Orora joins Brickworks in favouring US expansion.

Packaging maker Orora (ASX: ORA) has become the second company in a week to expand in the United States, citing a better business environment.

Orora, which was split off from the giant AMCOR packaging group, will spend $110 million to buy Texas-based Pollock Packaging, beefing up its US operations.

The company has 28 packaging plants in Australia.

Orora CEO Nigel Garrard told the Australian Financial Review he expected Australia to deliver solid growth, but the US was a more attractive place to make acquisitions.

“When you’re allocating capital you’ve got to look at all of these things. Certainly the economic growth and the tax regime is more attractive,” he said.

Earlier this week @AuManufacturing reported Brickworks was spending $151 million to buy the US’s fourth largest brick maker.

A lack of long term energy contracts, and sky high energy prices were keys to Brickworks expansion.

Picture: Orora/Gawler, South Australia glass bottle factory.

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