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Avery Dennison opens distribution sites in Japan, Romania

March 3, 2009

The Japanese center represents phase one of a plan to expand in Asia. Romania’s operation will speed deliveries to five neighboring countries.

Pressure sensitive labelstock supplier Avery Dennison has opened its first distribution center in Japan. The company also has established a distribution site in Timisoara, Romania.

"In opening this sophisticated new distribution facility, we are demonstrating our ongoing commitment to Japan and the Asia Pacific region," says Dean A. Scarborough, president of Avery Dennison Corporation. “We have high expectations for the growth of this dynamic and important market during the next several decades and will continue to increase our resources and expand our efforts to serve our customers here.”

The Japanese distribution center is part of an initial investment of US$6 million in Japan, where the company has taken initiatives in the last year to centralize its operations, develop alliances and provide more efficient and cost effective service to its customers, Scarborough says.

Located near the Port of Chiba, the new distribution center will centrally manage the distribution of products from Avery Dennison manufacturing sites located primarily in Asia, including China and South Korea. It is equipped to slit adhesive and label materials to meet the requirements of individual customers and it will also perform customized slit processing for winding and packaging products.

Phase two of Avery Dennison Japan’s growth initiative includes the establishment of a second distribution center north of the Kanto area. Site selection should be complete by the end of this year.

The Romanian distribution center will serve customers in Hungary, Bulgaria, Croatia and Serbia, as well as Romania. Avery Dennison says it hopes that the site would increase the speed of delivery to label converters in the region, with most receiving next-day delivery services. The 3,750 square meter facility is equipped with slitting, core-cutting, rewinding, and automated packaging equipment.

Georges Gravanis, vice president of sales and customer service, says: "In a region where, even in today's economic environment, there is real and growing demand for labeled goods, it is a logical focus for us to intensify our ability to be closer to our customers, understand their local needs, and enhance the speed of service we are able to give them."

Avery Dennison had sales of US$6.7 billion in 2008 and employs 36,000 people in more than 60 countries.