A global manufacturer will enter the Lehigh Valley when it opens a facility in Lower Nazareth Township, Pennsylvania Gov. Tom Wolf announced Wednesday.
Wolf said PAC Worldwide, a Seattle-based manufacturer of flexible packaging, would expand into a facility in Lower Nazareth Township, creating more than 160 jobs over the next three years.
“It’s telling that, after exploring where it can best maximize its growth in the Northeast U.S., PAC chose Pennsylvania,” Wolf said. “PAC’s decision – and the more than 160 new Pennsylvania manufacturing jobs that will come with it – is more evidence that our manufacturing climate continues to improve every day.”
PAC Worldwide will lease a more than 420,000-square-foot facility at 4779-4863 Hanoverville Road. The project includes leasehold improvements, equipment acquisition and training for employees. PAC plans to invest more than $28 million in the project.
“We have specifically chosen this location because of the rich manufacturing history in the area, the strength of the local workforce and the logistical advantages to our customers,” said Bruce Johnson, chief operating officer at PAC.
John Bartell, spokesman for PAC Worldwide, said the plan is to move into the facility in mid-summer.
PAC received a funding proposal from the state Department of Community & Economic Development for a $489,000 grant, $326,000 in tax credits and $73,350 in state funding for employee training. PAC receives the tax credits once it creates the jobs.
The Governor’s Action Team, a group of economic development professionals, coordinated the project.
The Lehigh Valley Economic Development Corp. worked with PAC and also connected it with state officials, said Don Cunningham, president and CEO of LVEDC.
“We try to go after companies that are in the supply chain of the companies that are already here,” Cunningham said. “We are seeing a lot of development for package manufacturing materials.”
For more than 40 years, PAC has developed, manufactured and automated packaging solutions for customers around the world. PAC manufactures protective mailers and specialty packaging for the courier, e-commerce, fulfillment and distribution markets.
“This is nice because it builds into the supply chain of companies that already here, such as Amazon,” Cunningham said.
With Amazon and e-commerce operations for Wal-Mart already in the Lehigh Valley, it provides a draw for these types of companies to locate facilities here, he added.
PAC Worldwide is one of the largest producers of flexible packaging materials used in e-commerce, he said.
“They are large customers in the market; they have the capacity to do this in real-time delivery,” Cunningham said.
The company will bring 40 to 50 jobs to start and expand over time, he said.