Novelis to supply Ardagh Metal Packaging

Novelis Inc., headquartered in Atlanta, has signed a new contract with Ardagh Metal Packaging USA Corp., a division of Belgium-based Ardagh Group SA and a supplier of aluminum beverage packaging, to supply aluminum beverage packaging sheet to Ardagh's metal production facilities in North America.

According to its website, Ardagh Metal Packaging USA operates nine metal production facilities in the U.S.

Novelis says this is the third major contract that it has signed in less than seven months for the beverage packaging market in North America.

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Novelis is building a new rolling and recycling plant in Bay Minette, Alabama, that will be able to produce 600,000 metric tons of finished goods for the beverage packaging and automotive markets in North America. It is the first integrated aluminum plant to be built in the U.S. in nearly 40 years.

"Finalizing another meaningful customer agreement in North America is a testament to the strength of the beverage packaging market in the region, which is being driven by consumer desire for more sustainable choices," Novelis President and CEO Steve Fisher says in a news release about the agreement. "Given its ability to be easily recycled back into the same product, the aluminum beverage can is a model of sustainable packaging."

"As a leading global supplier of sustainable and infinitely recyclable aluminum beverage cans, we're proud of our partnership with Novelis, which shares our focus on sustainability and innovation," Ardagh Metal Packaging CEO Oliver Graham adds. "Novelis has been part of our story since our founding, and we look forward to the new plant coming online and supporting our continued growth."

Novelis expects global demand for aluminum beverage packaging sheet to increase at a 4 percent compounded annual growth rate between 2023 and 2031, driven by consumer preference for more sustainable products and size variety, as well as more beverage types being packaged in cans, including water, energy drinks, soda, beer, wine, hard seltzers and ready-to-drink cocktails.