Today PGI announced the completion of its new state-of-the-art spunbond line in San Luis Potosi, Mexico to serve hygiene and medical customers in the U.S. and Mexico.

The $50 million plant expansion was completed as scheduled and increases capacity by approximately 15,000 metric tons to meet ongoing demand for the company’s nonwoven materials used in hygiene and disposable medical applications.

With the expansion, PGI reinforces its position as a leading producer of spunbond materials in the Americas and continues to strengthen its long presence in the region. A commencement celebration with elected officials, customers and suppliers will be held in September. The Mexico plant began operation as Bonlam in 1989 and will celebrate its 20th anniversary this month. It has been part of the PGI family since 1994.

PGI’s new Reifenhauser REICOFIL 4 line features the latest technology and produces high-quality, lightweight, strong fabrics for use in fine denier barrier materials used in diapers and medical garments. In addition to serving customers in Mexico and the U.S., the new line also is a gateway for PGI to supply its products to Central America and the Caribbean.

“This expansion, as well as our other investments, demonstrates our commitment to increasing our production capabilities in our core markets to meet specific customer demand,” said CEO Ronee Hagen. “We are focused on maintaining a leadership position in our markets through offering the best delivered value to customers in terms of quality, performance, innovation and supply chain management.”

PGI also commercialized a new spunbond line near Buenos Aires, Argentina in 2008 that more than doubled the capacity of its joint-venture facility to meet growing demand for its hygiene products in Latin America, where PGI is the region’s leading hygiene supplier.