Rudholm Group Expands RFID Production in LA to Meet Growing Garment Digitalization Demand

As the focus on U.S. manufacturing and sourcing continues amid ongoing trade turbulence, Sweden-based garment and footwear labeling and packaging provider Rudholm Group is expanding RFID production capacity at its Los Angeles facility.

A “significant investment” in L.A. will bring the factory’s annual RFID production capacity to approximately 100 million pieces, or carriers. This RFID ramp up is about creating a more localized supply chain for customers across the Western Hemisphere, while also meeting the growing customer demand for digitalized garment solutions.

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“At Rudholm Group, we strive to stay ahead of market trends and exceed our customers’ expectations,” said Dennis Lau, CEO of Rudholm Group. “This expansion reflects not only our dedication to innovation but also our commitment to investing in key markets like the United States.”

Explaining the expansion move, Lau told Sourcing Journal that L.A. has been a “strategic geographic location from day one” for Rudholm, supplying large customers in the local area as well as companies across the U.S. and in markets like Central America.

The capacity expansion is courtesy of new RFID production machinery that is five times faster than what the facility previously used. Another new addition is fully automated quality control for RFID, which uses a camera system to scan barcodes of the printed RFID carrier and check that the data encoded is correct. Previously, quality control would have been done manually, but Lau noted that automation hasn’t changed staffing needs. “We’re not saving on any human resources, but we’re just guaranteeing a much, much more secure outcome of the product,” he said.

RFID—short for radio frequency identification—powers connected garments, enabling solutions like inventory tracking, smart fitting rooms and contactless checkout. It is also among the key solutions for digital product passports (DPP), which contain product life cycle details such as material origins and how it can be recycled at end of life. Through the EU’s Ecodesign for Sustainable Products Regulation (ESPR), DPP is rolling out as a mandate for goods sold in the bloc. Preparing for this DPP demand, Rudholm Group’s in-house team developed the software ShareLabel.

“The world is moving into automation and AI, and I believe that RFID is just the next logical step for most retail brands,” said Lau. “It’s a better asset control of what you have in store, what you have in the warehouse, in real time.”

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Rudholm Group has been working to reduce its dependance on global supply chains. Along with circumventing trade disruptions, producing in the U.S. leads to shorter lead times. The company entered the U.S. market in 2016 with a New York office, followed by the opening of the Los Angeles facility in 2020 and a Nevada printing facility for polybags and poly mailers, which opened in 2022. In addition to RFID, Rudholm’s LA facility produces UPC stickers and care labels.

“Our vision is to provide more than products—we’re delivering solutions that help our customers stay ahead in a rapidly evolving industry,” Lau said. “With this expansion, we’re empowering brands to harness the power of digital innovation while supporting responsible, localized production.”

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