Ireland-based paper and plastic bags firm AB Group Packaging is set to foray into the US with a manufacturing unit in Delaware.
The new plant will make paper bags and industrial packaging products, and is expected to generate around 100 jobs in the region, the Delaware Economic Development Office (DEDO) said.
AB Group is entering the US to support its prominent client Irish clothing retailer Primark, which is opening new outlets.
Primark has recently signed leases to operate a number of Sears department stores in the northeastern region of the country.
Expected to be set up in Newark, the new facility will be an addition to AB Group's existing units across Ireland, the UK and Spain.
The DEDO's Council on Development Finance has approved Strategic Loan Fund grants for the firm, including a $253,365 performance grant for delivering on-job promises by 2017 and another $120,000 capital expenditure grant after AB Group invests $4m in the Delaware plants upgrade in future.
Delaware Governor Jack Markell said: "I'm pleased that AB Group Packaging has chosen to make its in-demand products in Delaware. The kind of manufacturing jobs they create will help support long-term economic growth in a key industry."
Established in 1985, AB Group supplies paper bags, flexible packaging and specialist products to commercial retailers, such as, T.J. Maxx, Nike and Hard Rock Café and industrial customers including Ball Packaging, Crown Cork and Weber Charcoal.