Mars Safeguards Supply Chain Resilience with US Investment

Mars' decision to channel US$2bn into its US manufacturing operations by 2026 underscores a strategic commitment to bolster its supply chain.

The company's latest investment adds to the US$6bn already spent on domestic operations over the past five years. 

Mars is renowned for mainstream brands like M&M'S, Snickers, Ben's Original and Pedigree. The vast majority (94%) of goods sold within the US are produced there, perfectly aligning with its supply chain resilience strategy.

Claus Aagaard, CFO at Mars, highlights: "This investment is about building a stronger, more resilient business in the US – one that can grow with our consumers, deliver for our partners and create lasting economic impact in the communities where we operate."

New manufacturing hubs

A primary focus of Mars' investment is on rolling out new manufacturing capabilities and creating jobs across the US. 

The establishment of a US$240m facility for Nature’s Bakery in Salt Lake City, Utah, reflects this commitment. Covering more than 339,000 square feet, the new site is designed to manufacture nearly one billion bars annually while creating around 230 jobs for the local economy.

The move aligns with Mars' broader strategy of scaling Nature’s Bakery, which was acquired in March 2021 and is predicted to double its size within five years.

Additionally, May saw the inauguration of a US$450m Royal Canin dry pet food facility in Lewisburg, Ohio. This venture represents the brand's largest dry pet food factory and is poised to create up to 270 jobs.

Royal Canin – Mars’ leading brand in pet nutrition – is centred on science-based pet health. Its new facility in Ohio represents Mars’ largest-ever investment in a Royal Canin manufacturing site.

Poul Weihrauch, CEO at Mars, comments: "The US is not only home to our headquarters; it is also our biggest market and a key engine for long-term growth.

"This investment will allow for increased capacity and innovation across Mars diverse portfolio of brands.”

Commitment to US operations

Mars is deeply rooted in the US market, where it has sustained operations for more than a century. The family-owned company currently manages 38 factories, 16 offices, and a presence in various veterinary clinics and labs across 49 states.

Employing at least 70,000 people, with an additional 9,000 roles filled in recent years, Mars leverages its Five Principles—Quality, Responsibility, Mutuality, Efficiency, and Freedom—to enhance its logistics, operations and supply chain.

Mars' latest investment leaves the business well positioned to fulfil market demands and pioneer product innovation across its extensive brand landscape.

Claus continues: “The US is our biggest and most important market, and a key engine of growth for the long term – not only through our legacy manufacturing footprint but also through the expansion of strategic acquisitions like Nature’s Bakery, which is already scaling quickly."

By fortifying its manufacturing infrastructure, Mars can better register and respond to evolving consumer needs locally.

Having a strong US operational presence looks set to reinforce relationships with partners, elevate supply chain resilience and yield enduring economic benefits for American communities.