DS Smith invests €13 million in innovative packaging solutions and significant production boost in Romania

Leading sustainable solutions provider DS Smith Packaging, is increasing its innovation footprint in the Romanian market with an investment of over €13million in its Ghimbav production site. Work at Ghimbav is expected to be completed by the end of 2023, and will support customers’ sustainability goals as well reducing carbon emissions on site.

This investment will support ongoing plastic replacement with customers, increase capacity by over 20%, and significantly boost productivity. With a continued focus on innovation, the investment will further differentiate DS Smith in the market by supporting customers to reach environmental targets. The investment is part of DS Smith Packaging’s ambitious growth strategy in East Europe, driving leadership in sustainable packaging solutions across the region while creating value for its customers and partners.

In line with DS Smith’s commitment to sustainability this strategic investment will support the company’s goal to meet Net Zero emissions by 2050. The upgrades at Ghimbav will reduce the site’s gas consumption by 12% and cut its carbon emissions by 210 tonnes CO2 per year through the introduction of a steam optimization feature to the cardboard production machine. Furthermore, the installation of a new LED Lighting system, part of the DS Smith’s Group-wide rollout, will contribute to the business’ target to reduce carbon emissions by 46% by 2030. DS Smith has also introduced advanced waste management technologies that reduce electrical consumption by around 10% on site.

“The €13 million strategic investment reflects DS Smith’s commitment to grow innovative paper-based packaging solutions on the Romanian market. With 56% of consumers actively seeking reduced plastic usage, we will be able to better support our customers to deliver on their sustainability demands. It will also further decarbonize operations and accelerate circular solutions, supporting our ambition to develop sustainable packaging solutions,” said Reinier Schlatmann, Regional Managing Director, DS Smith Packaging East Europe.

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The investment will include the installation of cutting-edge machinery that will increase production capacity by over 20% and introduce advanced technological capabilities such as 7-color HD Flexo printing and precision die-cutting. These technical advancements will further strengthen DS Smith’s portfolio in the Romanian market and support customers to achieve their environmental targets and optimize costs.

“We’re thrilled about the significant investment which is enhancing our machinery capabilities and production capacity. These enhancements empower our team to deliver innovative packaging designs, improve quality control that minimizes waste, and deliver state-of-the-art graphics. The advanced technologies also allow us to address challenging sustainability requirements effectively,” declared Christian Schmidt, Managing Director DS Smith Packaging Romania.

The upgraded production and warehousing layout enhance manufacturing efficiency, aligning with local and European sustainability trends. This effort contributes to the CO2 emissions reduction goals defined in DS Smith’s Now & Next Sustainability strategy.

All the technological upgrades will be completed by end of 2023.