademark Battle Podcast: Seafood Robots; Yamaha Leaves CA; Honda Kills 3 EVs About two weeks ago, the Lucca, Italy-based company behind the Regina and KittenSoft brands finally made a decision, and it includes state-of-the-art equipment and a near-billion-dollar investment at the company's integrated facility in Inola, Oklahoma. Sofidel is constructing a new facility to install a 75,000-metric-ton Valmet TAD (Through-Air-Dried) paper machine, along with related converting lines, to make finished products. Valmet has been designing and manufacturing these machines for the tissue industry for about 40 years, and has partnered with Sofidel for 30 of those years. According to the company, these machines can produce a high-quality product while using less fiber than any other process on the market. The Oklahoma project also includes expanding the pulp and parent reel warehouse and constructing a fully automated finished goods warehouse with 100,000 pallet positions. The finished goods warehouse will install E80 Group technology, an automated intralogistics solution typically used by CPG companies for end-to-end automation. For example, laser-guided vehicles (LGVs) will transport parent reels from the paper machine to the warehouse, and an automated loading system will be connected directly to the automated finished goods warehouse. The new buildings will add some 1,000,000 square feet in Inola, and the total investment will reach $775 million. Sofidel expects the new machine to come online in Q2 2028. In just 10 years, Sofidel has become the fourth-largest tissue producer in the North American market, which today accounts for 50% of the company’s total revenue. It also holds a leadership position in the private label segment. Sofidel has made some aggressive moves in the U.S., including the recent acquisition of Clearwater Paper’s tissue division, which includes four facilities in North Carolina, Idaho, Nevada, and Illinois, as well as four Royal Paper facilities in Arizona and South Carolina. The company also expanded existing facilities in Duluth, Minnesota and Circleville, Ohio. Click here to subscribe to IEN's daily newsletter for manufacturing news you won't read anywhere else.