Amcor closing Neumunster plant, opening one in East Java

Australia-based packaging solutions provider Amcor announced that due to an overcapacity in Western Europe, its tobacco packaging unit in Neumunster, Germany, will close by December 31, 2014.

The company also announced its plans to build a new tobacco packaging plant in East Java, Indonesia, which is expected to be fully operational by late 2015 to support “growth of its customers in emerging growth markets.”

Production of the Neumunster operation will be transferred to other Amcor sites across Western Europe. It also established measures to “provide appropriate compensation and outplacement services” for its employees, it said.