Inside Zyn's $1.2B Colorado bet
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Philip Morris International ramps up production at its planned $1.2 billion Zyn campus in Aurora on Monday, cementing Colorado's role at the center of the booming nicotine pouch business.
Why it matters: The tobacco giant's first U.S. greenfield manufacturing complex is being pitched as a boon to Aurora's economy, but critics say Colorado is backing a product that could addict young users.
The 148-acre campus gives PMI a major U.S. manufacturing foothold, strengthening its supply chain.
- At about 780,000 square feet, the facility — halfway between DIA and I-70 — is PMI's second-largest U.S. plant and its largest focused exclusively on Zyn.
Catch up quick: The company announced the site in 2024 as a $600 million project and began producing its first products last September.
The site represents a planned $1.2 billion investment between 2024–2028 as PMI adds capacity, equipment and infrastructure.
What they're saying: PMI and Colorado seem "very like-minded in the belief in science and innovation, in better products and — particularly — regulated products," Stacey Kennedy, CEO of PMI U.S., tells Axios.
By the numbers: The company has filled more than 170 jobs at the Aurora site and about 500 people will eventually work there. The jobs, on average, pay $90,000 annually.
- PMI has said the facility will generate about $550 million in annual economic impact.
Zoom in: Kennedy didn't specify how many Zyn pouches will be made in Aurora, but the facility aims to serve as a blueprint for U.S. expansion as demand for continues to grow.
Gov. Jared Polis praised PMI for advancing manufacturing jobs in the state, and Aurora Mayor Mike Coffman has touted increased tax revenue and the facility's economic impact for the city.
- The state previously approved up to $4.5 million in job-growth tax credits at the site.
Yes, but: Public health advocates say taxpayers shouldn't help finance the expansion of a tobacco company, arguing the pouches risk hooking a generation of users.
Threat level: Johns Hopkins researchers say nicotine pouches contain fewer carcinogens than cigarettes or chewing tobacco, but can still cause addiction and health concerns.
Flashback: Kennedy calls the launch a "homecoming." Swedish Match, now a PMI subsidiary, piloted Zyn in 50 Colorado stores in 2014.
What's next: A ribbon cutting at the facility is today.