Red Bull is building its first production plant outside of Europe in Glendale, Arizona. RRB Beverage Operating, a joint venture between Red Bull, Rauch Fruit Juices and Ball Corporation, has committed itself to invest USD 250 (EUR 227 million) in the next years to build a new 6.5 hectar (700,000 square foot) plant in the city close to Arizona’s capital Phoenix. The local production is expected to employ 140 people and will be operational by 2021.
Red Bull does not have its own production facilities, but has the drink produced by the company Rauch Fruchtsäfte (fruit juices) in Nüziders, Austria and Wildnau Siwtzerland. Despite being in different countries, both production facilities are only 40 kilometers apart.
Red Bull which is sold in the USA was so far produced in the Swiss plant and imported to the U.S. but the increasing popularity of the energy drink in North America and the threat of increasing taxes on cans and products from Europe in general made the investment necessary.
Ball Corporation, an American company specialized mainly in the production of aluminum and steel packaging for the food and beverage industry that is partner in the joint venture, has recently opened an aluminum can manufacturing plant in Goodyear, Arizona, not far from the selected new site in Glendale.
Arizona senior Senator Kyrsten Sinema met two weeks ago with Red Bull North America CEO Stefan Kozak to discuss details of the investment. “Selecting Glendale as the home of Red Bull’s first U.S. facility makes perfect business sense. Arizona is home to one of the most productive, innovative workforces in the country. I’ll keep working to bring jobs to Arizona so we can keep growing our economy,” said Sinema.
