Greif to close Sweetwater Mill, exits coated recycled paperboard sector

USA – Greif has announced plans to withdraw from coated recycled paperboard by shutting its Sweetwater paperboard facility in Austell, Georgia, with operations due to end before the close of the calendar year.

Around 90 employees are expected to be affected by the closure. 

The company said it would offer severance arrangements, career transition assistance and additional support for those impacted. 

Ole Rosgaard, president and chief executive of Greif, said the decision was difficult because of the impact on colleagues, their families and the surrounding community. 

He added that the Sweetwater team had worked hard to serve customers and improve mill performance, expressing gratitude for their commitment, professionalism and contributions to the company.

Facility Removed from Capacity at 120,000 Tonnes Annually

Sweetwater manufactures coated recycled paperboard, uncoated recycled paperboard and paper used for gypsum facing and backing. 

Greif attributed the decision to the site’s operating setup, its limited connection to the rest of the company’s network and an unfavourable cost position. 

According to the company, these factors made it difficult to build a sustainable competitive footing. 

Once closed, the facility’s output of approximately 120,000 tonnes per year will be removed from capacity.

URB Customers to Be Supplied Through Wider Network

Greif said it is engaging with uncoated recycled paperboard customers to manage the changeover, aiming to continue supplying them through its wider North American URB mill system. 

Gaylord Benner, senior vice-president and general manager of sustainable fibre solutions at Greif, said closing Sweetwater would strengthen the overall performance of the mill network, while investments in the URB network would direct capital toward assets well positioned to serve customers and support profitable growth.

Price Increases Announced Across URB Grades

Separately, the company raised prices in June for all URB grades by US$60 per short tonne. It also said tube, core and protective packaging items would rise by at least 6.5 percent. 

The URB pricing change applied to new orders and deliveries from 6 July 2026. 

The exit from coated recycled paperboard reflects a broader trend in the paper packaging sector, where producers are consolidating around core product lines to improve returns amid volatile input costs and shifting demand from brand owners. 

Coated recycled paperboard has faced particular pressure as folding carton demand evolves and competition intensifies from alternative substrates. 

Greif’s decision directs capital toward uncoated grades where it holds stronger market positioning and expects more durable margins.

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