Jungbunzlauer Announces $200 Million Investment in Canadian Organic Gum Production Plant

Jungbunzlauer, a producer of high-quality, sustainable ingredients from natural sources, is breaking ground on Canada’s first xanthan gum plant, a $200 million addition to the company’s existing footprint in Port Colborne, Ontario.

Jungbunzlauer announced the launch of the first phase of this multi-year project, which is supported by $4.8 million from the Ontario Investment Fund.

“This expansion in Port Colborne marks an important milestone for our North American operations. This site not only reinforces our commitment to providing our partners with premium natural biogums, but also underscores our commitment to sustainability and the local community,” said Bruno Tremblay, CEO of Jungbunzlauer.

Tremblay was joined at the groundbreaking ceremony by Site Manager Ryan Doell and dignitaries from local, provincial and national governments, including Ontario Premier Doug Ford; Ontario Minister of Economic Development, Job Creation and Trade Vic Fedeli; Niagara South MPP Vance Badawey; Niagara West MPP the Honourable Sam Oosterhoff; and Mayor William Steele.

“We are proud to have been a member of the Port Colborne community for over 20 years. During this time, we have invested $560 million in our local facility to increase its capacity and improve its sustainability. Over the next ten years, we plan to continue to make significant investments in capacity, sustainability and community. In addition to our capital investments, local jobs, services and purchases from our facility add approximately $20 million to the Port Colborne economy each year,” said Tremblay.

The Phase 1 expansion is expected to be operational in spring 2026 and will produce readily biodegradable xanthan gum, a thickening agent with multiple culinary, cosmetic and pharmaceutical uses. The Port Colborne expansion will increase Jungbunzlauer’s capacity to supply high-quality xanthan gum to customers across North America.

This expansion underscores Jungbunzlauer’s commitment to expanding its presence in North America and its commitment to carbon neutrality and sustainability.

“Jungbunzlauer’s expansion clearly demonstrates that international companies looking for a strategic foothold in North America will find Ontario to be the best place to invest,” said Michael Fedchyshyn, Interim CEO of Invest Ontario.