Rexam to build new can plant in Brazil

Rexam has announced that it will build a new beverage can plant close to the city of Belem, Northern Brazil.

The plant will have a capacity of 1.2 billion cans and is expected to be operational by mid 2012. Rexam’s total can capacity in Brazil will increase from 11 billion at the beginning of 2011 to 14 billion by the end of 2012.

At the start of 2011, Rexam announced that it had signed a long-term contract with its largest customer in Brazil which underpins returns on current and future capital investment plans. The new plant is included in these plans.

Rexam recently announced plans to build a second can line at its Pouso Alegre plant in Brazil. Additionally, the company is speeding up lines in its Jacarei and Recife plants.

The building of the new plant will allow Rexam to meet growing customer demand in the coming years and to optimise logistics. The north and north east of Brazil have about a third of the country’s population and are the fastest growing regions in the country. Around a third of new investments by Rexam’s Brazilian customers are concentrated to these regions.

Crown and Ball have both recently announced plans to expand beverage can capacity within Brazil.

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