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PMI Completes PLN 1 Billion Modernization of Krakow Factory for Heated Tobacco Production
Philip Morris International (PMI) has finalized a nearly PLN 1 billion investment to modernize its factory in Krakow, Poland, enabling the production of up to 11 billion heated tobacco sticks annually, including those for the latest IQOS ILUMA systems recently launched in the country.
This upgrade positions the Krakow facility among PMI's top three globally and supports the company's transition away from traditional cigarettes toward smoke-free alternatives. The new lines produce sticks for markets in Europe, Asia, Africa, and the Middle East, creating over 300 specialized jobs.
Poland plays a key role in this shift, supplying tobacco from local growers and engineering expertise from Radom-based International Tobacco Machinery.
Since initiating its smoke-free transformation in 2016, PMI has reduced global cigarette volumes by nearly 30%, with smoke-free products now accounting for around 40% of revenue in 2024. Over 40 million adults worldwide use IQOS, including more than one million in Poland.
Backed by extensive scientific research showing significantly reduced harmful chemicals compared to cigarette smoke, PMI emphasizes these products as better options for adult smokers who do not quit, while noting the best choice is to stop tobacco use altogether. The U.S. FDA has authorized earlier IQOS systems as modified risk tobacco products.
