Sonoco Products Company has invested more than $25 million since 2024 to expand its wood reel manufacturing and assembly operations as demand grows for power and communications cable packaging. The total includes planned capital spending during 2026.
The investments have increased Sonoco’s manufacturing capacity and footprint by more than 30% across its Hartselle, Alabama, and Jefferson, Texas, facilities.
Sonoco attributed the demand increase partly to AI data center construction and power grid modernization, both of which require substantial quantities of electrical and communications cable.
The Hartselle expansion will add approximately 15% in incremental nailed wood reel manufacturing capacity.
It will also increase manufacturing floor space at the facility by around 33%, providing additional space for future expansion.
Sonoco is installing upgraded inspection systems and advanced manufacturing technology to improve production throughput, quality and consistency.
The company ships reel components from its manufacturing sites to 22 assembly centers located near customers across the United States.
Sonoco generated $7.5 billion in net sales from continuing operations during 2025 and employs approximately 22,000 people across 263 operations in 37 countries.
KEY QUOTE:
“These investments strengthen our ability to deliver reliable, local service to customers across key growth markets while improving manufacturing quality and capacity.”
James Harrell, President of Sonoco Global Industrial Paper Packaging
