Etex Building Performance Ltd applied to the council to extend its plasterboard manufacturing facilities at Redland Avenue in Easton-in-Gordano.
Etex's plans involve building an extension to its existing factory and warehouse premises on the site of a former coal storage yard, almost doubling its current size.
The number of HGV, car and cycle parking spaces serving the site will be increased and the company has agreed to contribute £10,000 towards pedestrian and cycle improvements along Marsh Lane to improve access to the site.
Approving the application planning officers said: "The proposed development will reuse previously developed land, making efficient use of a previously redundant coal storage area.
"It will contribute to the local economy by providing a significant capital investment and will provide approximately 74 jobs, as well as an anticipated increase of 53 staff employed by logistical operations serving the site."
Cllr Mark Canniford, the council's executive member for placemaking and economy, said: "I very much welcome Etex's expansion plans and the jobs and economic benefits they will bring to North Somerset.
"Given the difficult times for businesses as a result of the Covid pandemic, it's great to see a local company confident about the need for their product and with confidence in the North Somerset economy and the future of the construction industry in the UK.
"Their ambitions fully support the policy in our Core Strategy to maintain and enhance the role of Royal Portbury Dock."
Leader of the Council Cllr Don Davies said: "I welcome the news that Etex, as a multi-national business, have chosen North Somerset for such a significant investment and I look forward to continuing to work with them."