Published On: 02.04.25 | 

By: Jerry Underwood

Diageo North America plans $415 million Alabama manufacturing hub

Construction is underway on Diageo North America's 360,000-square-foot manufacturing and warehousing facility in Montgomery, with plans to have it fully operational later this year. (Diageo)

Premium drinks company Diageo North America announced plans to open a manufacturing and warehousing facility in Montgomery with 100 jobs as the company moves to build an increasingly resilient and efficient supply network.

The 360,000-square-foot facility will have a multimillion-case annual production capacity for Diageo’s leading beverage alcohol brands. This site will enhance the company’s North America supply chain operations and support future growth for the company’s export business.

The facility, which will be referred to as “Diageo Montgomery,” will provide a new point of operations closer to the company’s beverage distributors in the Southern region. The site’s strategic location is expected to reduce required road travel, significantly helping to further mitigate carbon emissions associated with logistics operations.

The new facility will also employ state-of-the-art technology for more efficient water and energy use across the site.

“We are proud to contribute to the economic development of Montgomery, and deeply grateful to the city, state and community leaders for their continued support,” said Marsha McIntosh, president of North America Supply at Diageo. “The new facility will not only bring our business closer to our customers and distributors in the South but also enable our broader supply network to operate more efficiently and sustainably.

“This investment underscores our commitment to building greater resiliency into our supply chain across North America,” she said.

This rendering shows Diageo’s $415 million manufacturing and warehousing facility under construction in Montgomery. (Diageo)

Investing in Alabama

With an investment of approximately $415 million, development of Diageo Montgomery is underway, and the site is expected to be fully operational in the second half of 2025.

Approximately 750 jobs will be created during the construction phase, and, once operational, the facility will employ approximately 100 full-time personnel.

“Diageo’s decision to open a state-of-the-art facility in Montgomery is a testament to Alabama’s ability to attract world-class companies and foster meaningful economic growth,” Gov. Kay Ivey said. “This production and distribution hub not only brings high-quality jobs to our state but also reinforces Alabama’s reputation as a premier location for global investment.

“We are proud to welcome Diageo to Alabama and look forward to the positive impact this project will have on Montgomery and beyond,” she said.

Diageo said this project is part of a broader, multi-year program to strengthen the company’s global supply chain by improving its resilience and agility, delivering additional productivity savings and making its operations more sustainable.

“As an industry giant with operations that span the globe, Diageo represents an impressive addition to Alabama’s business community,” said Ellen McNair, secretary of the Alabama Department of Commerce. “Diageo’s decision to establish this production facility in Montgomery signals the company’s confidence in Alabama as a prime location to help accelerate its growth plans.”

Local impact

Montgomery-area leaders said the project reflects the significant advantages the region can offer companies pursuing growth plans.

“Diageo’s investment in a new production facility is a significant step forward for Montgomery, Montgomery County and the state, reinforcing our position as a leader in industrial and logistics growth. This new facility will create valuable jobs and further enhance economic opportunities throughout our region,” Mayor Steven L. Reed said.

Doug Singleton, chairman of the Montgomery County Commission, said, “This is a significant investment in our community, further strengthening the growing concentration of food and beverage businesses in the region. Montgomery County’s position as a logistics hub makes it an ideal location for companies like Diageo, whose presence here will create valuable synergies with other businesses.”

As part of a broader initiative to support historically Black colleges and universities (HBCUs) and minority-serving institutions, Diageo has invested $750,000 across three Alabama institutions: Alabama A&M University, Alabama State University and Tuskegee University. The company has provided scholarships and financial support to future leaders at the institutions.

This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.