Philip Morris Opens $1.2B Manufacturing Campus to Grow Zyn Brand

Dow Jones07-27 21:04
 

Philip Morris International opened a $1.2 billion manufacturing campus in Colorado, part of the tobacco company's efforts to expand its Zyn portfolio and meet rising demand for nicotine pouches.

Originally announced in 2024 as a $600 million project, the Aurora manufacturing plant will expand the company's domestic manufacturing capabilities and strengthen its supply-chain resilience, Philip Morris said Monday.

The site began commercial production earlier this month, after approximately 19 months of construction. The roughly 780,000-square-foot campus manufactures Zyn nicotine pouches, positioning Aurora as a strategic production and export hub for future growth.

"This facility expands our production capacity, strengthens our supply chain, and enhances our ability to serve growing demand in the United States and around the world," said Stacey Kennedy, chief executive of Philip Morris U.S. "It reflects our confidence in American workers, U.S. manufacturing, and the long-term growth opportunities ahead for our business."

Philip Morris has invested about $1 billion in the Aurora campus so far. The company plans to invest an additional $200 million over the next two years in the facility's next phase of development, which will add additional production capacity and expand the site.

The expansion will support the continued growth of Zyn in the U.S., as well as increasing opportunities in international markets across Asia, Latin America and the Caribbean, Philip Morris said.

Once fully operational, the facility is expected to generate about $550 million in annual economic impact and support 1,000 indirect jobs, the company added.

Philip Morris said last week that it would ramp up investments in its U.S. business, aiming to keep Zyn's spot as the go-to nicotine pouch for Americans. The comments came as the company recorded higher second-quarter sales, led by Zyn pouches, with U.S. shipments increasing 1.8% to 2.9 billion.

In addition to the company's new Colorado campus, Philip Morris also has domestic manufacturing facilities in Kentucky and North Carolina.

 

Write to Connor Hart at connor.hart@wsj.com

 

(END) Dow Jones Newswires

July 27, 2026 09:04 ET (13:04 GMT)

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