Red Bull recently commenced construction on a new $1.7 billion facility in Concord, North Carolina, after a four-year delay.
Collaborating on this project are Red Bull, Ball Corp., and Rauch Fruchtsäfte, aiming to meet the local market demands by establishing a joint manufacturing and distribution center. This facility, the second of its kind for the companies in the U.S., is set to span 2.36 million square feet, with operations expected to commence in 2028 and reach full capacity by 2031. Once operational, the facility will produce up to 3 billion cans annually and create around 700 job opportunities.
The project, initially announced in 2021, broke ground on September 9th. The reason behind the delay was not disclosed by the spokesperson.
The first U.S. plant for Red Bull, Ball, and Rauch Fruchtsäfte was opened in Glendale, Arizona, in 2021. The North Carolina site is positioned to complement the Arizona location by focusing on the production of Red Bull Energy drinks for the U.S. market, with the flexibility to cater to additional markets if needed.
The recent 50% tariff on aluminum imposed by the Trump Administration has fueled the need for increased beverage packaging within the U.S.
As the global energy drink market continues to expand, Austria-based Red Bull is investing in the North Carolina facility. The market is projected to reach $125 billion by 2030, prompting companies to enhance their production capabilities.
Founded in the 1980s, Red Bull faces heightened competition in the energy drink sector, as more companies enter the market. Key players like Keurig Dr Pepper, PepsiCo, and Anheuser-Busch are all making significant investments in this industry.