International Paper to Close Four North American Packaging Facilities

International Paper has announced plans to shutter four packaging facilities across North America by the end of the third quarter of 2026 as part of a strategic network optimization. The closures include sites in Kentucky, Illinois, California, and New Jersey, targeting a shift toward higher-value operations and improved cost positioning. This move reflects a broader industry trend of consolidation aimed at increasing efficiency and capacity utilization within the fiber-based packaging sector.

International Paper (IP) will cease operations at four specific locations to streamline its North American footprint. The affected sites include a preprint facility in Richwood, Kentucky; a sheet plant in Aurora, Illinois; and two converting plants located in Elk Grove, California, and Barrington, New Jersey. According to the company, these closures are scheduled for completion by the end of the third quarter of 2026. The initiative is designed to strengthen IP’s cost position and allow for targeted investment in facilities that offer greater long-term value and efficiency.

The decision is part of a broader strategic transformation program intended to optimize the company’s packaging network and improve service for its diverse customer base. As one of the world’s largest producers of fiber-based packaging and corrugated solutions, IP serves critical sectors including food and beverage, consumer goods, and e-commerce. To minimize disruption, the company stated it intends to transition affected customers to other facilities within their respective regions, ensuring continuity of supply while supporting employees through the transition period.

This restructuring highlights a significant trend in the packaging industry where major manufacturers are consolidating operations into larger, more efficient sites to enhance profitability. For stakeholders such as food manufacturers and private label producers, these network changes can influence regional supply dynamics, production planning, and lead times. The move signals ongoing efforts across the North American packaging sector to focus on capacity utilization and long-term competitiveness in response to evolving demand patterns.