CHILLICOTHE, Ohio — U.S. Paper Mill is repurposing the former Pixelle Specialty Solutions plant into a regional hub for advanced manufacturing, aerospace production, medical devices, research and development, and high-performance computing, according to a Wednesday announcement distributed via Business Wire.
The company said it has struck a series of new partnerships to build out the campus: a supply and licensing agreement with U.S. Medical Glove Company for nitrile glove manufacturing, a collaboration with data center operator Aligned to develop artificial intelligence computing infrastructure, an agreement with Amphibian Aerospace Industries (AAI) to build amphibious aircraft components, and a research partnership with U.S. Box Company aimed at bringing large-scale manufacturing back to the site.
Former U.S. Ambassador Robin Bernstein, a partner at U.S. Paper Mill, said the goal is to prove that “America’s industrial heartland can be reborn” as an economic growth corridor rather than left behind. Ohio Sen. Bernie Moreno, R-Ohio, said in the release that “positive momentum continues for the great people of Chillicothe” and reiterated his commitment to helping former mill workers find comparable-paying jobs.
According to the release, U.S. Medical Glove Company’s nitrile glove line — already approved by the Transportation Security Administration — is expected to support about 150 onsite jobs. Aligned’s proposed high-performance computing campus represents an anticipated $1.5 billion investment. AAI’s planned fuselage and component manufacturing facility, described as the first U.S. transport-category amphibious aircraft plant of its kind, is projected to create 150 to 200 direct manufacturing jobs and more than 500 indirect jobs, with up to $50 million committed in a first phase and more than $400 million in projected annual revenue at full production. U.S. Paper Mill also plans to expand its own fabrication work to build modular AI computing pods.
Michael Throne, IOM, president and CEO of the Chillicothe Ross Chamber of Commerce, welcomed the news in a statement Thursday, saying the community’s original vision for the site was never just about replacing what was lost.
“From the very beginning, our vision for the former Pixelle site was never just about replacing what was lost — it was about reimagining that campus as a true multi-use hub that could support a diversity of high-skilled, high-paying industries under one roof,” Throne said. He added that the new partnerships validate that vision and represent good news for the hundreds of direct and indirect jobs the project is expected to create.
Background
The 215-year-old Chillicothe mill, one of the last integrated paper mills in Ohio, closed Aug. 10, 2025, after Pixelle Specialty Solutions cited declining demand for the specialty paper it produced. The closure came despite a spring 2025 push by Moreno and other officials that briefly delayed the shutdown from its original date.
The mill employed about 750 people when its closure was first announced in April 2025, making it one of Ross County’s largest employers, according to Signal Ohio. Other outlets reported nearly 900 workers were ultimately affected, with roughly 600 losing a significant portion of their pensions, some by as much as half, according to Litter Media, citing former United Steelworkers Local 731 Vice President Timothy Jenkins.
In October 2025, Pixelle sold the shuttered facility to U.S. Paper Mill LLC, an affiliate of U.S. Medical Glove Company. Pixelle directed the full $5.5 million in proceeds from the sale into a fund for local unions and displaced workers, according to Spectrum News 1, with distribution handled through the Foundation for Appalachian Ohio.
U.S. Medical Glove Company began operations at the site as its first tenant, rehiring dozens of former Pixelle employees and bringing in additional staff from its Illinois facility to help train the local workforce. By spring 2026, the company had hired approximately 120 workers and produced more than 500,000 gloves at the Chillicothe site, according to a case study published by law firm Ice Miller, which represented U.S. Paper Mill in the acquisition.
The transition has not been without friction. In March, Scioto Valley Guardian reporting noted the company had to work through operational hurdles at the aging facility, including a gas service disruption tied to a contract oversight, and state regulators signed off on reduced wastewater monitoring after industrial process equipment was emptied and flushed.
Wednesday’s announcement marks the most significant expansion of the site’s planned use since the sale, adding aerospace manufacturing and AI data center infrastructure to the glove production already underway — more than a year after the closure first threatened to upend Ross County’s economy.