Aurora, CO — Philip Morris International (PMI) has announced plans to build a new manufacturing plant in Aurora, Colorado, dedicated to producing its popular ZYN nicotine pouches. This investment underscores PMI’s commitment to providing smoke-free alternatives for individuals looking to quit smoking or chewing tobacco.
Major Investment and Job Creation
PMI is set to invest $600 million in the new facility, which will be located at 48th Avenue and Harvest Road. The plant is expected to commence operations in 2026 and will initially employ 500 workers, with an average annual wage of $90,000.
“These 500 jobs are good jobs,” said Stacey Kennedy, CEO of PMI’s U.S. operations, during a news conference at the Colorado Freedom Memorial in Aurora. Groundbreaking for the facility is scheduled for later this year, with construction completion anticipated by late next year.
“This project marks a significant investment in PMI’s vision for a smoke-free future,” Kennedy added.
Economic Impact
The new plant represents a substantial economic boost for the Aurora area. Kennedy highlighted that the investment could generate $550 million in ongoing economic benefits. Aurora Mayor Mike Coffman praised PMI’s investment, noting the variety of ways it will benefit the community.
Product Overview
ZYN nicotine pouches, which contain nicotine salts and come in flavors like citrus, coffee, and spearmint, are marketed as a smoking cessation aid. Although not classified as a tobacco product, U.S. regulators monitor its use closely due to concerns about potential substance use disorders among teenagers and young adults. PMI strictly limits sales to individuals aged 21 and older and employs rigorous age-verification systems.
Expansion and Demand
The Aurora facility is part of PMI’s broader strategy to meet the growing demand for ZYN pouches, which have become particularly popular among the 30 million smokers in the U.S. attempting to reduce their tobacco use. A similar plant in Owensboro, Kentucky, has struggled to keep pace with demand since its opening by Swedish Match in 2016. PMI acquired Swedish Match in 2022.
Kennedy noted that Colorado was one of seven states considered for the new plant, ultimately chosen for its economic opportunities and public health leadership.
PMI’s Commitment to Smoke-Free Products
Since its spinoff from Philip Morris USA and Altria in 2008, PMI has focused on developing smoke-free alternatives. The company has invested $12.5 billion in research and product development, including the latest version of its IQOS electronically heated tobacco devices, which have faced criticism from health advocates.
Incentives and Logistics
The construction of the new plant is supported by significant local incentives. Aurora offered $7.1 million in tax rebates, while the Colorado Economic Development Commission approved $4.5 million in job growth incentive tax credits. Adams County contributed an additional $4.3 million.
Gov. Jared Polis highlighted Colorado’s logistical advantages, skilled workforce, and recent legislation making community college tuition-free for residents earning under $90,000 annually. He also cited a reduction in the state’s commercial property tax rate as a factor that could attract further investment.
Philanthropic Efforts
PMI has committed to $2.5 million in philanthropic contributions, focusing on military veterans in Colorado. This includes $350,000 over two years to the Rocky Mountain Veterans Advocacy Project and $100,000 to the Veterans Community Project. Additional donations will support Colorado Gold Star Mothers, the Colorado Freedom Memorial, Hire Heroes USA, Soldier’s Angels, and Musicians on Call for Veterans Administration hospital visits.
Moreover, PMI will provide $250,000 annually for the next eight years to support a flexible housing fund for transitional housing in Aurora and Adams County.
This strategic investment by Philip Morris International not only underscores its commitment to a smoke-free future but also promises significant economic and social benefits for the Aurora community.
