Philip Morris International (PMI), the parent company of ZYN manufacturer Swedish Match North America, has announced it will build a new manufacturing facility to increase ZYN production capacity.
ZYN is the most popular brand of nicotine pouches, controlling over 70 percent of the fast-growing nicotine product market segment. Rapid growth and high demand for ZYN products has led to widespread shortages of the popular pouch brand.
PMI will spend $600 million to build the new facility, located in Aurora, Colorado. It is expected to employ 500 people. The company says it plans to break ground in Aurora this year, and begin preliminary operations at the new facility by the end of 2025.
Currently all U.S. ZYN products are manufactured at Swedish Match’s Owensboro, Kentucky plant. According to a PMI press release, the company is also working to increase ZYN production capacity at that facility.
Swedish Match was acquired by PMI for $16 billion in 2022, and is also the world’s largest producer of Swedish snus.