Inside Nestlé's Automated California Distribution Centre

Global food and beverage corporation Nestlé has opened its second automation-centred facility in the US.

Situated in Arvin, California, the new 700,000 square foot facility is described by the company as its largest and most technologically sophisticated distribution centre to date that will deliver popular brands including Nestlé Toll House, Coffee mate and Gerber.

Distribution centre details 

Marty Thompson, Chief Executive Officer of Nestlé USA says: “Our investment in the new Arvin Distribution Centre reflects how we’re building Nestlé for the future, modernising our supply chain and delivering for our customers and consumers with greater speed and precision.

“This state-of-the art, digitally enabled facility enhances our ability to meet growing demand across our portfolio and reinforces our long term commitment to investing and growing in the United States.”

To meet the challenges of peak seasonal demand, the Arvin facility leverages targeted automation, including the most extensive automated storage and retrieval systems in Nestlé's global network. This technology manages the full manufacturing cycle for shelf-stable goods. Beyond operational efficiency, these automated systems play a vital role in enhancing workplace safety by minimising physically demanding and repetitive tasks. This shift allows for a greater focus on employee development through technical training, upskilling and new opportunities for career growth.

Sustainability initiatives 

The opening of the centre has created an opportunity to bring more than 110 jobs to the Arvin community. Nestlé is also committed to sustainability which is why the company plans to source 100% of its electricity from investments in renewable sources, including solar and wind power. The facility will also recycle, compost or recover energy from waste materials to prevent them from going to a landfill.

The facility costs US$300m and supports Nestlé’s goal of investing US$25bn into US facilities over the next ten years, which started in 2020. The first centre Nestlé opened was its beverage and factory and distribution location in Glendale, Arizona. 

Nestlé is focused on streamlining digital capabilities throughout the supply chain and enhancements in research and development. 

Supply chain improvements

To enhance its supply chain operations, Nestlé has implemented several strategic measures. According to its Annual Report 2025, the organisation achieved 13.5% organic growth in its e-commerce infrastructure during 2025, a segment that now represents more than 20% of the group's total sales.

In 2025, Nestlé achieved 3.5% organic growth, driven by a 5.4% increase in emerging markets and 2.3% in developed markets. To mitigate inflationary pressures affecting cocoa and coffee, the company implemented a 2.8% price adjustment.

“Driving growth through innovation is a top priority,” adds Anna Manz, Nestlé's Chief Financial Officer and Head of Integrated Business Services.

“We are transforming our business to invest more boldly in the best opportunities. We need to combine great consumer insights and innovation with flexibility and scale, to provide great quality products to consumers around the world when, where and how they want them.”