Philip Morris International has announced a $232 million factory expansion in Kentucky
Philip Morris International is set to invest $232 million to expand a Kentucky factory that makes nicotine pouches, part of the company's broader strategy toward what it calls a «smoke-free future.»
The expansion at the Swedish Match plant in Owensboro is expected to add 450 jobs, boosting the factory's workforce by about 40% to help meet growing demand for smoke-free products, the company said. The factory in western Kentucky produces ZYN nicotine pouches, a brand that's part of a growing segment of nicotine-based alternatives for consumers switching from cigarettes or other tobacco products.
The pouches fit between a person’s lip and gums to slowly release low levels of nicotine absorbed into the bloodstream. The contents dissolve and the pouch is then discarded.
“We are accelerating our mission toward a smoke-free future, working with our U.S. affiliates to move adults away from cigarettes and other traditional tobacco products by providing better alternatives,” Stacey Kennedy, CEO of PMI’s U.S. business, said in a release.
The ZYN oral pouches contains nicotine powder and flavorings like mint, coffee and citrus. The pouches are the fastest-growing segment of the tobacco industry, which has struggled for decades to replace falling cigarette sales.
ZYN is marketed by Philip Morris International to adult tobacco users. Although it doesn’t contain tobacco, U.S. regulators still treat it as a tobacco product. Because pouches generally don’t contain tobacco, so users don't necessarily spit as they do with older products such as chew and snuff.
The Food and Drug Administration says no tobacco product is safe. Cigarettes are widely
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