Plastics manufacturer Palram Industries, which is controlled by Kibbutz Ramat Yohanan, is to expand its activities in the US. The company announced today it would invest $10 million in the launch of a plant for manufacturing PVC panels, which is due to begin production at the start of 2007. Palram expects the investment to generate revenues of $ 20 million within three years.
The plant will be constructed on a site owned by Palram near its polycarbonate factory in Allentown, Pennsylvania. At the initial stage the plant will comprise two production lines, one for the flat PVC panels currently manufactured in Israel and the UK. The other will produce various corrugated PVC panel products, including a new product line that was launched during the second half of 2005.
The investment will enable the company to increase the manufacturing capacity of Palram US, as part of its strategy to expand activities in the US market. The company says there is now a global demand for its products.
Announcing the latest investment, Palram CEO Amos Netzer said, The US investment is part of our strategy to expand into the North American market and is designed to enable us to develop our Trimboard product line. These are wood substitutes made from PVC and are aimed at the US construction market.