MM’s Romania packaging plant to start production in October with 2027 earnings target

ROMANIA – Mayr-Melnhof’s packaging production expansion in Romania remains on schedule for commercial production in October 2026, with the investment expected to contribute to group earnings from 2027 as the company focuses on fibre-based alternatives to plastic packaging.

The project, part of MM’s growth investments within its Food & Premium Packaging division, comes amid a challenging market environment with sluggish demand for folding cartons in the first half of 2026. 

MM’s expansion investments in both Romania and the USA are proceeding according to plan, with the company confirming they are scheduled to contribute to group earnings from 2027 onwards. 

The group has not disclosed the investment volume or additional production capacities.

Weak Demand and Competitive Pressures

MM describes demand for folding cartons in the first half of 2026 as sluggish, with competition remaining intense in most end markets. 

Towards the end of the second quarter, the order situation improved slightly in selected markets. 

In the Food & Premium Packaging division, revenue fell on a comparable basis, excluding the divested Tann group, by 5.6 percent to €684 million. 

The volume produced decreased by 7.1 percent to 1.019 billion square metres. By contrast, adjusted EBITDA rose slightly by 0.9 percent to €97.9 million (US$109.6 million), with the corresponding margin increasing from 13.4 to 14.3 percent. 

MM attributes this development to process improvements, fixed cost reductions and lower cartonboard costs. 

Sustainability Focus and Future Outlook

According to the company, the division’s innovation activities continue to focus on sustainable packaging solutions, particularly replacing plastic packaging with fibre-based alternatives. 

The expansion in Romania aligns with MM’s strategy to meet growing demand for sustainable packaging while positioning the group for future growth. 

The group confirms that the expansion investments in Romania and the USA are proceeding according to plan and are scheduled to contribute to the group’s earnings from 2027 onwards. 

Mayr-Melnhof is a leading European producer of cartonboard and folding cartons, with a global network of production sites serving food, pharmaceutical and consumer goods sectors.

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