Petoskey Plastics expands to Texas

Recycler and plastic film, bag and resin manufacturer Petoskey Plastics, which is headquartered in Petoskey, Michigan, will invest $30 million in a new manufacturing facility in McKinney, Texas.

Petoskey Plastics Chairman and CEO Paul Keiswetter says, “This expansion is an exciting one for us. We are greatly increasing our ability to service current customers and adding new opportunities for our growing sustainable product lines while operating in a highly desirable location with a small-town feel.”

Company President Jason Keiswetter adds, “We are thrilled to announce plans for our fourth production facility. Already, we have had an outpouring of support from our customers, suppliers, new associates and the city of McKinney.”

According to the company, the COVID-19 pandemic created high customer demand for its blown film products, such as trash bags, construction sheeting and automotive seat covers, pushing the company over capacity at its plants in Petoskey; Hartford City, Indiana; and Morristown, Tennessee. A combination of converting and extruding lines in the new Texas facility will increase output by approximately 15 percent over the next 12 months.

The building is more than 53,000 square feet, with an expansion scheduled for completion in August 2022 that includes an additional 40,000 to 60,000 square feet for converting and warehouse space, nine silos and rail spurs.

“This facility will give us the opportunity to be closer to our raw material suppliers in the Gulf and will help us service our West Coast customers,” Jason Keiswetter says. “We will be cutting our delivery time in half for both raw material and finished goods and will be more competitive, overall. This plant will start production as early as April and receive the most state-of-the art equipment available in the blown film market space over the coming months.”

Petoskey Plastics says it plans to grow the Texas facility to roughly 130,000 square feet within five years.

Plant Manager Matt Mihelich says, “McKinney is an exciting and growing area we feel will be a great match for our equally exciting and growing business. We are eagerly looking forward to establishing a best-in-class facility in the community.”

Corporate Treasurer Sue Maskaluk worked with the city of McKinney early on. “We were able to meet virtually with city officials, including Mayor George Fuller and City Manager Paul Grimes, to understand their process for reviewing expansion plans,” she says. “We also worked with Madison Clark from the McKinney Economic Development to learn about available training opportunities through the Texas Workforce Commission.”

Petoskey Plastics currently employs 564 associates. Initially, the company says it plans to hire 20 associates to fill seven positions to open the facility in Texas. After the building expansion, the company says it will add 55 new jobs.

“Over the next three to five years, we will continue to invest in top equipment and training for our associates,” Jason Keiswetter adds.