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July 17, 2017 02:00 AM

Lollicup's new Texas plant to be even bigger than expected

Jim Johnson
Staff Writer
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    Lollicup USA Inc.
    Lollicup USA thermoforms plastic food service items and is preparing to break ground on a new production plant in Texas.

    New details are emerging on Lollicup USA Inc.'s planned manufacturing expansion into Texas.

    The Chino, Calif-based maker of disposable plastic food-service packaging will spend some $50 million to construct a new 700,000-square-foot manufacturing site in Rockwall, Texas.

    Lollicup expects to break ground on the new facility within 120 days, CEO Alan Yu said in a statement.

    The company estimates completion of the new location in October 2018.

    "The manufacturing plant, located not far from Dallas, will open with new machines for manufacturing paper and plastic cups and food containers. Approximately 200 new employees will work at the facility once it opens," Lollicup said in a statement.

    The company currently makes thermoformed PET cups and lids in Chino, and that also will take place at the Texas facility, the company has said.

    Lollicup previously indicated it was planning a 450,000-square-foot manufacturing facility, so the latest word from the company increases the size of that project.

    Last year the company opened a new warehouse in Wilmer, Texas, to help set the stage for further expansion in Texas.

    Sales at Lollicup increased to $123 million in 2016 from $100 million the year before, Lollicup said in February. The company has a target to reach $160 million in sales this year. Along with manufacturing food service items, the company also sells Tea Zone brand beverage products to retailers.

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