KLW Plastics adding Atlanta plant, boosting use of post-consumer HDPE

Published: September 13, 2012 6:00 am ET

KLW says its containers with 60 percent recycled content take less energy to make and weigh less than similar containers. (KLW Plastics Inc. photo)

Related to this story

Topics Packaging, Sustainability, Blow Molding, Recycling

MONROE, OHIO (Sept. 13, 2:15 p.m. ET) — KLW Plastics Inc. is opening a plant in Atlanta to expand the company’s geographic footprint and boost production of tight-head containers made from post-consumer resin.

The Monroe, Ohio-based blow molder has developed a multilayer tight-head container made with 60 percent post-consumer resin. It’s the first container on the market to contain post-consumer resin and earn Department of Transportation approval for shipping hazardous or regulated materials, said KLW President Mike Legeza by phone.

The containers also are 10-15 percent lighter and take about 18 percent less energy to produce. Despite the material reduction, the containers feature consistent thickness and meet full United Nations standards, according to KLW.

The containers will help KLW customers reduce their carbon footprint and meet sustainability requirements, Legeza said.

“We see sustainability as essential; it’s not going anywhere,” he added.

The containers are made with a specialized high density polyethylene from Nova Chemicals Corp. and specific regrind acquired from KLW customers in a closed-loop system, a combination that can be more costly but prevents the containers from leaking, Legeza said.

KLW manufactures containers using Kautex shuttle blow molding machines. Its production lines are highly efficient — they can produce about two containers every 35-48 seconds — offer rapid color changes and feature numerous in-line quality checks, Legeza said.

The company invests about $2.5 million to $3 million on each line, he added. “We don’t cut corners here. We truly invest a lot of money in the technology side.”

The 50,000-square-foot Atlanta plant will open Sept. 19. Production will begin with a single line, largely producing containers from virgin resin, but KLW has plans to add a second line soon. That line will focus on PCR containers, Legeza said.

The Atlanta plant will have 25-30 employees.

KLW also operates plants in Houston and Monroe. The company serves the industrial market and largely manufactures 3.5 to 7 gallon tight-head containers, but does work with customers on proprietary projects, said Tom Gruber, KLW’s national sales manager.

In the next year or two, KLW plans to open an additional plant in the Northeastern US, likely in Allentown, Pa., Legeza said. Having smaller, strategically-placed plants allows KLW to offer customers rapid shipping and better customer service, he added.

“Our idea is to be advanced as we can and set good ways to doing business in an industry that is very stagnant,” he said. “We’re trying to make waves.”

The company, founded in 2005, had $25 million in sales in 2012, according to the most recent Plastics News survey of North American blowmolders.

KLW is owned by private investment firm KODA Enterprises Group.


Comments

KLW Plastics adding Atlanta plant, boosting use of post-consumer HDPE

Published: September 13, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Coca-Cola sustainability report highlights PlantBottle usage

October 1, 2014 12:47 pm ET

Coca-Cola Co. has now distributed more than 25 billion PlantBottles since their introduction five years ago.    More

Image

OptiLedge taking Ikea's pallet replacement system to the next level

October 1, 2014 11:49 am ET

OptiLedge LLC is taking Ikea's plastic alternative to the traditional wooden pallet to the next level, making and marketing them globally.    More

Image

Blow molding machinery maker opens first plant in Taiwan

October 1, 2014 1:27 pm ET

Taiwanese equipment maker Kin Precision Industry Co. Ltd. has opened a 2,000-square-meter, 25-employee factory in Taichung, Taiwan, with an eye to...    More

Image

Speaker: Many issues can affect multi-cavity molds

October 1, 2014 2:02 pm ET

There are several conditions necessary across all cavities of a multi-cavity mold to ensure that all parts are produced the same. These include...    More

Image

Nucleation offers solution to shrinkage in HDPE closures

October 1, 2014 1:57 pm ET

For caps producers, nucleation can provide a practical solution to eliminate shrinkage variations in high density polyethylene beverage closures. Nucl...    More

Market Reports

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 million dollar plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our industry analysis highlights macro industry trends and micro trends faced by companies that do business in Mexico. The report also provides key industry statistics and forecasts to anticipate future industry expansion.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events