Finnish sustainable packaging solution provider, Huhtamaki has acquired the assets of China-based food-contact paper product manufacturer, Jiangsu Hihio-Art Packaging at an investment of US$32.5 million.
According to a statement by Huhtamaki, “This acquisition strengthens our position as the leading foodservice packaging provider in Asia and expands our product portfolio, allowing us to better serve both existing and new customers in China.”
Jiangsu Hihio-Art Packaging specialises in paper bags, wraps and folding carton packaging. The products are produced in an environmentally and socially responsible manner and are used by international quick-service restaurants and national bakery chains.
The acquisition will also contribute to Huhtamaki’s commitment to making all its products recyclable, compostable or reusable by 2030. It also aims to achieve carbon-neutral production.
In 2020, Jiangsu Hihio-Art reported almost US$24 million) in annual net sales. With the acquisition, it will come under the control of Huhtamaki’s Foodservice Europe-Asia-Oceania division. Huhtamaki currently has 4 production facilities in Guangzhou, Shanghai, Tianjin and Xuzhou in China. Globally, Huhtamaki has more than 81 production sites in 36 countries with total net sales of US$3.88 billion in 2020.
