Trex will invest USD 400 million in the recycling and production base of Little Rock Port within five years. | Courtesy of Trex
Trex is already the largest waste film recycler in the United States and will build a large-scale polyethylene recycling and composite wood production park in Little Rock, Arkansas.
The Winchester, Virginia-based company recycles PE film and wood flour into composite wood. The company announced on October 26 that it would invest US$400 million in a recycling and production base in the Port of Little Rock within five years. The complex covers an area of nearly 300 acres and includes buildings used for decoration and railing production, film recycling, recycled wood storage, storage and administrative offices.
"The park will significantly expand production and may become the company's largest manufacturing plant," Trex announced that the company has factories in Winchester and Finley, Nevada.
Two years ago, Trex announced a $200 million project to expand the capacity of its Virginia and Nevada plants by approximately 70%. The company’s president and CEO Bryan Fairbanks told Resource Recycling’s sister publication Plastics Recycling Update in a recent interview that all the additional production capacity is now online. He pointed out that Trex processed 362 million pounds of waste plastic in 2020.
Trex's plastic raw materials include used stretch packaging materials from warehouses and distribution centers, as well as PE bags and packaging materials discarded by individual consumers in stores.
In the latest announcement, the listed company stated that it was attracted to the third factory in Little Rock for several reasons, including proximity to raw materials, a pool of qualified and skilled labor, and proximity to wood processing growth areas.
The location is also adjacent to a major transportation hub, which will reduce shipping costs when delivering products to customers in the central region.
The Arkansas Democratic Party Gazette reported that the Trex complex will lead to increased port rail vehicle activity. The Little Rock Port Authority recently completed the sale of 290 acres of land to Trex this week. According to reports, the transaction took more than a year to complete.
The press release stated that construction is scheduled to start in early 2022 and production is expected to start in 2024.
A version of this story appeared in the plastic recycling update on October 27th.
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