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MONTREAL (Scrap Monster): Greif Inc. will close its Sweetwater paperboard mill in Austell, Georgia, by the end of 2026, removing approximately 120,000 tons of annual production capacity and ending the company's participation in the coated recycled paperboard market.
The closure is part of Greif's broader effort to concentrate capital and operating resources on businesses where it sees stronger competitive positions and clearer opportunities for long-term growth.
| Sweetwater Mill | Details |
|---|---|
| Location | Austell, Georgia |
| Planned Closure | By the end of 2026 |
| Capacity Removed | Approximately 120,000 tons annually |
| Employees Affected | Approximately 90 |
| Products | CRB, URB and gypsum facing/backing paper grades |
SCRAPMONSTER EDGE
Sweetwater completes a broader retreat from coated recycled paperboard rather than representing an isolated mill closure. Greif shut its Los Angeles paperboard mill in 2025, removing 50,000 tons of CRB and 22,000 tons of URB capacity and ending CRB production on the West Coast. Closing Sweetwater now takes Greif out of the CRB market altogether.
Why Greif Is Closing the Sweetwater Mill
Greif said Sweetwater's operating configuration, relatively high cost position and limited integration with its broader mill system prevented the facility from establishing a sustainable competitive position.
The company described the closure as part of a deliberate effort to decide where it wants to compete and where future capital should be deployed.
Greif plans to direct more investment toward assets in its remaining recycled-paperboard network that it believes are better positioned to serve customers and generate profitable growth.
120,000 Tons of Paperboard Capacity to Leave the Market
The shutdown will remove approximately 120,000 tons of annual production capacity.
Sweetwater currently manufactures several recycled-fiber and specialty grades, including:
- Coated recycled paperboard (CRB)
- Uncoated recycled paperboard (URB)
- Gypsum facing paper
- Gypsum backing paper
Greif did not provide a grade-by-grade breakdown showing how much of the 120,000 tons is CRB versus URB or gypsum-related production.
That distinction is important when assessing the capacity impact: the entire 120,000 tons should not automatically be treated as CRB capacity.
What Is Coated Recycled Paperboard?
Coated recycled paperboard is produced primarily from recovered paper fibers and finished with a coated printing surface.
The material is commonly used in cartons and other printed packaging applications where recycled content is combined with a smoother surface for graphics and product presentation.
Greif's decision to close Sweetwater means the company will no longer participate in this market once operations cease.
URB Customers Will Shift to Other Greif Mills
Greif will continue operating in uncoated recycled paperboard.
The company said it is working directly with customers currently purchasing URB from Sweetwater to support an orderly transition.
Those volumes are expected to be supplied through Greif's broader North American URB mill network.
This makes the strategic distinction clear: Greif is exiting CRB, but it is not exiting recycled paperboard manufacturing altogether.
About 90 Employees Affected
Greif expects approximately 90 employees to be affected by the Sweetwater shutdown.
The company said workers will receive severance benefits, career-transition resources and other support.
President and CEO Ole Rosgaard acknowledged the impact on employees, their families and the surrounding community while thanking the Sweetwater workforce for its contribution to the company.
Sweetwater Follows Earlier Greif Paperboard Closures
The Georgia shutdown follows several earlier changes to Greif's North American fiber manufacturing footprint.
In January 2025, Greif announced the shutdown of its A1 uncoated recycled paperboard machine in Austell and the closure of its Fitchburg, Massachusetts, mill.
Those actions removed approximately 90,000 tons of URB capacity and 100,000 tons of containerboard capacity from Greif's network.
Several months later, Greif closed its Los Angeles paperboard mill, removing another 50,000 tons of CRB capacity and 22,000 tons of URB capacity.
The Los Angeles move ended Greif's coated-paperboard production on the West Coast. The Sweetwater closure now completes the company's CRB exit.
Recycled Paperboard Market Remains Active
The closure should not necessarily be read as evidence of a broad collapse in recycled-paperboard demand.
U.S. boxboard production increased during the second quarter of 2026, while industry operating rates remained relatively firm across several recycled-board categories.
Greif's stated reasons for the Sweetwater shutdown are centered primarily on the economics and configuration of the individual asset — including cost competitiveness and its limited integration with the rest of the company's network.
INDUSTRY READ
The important market signal is the redistribution of capacity. Sweetwater removes physical paperboard production from the market, but Greif intends to transfer URB customer demand into other mills. CRB is different: once Sweetwater closes, Greif will no longer be a producer in that grade.
Why the Closure Matters to Recovered Paper Markets
Recycled paperboard mills are important end users of recovered fiber.
When a mill permanently closes, local and regional recovered-paper flows can change because material that previously moved into that facility may need to find another consuming mill or a different market.
The actual impact around Sweetwater will depend on the mill's recovered-fiber furnish, supplier relationships and how much production is ultimately absorbed elsewhere in Greif's network or by competing paperboard producers.
For recovered-paper suppliers, those local mill-demand shifts can matter even when the broader North American paper recycling system remains well supplied with outlets.
Market Read
The Sweetwater closure represents another step in Greif's continuing reshaping of its fiber portfolio.
The immediate impact is straightforward: approximately 120,000 tons of annual production capacity will leave the system and Greif will exit coated recycled paperboard.
The longer-term effect will differ by product. Existing URB customers can be redirected into Greif's remaining network, while CRB customers will need supply from other producers once Sweetwater ceases operations.
For recovered-paper suppliers and paperboard buyers, the key questions will be how quickly Sweetwater volumes migrate to other mills, whether competitors absorb displaced CRB demand and how the shutdown changes regional demand for recovered fiber in the Southeast.
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SOURCES & METHODOLOGY
Closure timing, capacity, employment and product information were checked against Greif's September 16, 2026 announcement. Historical capacity changes were reviewed against Greif's prior mill-closure announcements. Broader U.S. boxboard context was checked against American Forest & Paper Association industry data.
