Sonoco Expands Wood Reels Manufacturing and Assembly Capacity to Meet Growing Market Demand
Rhea-AI Summary
Sonoco (NYSE: SON) announced further investment to expand its Wood Reels manufacturing and assembly footprint to serve rising power and communications cable packaging demand linked to AI data center growth and power grid modernization. Since 2024, including planned 2026 spending, Sonoco has invested just over $25 million in this business.
According to Sonoco, these investments have increased Wood Reels manufacturing capacity and footprint by more than 30% across its Hartselle, Alabama and Jefferson, Texas sites. The Hartselle project adds roughly 15% nailed wood manufacturing capacity and about 33% more floorspace, alongside upgraded inspection systems and advanced technology. Sonoco supplies components to a network of 22 U.S. assembly centers located near customers, and reported $7.5 billion in 2025 net sales from continuing operations.
Positive
- $25 million invested in Wood Reels capacity since 2024, including planned 2026 spend
- 30%+ increase in Wood Reels manufacturing capacity and footprint at Hartselle and Jefferson sites
- 15% incremental nailed wood manufacturing capacity and 33% more floorspace at Hartselle
- 22 U.S. assembly centers enable faster response times and lower logistics costs
- $7.5 billion 2025 net sales from continuing operations with a global production footprint
Negative
- None.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jul 22 | Earnings report | Positive | +2.1% | Adjusted earnings increased and full-year 2026 guidance was reaffirmed. |
| Jul 15 | Dividend declaration | Positive | +1.0% | Quarterly dividend declaration extended the annual increase streak. |
| Jun 22 | Earnings scheduling | Neutral | -0.4% | The company scheduled its second-quarter 2026 results release and conference call. |
| Jun 09 | Corporate recognition | Positive | +4.8% | Sonoco returned to the FORTUNE 500 based on 2025 sales. |
| Jun 08 | Price increase | Positive | +0.3% | The company announced recycled paperboard and converted product price increases. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Across five recent events, four positive announcements aligned with positive reactions, while the earnings-date notice diverged.
AI-generated analysis. How Rhea-AI works. Not financial advice.
HARTSVILLE, S.C., July 30, 2026 (GLOBE NEWSWIRE) -- Sonoco Products Company (NYSE: SON), a global leader in high-value sustainable metal and paper packaging, today announced continued investment to expand its Wood Reels manufacturing and assembly footprint to meet a surge in demand for power and communications cable packaging driven by AI data center growth and power grid modernization.
Since 2024 (including planned 2026 expenditure), Sonoco has invested just over
“These investments strengthen our ability to deliver reliable, local service to customers across key growth markets while improving manufacturing quality and capacity,” said James Harrell, President of Sonoco Global Industrial Paper Packaging.
The Hartselle expansion will add roughly
Sonoco ships manufactured reel components to a nationwide network of assembly centers where reels are assembled and shipped to customers. Today, the Company operates 22 assembly centers across the country located close to customers, enabling faster response times and lower logistics costs as customer requirements grow.
About Sonoco
Founded in 1899, Sonoco (NYSE: SON) is a global leader in value-added, sustainable metal and paper consumer and industrial packaging. As a member of the Fortune 500, the Company had net sales of
| Contact: | Roger Schrum |
| 843-339-6018 | |
| roger.schrum@sonoco.com | |
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/8d820ded-898c-49e2-ae4f-1f2271675ab4
