"These 500 jobs are good jobs. They're jobs that support families," Stacey Kennedy, the president and CEO of PMI's operations in the United States, said during a press conference on Tuesday, July 16. She was joined by Aurora Mayor Mike Coffman, Governor Jared Polis and Adams County Commissioner Eva Henry at the Colorado Freedom Memorial to announce the new facility.
Aurora's Zyn factory will be built a few miles south of Denver International Airport, on a 150-acre parcel of land near 48th Avenue and Harvest Road. There will be a groundbreaking later this year, with regular production starting in 2026, according to PMI.
State and local lawmakers were also present to show their support for the new factory and the economic boost it promises, including state Senator Kyle Mullica, a registered nurse who spent the most recent legislative session trying to curb youth nicotine and tobacco use.
"As elected officials, we're constantly hearing from our constituents that housing is unaffordable, the cost of living is unaffordable, we need good-paying jobs," Mullica tells Westword. "We need to play a role in making sure that we're bringing good paying jobs to our community, too."
In addition to permanent jobs, the construction of the facility will open up more than 5,000 temporary jobs and have a billion-dollar economic impact on the area, according to PMI. The company estimated the factory will also create 1,000 indirect jobs and an ongoing economic impact of $550 million annually in Aurora.
Coffman was excited about those estimates and expects the factory "will generate millions of dollars in tax revenue annually," he said at the press conference, adding that it was "an extraordinary day for the City of Aurora."
Polis shared the mayor's optimism over the new factory. He touted the project as a result of his administration's efforts to reduce the price of buying commercial property in Colorado and reduce the cost of housing to hire an affordable workforce.
"We're really excited to help make Colorado the very best state to do business in," he said. "When businesses like PMI are looking at site decisions, there's a number of factors to take into account. ... They often look at the workforce and cost of doing business, and we have deep commitments to both."
"Globally, adult tobacco users and smokers are seeking out smoke-free alternatives," she said. "This facility here in Aurora that we're announcing today will support that growing adoption-driven demand in the mid-term."
PMI is worth $160 billion and is considered one of the five largest tobacco companies in the world, but Kennedy said the company still wants to "eliminate cigarettes and improve public health." More than 30 million adults in the U.S. smoke, according to Kennedy, and "they deserve scientifically substantiated better alternatives to continued smoking."
Zyn pouches were initially produced by Swedish Match, which PMI bought in 2022. People tuck the pouches into their lips or under their tongues, and the pouches deliver nicotine straight to the bloodstream through the membranes, which leaves out the need for burning tobacco leaves and its carcinogens.
"Smoking cigarettes is the most harmful form of consuming nicotine," Kennedy said. "By expanding our capacity to produce these Zyn products in the U.S., we're taking a significant step to ending smoking for good."
The U.S. Surgeon General warns that nicotine pouches, and any nicotine products, can be addictive and still have negative effects on cardiovascular systems and lead to heart disease, but they don't directly cause cancer like tobacco leaves. The pouches usually contain nicotine powder and flavoring sweeteners inside.
Nicotine pouches have climbed rapidly in popularity over the last year, especially Zyn pouches. On TikTok, "zynfluencers" show themselves trying different flavors and using them at the gym, work and sometimes at school. Last year, PMI sold more than 350 million Zyn cans, a 62 percent increase in sales from 2022.
Zyn cans, which usually have about twenty pouches, are expected to contribute upwards of $2 billion in revenue for PMI in 2024, according to the company, which last year made $35 billion overall.
In the next few years, PMI will recruit engineers, production staff, technicians and quality-control staffers to work at the new factory; the anticipated average annual salary for each position will be around $90,000. Kennedy says that some positions will open up as soon as Tuesday, but PMI has yet to post any new positions.
Mullica vows that he will still hold tobacco companies accountable while supporting the Zyn facility.
After a failed effort to ban flavored tobacco products statewide in 2022, Mullica unsuccessfully pushed legislation allowing Colorado counties to ban flavored tobacco sales while also banning the sale of smoking devices that don't have federal approval. He says he'll continue to push for similar legislation in 2025 and support the new Zyn factory at the same time.
"It doesn't mean that I'm not willing to hold the industry accountable," he says. "I also am a proponent of making sure we're bringing jobs to our community, and good-paying jobs, and I think you can do both."
After a failed effort to ban flavored tobacco products statewide in 2022, Mullica unsuccessfully pushed legislation allowing Colorado counties to ban flavored tobacco sales while also banning the sale of smoking devices that don't have federal approval. He says he'll continue to push for similar legislation in 2025 and support the new Zyn factory at the same time.
"It doesn't mean that I'm not willing to hold the industry accountable," he says. "I also am a proponent of making sure we're bringing jobs to our community, and good-paying jobs, and I think you can do both."
