The Packaging Corporation of America (PCA) is shutting down its Richmond-area corrugated packaging plant, eliminating 110 jobs in what the company describes as a broader operational restructuring.

According to a Worker Adjustment and Retraining Notification (WARN) filing submitted March 31, the closure will take effect in early June, with all positions at the facility expected to be eliminated by the end of the month. The plant, located along the Richmond Highway corridor near Chesterfield County, has served as a converting facility—turning containerboard into shipping boxes used across multiple industries.

While the company framed the decision as a “difficult business decision,” the Richmond closure is part of a larger pattern. PCA, one of the largest containerboard producers in the United States, has recently shuttered or downsized multiple facilities nationwide as it consolidates production and streamlines operations following a major 2025 acquisition of assets from packaging firm Greif.

A broader industry shift

The closure reflects ongoing changes in the packaging and logistics sector, where companies are increasingly centralizing production into fewer, more automated plants. Converting facilities like Richmond’s—typically smaller and more regionally focused—are often the first to be evaluated for consolidation when companies restructure.

Despite stable demand for shipping materials driven by e-commerce, packaging firms are navigating tighter margins, transportation costs, and shifting regional demand. PCA has recently implemented price increases on containerboard products, even as its year-over-year profits have softened.

Workforce impact

Many of the affected Richmond workers are represented by the United Steelworkers union, raising questions about severance, job placement, and workforce transition support. State workforce agencies typically mobilize rapid response teams in cases like this, though details of Virginia’s response have not yet been publicly outlined.

The closure marks another hit to the region’s manufacturing base, particularly in an area historically tied to packaging and paper production through companies like WestRock and its predecessors.

What remains

A smaller PCA warehouse operation in North Chesterfield is expected to remain open, employing a limited number of workers. The company has not indicated whether any displaced employees will be offered transfers to other facilities.