A new Zyn factory is coming to Colorado amid high demand and shortages of the nicotine pouches
A new $600 million Zyn factory is scheduled to open in Aurora, Colorado late next year amid high demand for the nicotine pouches in the US.
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- A new $600 million Zyn factory is expected to open in Colorado late next year.
- Zyn has been in high demand in the US, fueling shortages of the nicotine pouches.
- Research studies and medical experts warn nicotine can be addictive and have long-term health effects.
Zyn is ramping up production with a new US factory amid high demand for the brand's nicotine pouches nationwide.
Zyn's parent company, Philip Morris International, will invest $600 million over the next two years to open a new manufacturing plant in Aurora, Colorado, the tobacco giant announced Tuesday.
The facility is expected to open for preliminary operations by the end of next year and start regular production in 2026.
An existing Zyn facility in Owensboro, Kentucky, will also increase production to help meet soaring demand for the nicotine pouches in the US.
Philip Morris International, which owns Zyn maker Swedish Match, said in February that nearly 385 million cans of the flavored nicotine pouches shipped in the US in 2023, up 62% year over year. The company expects even more this year, forecasting US shipment of roughly 520 million cans.
Soaring demand has created shortages of the nicotine pouches, with PMI's chief financial officer, Emmanuel Babeau, saying in April that there were "some tensions on the supply chain, without any doubt."
Zyn, which has been available in the US since 2014, has seen a spike in popularity thanks to social media and shifting consumer tastes. Some white-collar workers turn to Zyn on the job, and some people have tried using the pouches for weight loss, though medical experts warn it hasn't been well-studied to evaluate efficacy and safety.
Research studies and medical experts warn nicotine can be addictive and can have negative long-term effects on the body, including the cardiovascular, respiratory, and nervous systems.