International Paper (NYSE: IP) announced plans to construct a 468,000-square-foot packaging facility in Rankin County, Mississippi, representing a $225 million investment.

The company's board of directors approved the greenfield project, which will be built on an 80-acre site in Brandon, Mississippi, located less than 10 miles from International Paper's existing Richland box plant. Construction is expected to begin in June 2026, with operations anticipated in the fourth quarter of 2027.

The new facility will replace the existing Richland plant, with employees transitioning to the new location upon completion. The project aims to modernize International Paper's manufacturing footprint in the region and reduce structural costs.

"This investment supports our strategy to optimize our box plant system and focus capital where it drives the greatest return," said Keith Townsend, group vice president and general manager of IP North America Packaging Solutions East.

Mississippi Governor Tate Reeves called the investment "another big win for Mississippi" and highlighted the state's economic development momentum. Noel Daniels, chairman of the Rankin First Economic Development Authority, said the project validates the strategic development of the East Metro Center industrial site.

The facility is designed to strengthen International Paper's cost position and improve reliability, product quality, and service capabilities across the Mid-South region. The modern design will incorporate safety and efficiency innovations for employees.

International Paper, which trades on both the New York Stock Exchange and London Stock Exchange, specializes in corrugated packaging solutions. The company positions this investment as part of its commitment to delivering value for customers, shareholders, and communities.