Diageo has officially opened a new 360,000-square-foot manufacturing and warehousing facility in Montgomery, Alabama, as part of a $415 million investment designed to strengthen its supply network across the Southern United States.
The new site, known as Diageo Montgomery, is expected to improve supply chain resilience, increase production agility, and support the company’s long-term sustainability goals while bringing its beverage alcohol brands closer to customers across the region.
Strategically located in the centre of Diageo’s Southern U.S. operations, the facility has multi-million case annual production capacity and is designed to support faster distribution and more efficient logistics across North America.
The site will help build greater resiliency and agility into its North American supply chain footprint while reducing transportation distances and lowering carbon emissions linked to logistics operations.
Marsha McIntosh, President of North America Supply at Diageo, said: “The opening of Diageo Montgomery marks an important step forward in building the agile, future-ready supply network that our business demands.”
“By placing this facility at the heart of the southern region, we’re not only strengthening our connection to customers, but also setting a new standard for efficient, sustainable manufacturing.”
Sustainability and operational efficiency were central to the design of the new facility.
Diageo Montgomery includes five on-site automated guided vehicles (AGVs), which help reduce manual handling and forklift traffic while supporting lower-carbon operations through safer and more intelligent pallet transport across the site.
The facility also uses electric boilers for sanitation and bottle-filling operations, supported by a battery energy storage system for emergency backup.
Advanced water and energy metering systems provide real-time visibility into resource use, allowing the company to make data-driven decisions to improve efficiency and support long-term sustainability targets.
The site also features advanced high-speed bottling lines designed to improve rinsing and inspection capabilities, while increasing bottle size changeover speed and liquid blending accuracy.
These upgrades are intended to support faster production cycles while improving manufacturing precision across beverage operations.
McIntosh said the site reflects Diageo’s “long-term commitment to accelerating innovation, ensuring our iconic brands reach consumers with greater speed and significantly lower environmental impact, and investing in local communities.”
The Montgomery location also offers strong access to road and rail infrastructure, which supports more efficient transport operations across the Southern U.S.
By reducing transportation distances between manufacturing and customers, the facility is expected to significantly lower carbon emissions associated with logistics and improve overall supply chain performance.
The investment will create around 100 full-time jobs and supported approximately 750 jobs during the construction phase, generating significant economic impact across the Montgomery area and the wider Alabama region.
Alabama Governor Kay Ivey said: “Diageo’s continued investment in Montgomery is a strong testament to Alabama’s ability to attract and retain world-class companies.”
Alongside the manufacturing investment, Diageo has committed $750,000 to support Historically Black Colleges and Universities and Minority-Serving Institutions across Alabama.
The funding supports scholarships and financial assistance for students at Alabama A&M University, Alabama State University, and Tuskegee University.
The company said the investment is part of its broader effort to strengthen future career pathways and support the next generation of leaders across the state.
