Ferrero Expands US Manufacturing with $75M Nutella Peanut Facility in Illinois

According to an official release from the company, the new facility marks a strategic milestone for Ferrero, enabling the first-ever US-based production of its flagship Nutella spread – and the debut of its first new flavour in more than six decades.

A Strategic Investment in Growth

The Franklin Park expansion introduces a dedicated production line for Nutella Peanut, a hybrid spread combining the brand’s signature hazelnut cocoa base with roasted peanuts. The project is expected to create approximately 50 new jobs and reinforce Ferrero’s long-term commitment to scaling operations in the United States.

“This new facility showcases our commitment to growth in North America and our ability to evolve iconic brands in meaningful ways,” said Michael Lindsey, President and Chief Business Officer of Ferrero North America.

The investment builds on Ferrero’s broader US expansion strategy, which has included billions of dollars in acquisitions and infrastructure development. Since acquiring Nestlé’s US confectionery business in 2018, Ferrero has accelerated its presence across manufacturing, research and development, and supply chain operations.

Strengthening Domestic Supply Chains

The new Nutella Peanut product will be manufactured using domestically sourced ingredients, including hazelnuts from Oregon and peanuts from Georgia and other southeastern states. This localised sourcing strategy aligns with broader industry trends toward supply chain resilience and regional economic support.

Retail partners have welcomed the move. “When suppliers invest in US manufacturing, the impact is tangible – more jobs, stronger communities, and greater opportunity,” said Melody Richard, Senior Vice President at Walmart.

Building on an Established Manufacturing Hub

The Franklin Park facility has long been a cornerstone of Ferrero’s US operations, producing legacy brands such as Butterfinger and Baby Ruth since the 1960s. The site became part of Ferrero’s portfolio following its acquisition of Nestlé’s US confectionery assets.

Illinois now serves as a critical hub for the company, housing not only the Franklin Park plant but also:

• A manufacturing campus in Bloomington producing brands such as Crunch, 100 Grand, and Raisinets
• Ferrero’s first North American Innovation Center and R&D labs in Chicago
• Additional production facilities supporting Keebler products

Beyond Illinois, Ferrero operates manufacturing sites across Georgia, Kentucky, Ohio, Arizona, Pennsylvania, and New Jersey, underscoring the scale of its US footprint.

Innovation Meets Brand Legacy

The introduction of Nutella Peanut represents a notable shift for a brand that has largely maintained its original formulation since its launch in 1964. The move signals a willingness to innovate within established product lines while responding to evolving consumer preferences.

“Our fans have been asking for this for years,” said Noah Szporn, Senior Vice President of Spreads at Ferrero North America. “Nutella Peanut delivers the familiar experience consumers love, with a new flavour profile that broadens its appeal.”

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Broader Business Context

Ferrero’s expansion comes amid continued global growth. The company reported annual revenues of €19.3 billion ($22.7 billion) in its most recent fiscal year. At the same time, it faces regulatory scrutiny in Europe, where it is cooperating with ongoing inspections by the European Commission.

Despite these challenges, Ferrero’s US investment strategy reflects confidence in the region as a key growth market. The Franklin Park expansion not only enhances production capabilities but also positions the company to better serve North American consumers with locally manufactured products.

CocoaRadar Outlook

With the launch of Nutella Peanut and increased domestic production capacity, Ferrero is reinforcing its dual focus on innovation and localisation. The Illinois facility stands as a tangible example of how legacy food brands can evolve – balancing tradition with modern consumer demands while driving regional economic impact.

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