Rafsec to build RFID tag facility in USA

UPM Rafsec is to build a new state-of-the-art RFID tag production facility in Fletcher, North Carolina. The investment strengthens UPM Rafsec's role as a supplier of RFID tags on a global scale and bolsters the company's position in the North American market where demand for EPC (electronic product code) compliant RFID tags is growing dramatically.

The new factory, located in the vicinity of Raflatac's US pressure-sensitive labelstock production facility, will specialize in the production of UHF (ultra high frequency) tags. The investment is part of a USD 24 (EUR 19) million investment program which, when fully implemented, will enable an annual capacity of one billion RFID tags. The new factory will begin operations in the final quarter of 2005.
As part of UPM's Labelstock Business, UPM Rafsec will develop its business with Raflatac and its label converter partners.

"This investment will reinforce UPM Rafsec's leadership in the global RFID market. We estimate the demand for RFID tags to grow strongly especially in the US market," comments Heikki Pikkarainen, President of UPM Labelstock Business. "At UPM Rafsec, we aim to be at the forefront of RFID market development by providing the market with high-quality RFID tag products in large quantities."