TORONTO—Labels and packaging manufacturer CCL Industries Inc. is partnering with a Japanese firm to set up a plastic tube plant in Bangkok, Thailand.
CCL of Toronto is teaming up with Taisei Kako Co. Ltd. of Osaka, Japan, to make tubes for consumer product packaging in Asia. The 50-50 venture includes an investment of $5 million to start the operation. Each partner will contribute machinery from its existing operations to get production rolling.
According to a news release from CCL, Taisei Kako is a leading Japanese producer of specialty plastic containers for the personal care and pharmaceutical market.
A CCL official said the regional market is one of the most important emerging regions for such packaging.
Taisei Kako employs about 950 at nine plants mainly based in Asia. CCL said Taisei Kako has a fully automated, 24-hour manufacturing system with advanced digital inspection technology. It has been producing plastic packaging for the health care and beauty care industries since 1932.
CCL employs about 6,600 in 74 plants around the world. CCL Tube and CCL Containers produce extruded plastic tubes, bottles and aluminum aerosol cans
The company said its CCL Label business is the world's largest converter of pressure sensitive and film materials for labels for consumer packaging, health care, automotive and consumer durables.