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American Packaging Corporation adding new plant and jobs in Cedar City

Cedar City — The Utah Governor’s Office of Economic Opportunity is pleased to announce that American Packaging Corporation (APC) will open a new manufacturing plant in Cedar City, adding 135 or more new high-paying Utah jobs in the next 10 years.

“This expansion is a big win for Cedar City, and the number of jobs it will provide will benefit Utahns,” says Dan Hemmert, the Office of Economic Opportunity’s executive director. “As Southern Utah continues to grow, we’re pleased companies are choosing to expand and grow in the area to provide jobs and enhanced quality of life for those residents.”

American Packaging is a family-owned company that produces flexible packaging covering various food, personal care, medical, pharmaceutical, and industrial products. The company develops and supplies flexible packaging for customers throughout the United States and Canada. American Packaging has a network of five production facilities and two innovation centers. Food and healthcare are its primary market categories.

“We’re thrilled with the opportunity to expand our footprint in the West and partner with the people of Cedar City to offer our state-of-the-art printing capabilities,” says Jeff Koch, president of American Packaging Corporation. “This new location enables us to be closer to and collaborate directly with customers in the western United States. Our facility will include world-class print media technologies to support customers’ unique packaging needs and deliver final products that distinctly stand out on the shelf.”

American Packaging may earn up to 25 percent of the new state taxes it will pay over the 10-year life of the agreement in the form of a Utah Legislature-authorized Economic Development Tax Increment Finance (EDTIF) tax credit. The Go Utah Board has approved a post-performance tax credit not to exceed $661,260. Each year American Packaging meets the criteria in its contract with the state, it will earn a portion of the total tax credit. 

The Board also approved an Industrial Assistance Fund Economic Opportunity Grant for up to $75,000 for infrastructure-related expenses. The grant will provide infrastructure support for the American Packaging site and help create better access to the area.

“American Packaging Corporation sees robust potential for their company in Cedar City and is confident with investing there given the infrastructure and workforce present in the community,” says Theresa A. Foxley, president and CEO of the Economic Development Corporation of Utah (EDCUtah). “Iron County will serve as a strategic logistical location for the company, providing excellent access to raw material and customers across the West.”

“We couldn’t be more thrilled to have American Packaging Corporation choose to bring their company to Cedar City,” says Maile Wilson Edwards, Cedar City Mayor. “I’ve gotten to know the company’s president over the past few months, and I’ve learned how perfectly APC and Cedar City fit together. We share similar values and cultures, and we appreciate the importance of treating customers and employees like family. We’re so pleased to welcome this company to our community.”

State of Utah Tax Credit Projections by the Numbers
Timeline:                                             10 years
Capital investment:                             $126.8 million
Jobs:                                                   135
Wages:                                               $32,277,881
Tax revenue:                                       $2,945,042
EDTIF new state taxes:                      25%
EDTIF amount:                                   $661,260

“American Packaging Corporation is well known as one of the very best packaging manufacturers in the country,” says Danny Stewart, Cedar City – Iron County economic development director. “We’re truly excited that they’ve selected Cedar City as their first Western location, and we can’t wait to help them succeed here.” 

About Utah Corporate Incentives

The Utah Legislature has authorized economic development incentives in the form of post-performance tax credits. Eligible companies work with the Utah Governor’s Office of Economic Opportunity to outline specific performance criteria. Once the office confirms those criteria have been met, according to statute (U.C.A. 63N-2-106(2)), companies can receive a refund of up to 30 percent of the state taxes they paid for up to 20 years. The contract with the state is post-performance; it only provides a state tax credit if the company meets its obligations.

About the Utah Governor’s Office of Economic Opportunity

Under Gov. Spencer J. Cox’s direction, the Utah Governor’s Office of Economic Opportunity (Go Utah) provides resources and support for business creation, growth, and recruitment. It also drives increased tourism, film production, outdoor recreation, and mixed martial arts in Utah. Utilizing state resources and private sector contracts, the office administers programs in economic areas that demonstrate the highest potential for development and the most opportunity for Utahns. Learn more at business.utah.gov or by calling (801) 538-8680.

About American Packaging Corporation

Founded in 1902, American Packaging Corporation is a recognized leader in the flexible packaging industry. Independently owned, APC is committed to innovation, sustainability, and customer delight from a talented family of packaging professionals. Today, APC operates five Centers of Excellence in the United States and employs approximately 1,200 talented, motivated professionals, including nationwide sales reps and field technical support. For more information, please visit americanpackaging.com