Philip Morris International announced on Monday that it has doubled its planned investment in its manufacturing campus in Colorado to approximately $1.2 billion through 2028. The increase aims to expand production capacity for the company’s Zyn nicotine pouch business.

The initial investment of $600 million was announced earlier this year to construct a new facility dedicated to the production of Zyn nicotine pouches in Aurora, Colorado. The plant officially opened on Monday. Once fully operational, the facility is projected to generate about $550 million in annual revenue and support around 1,000 indirect jobs, according to the company.

Nicotine pouches have become the fastest-growing segment of nicotine products in the United States, attracting millions of users and contributing significantly to Philip Morris International’s growth in smoke-free alternatives.

This substantial investment follows recent developments from the U.S. Food and Drug Administration, which authorized 20 Zyn nicotine pouch varieties as being less harmful than cigarettes. This authorization allows Philip Morris International to market the products with reduced-risk claims, potentially accelerating consumer adoption and expanding market opportunities for Zyn.

The company’s expanded commitment underscores its strategic focus on smoke-free tobacco products amid shifting consumer preferences and regulatory landscapes. The Aurora facility is expected to play a key role in meeting increased demand for nicotine pouches within the U.S. market.