Philip Morris International closes last German factory due to declining demand

Jul.31.2025
Philip Morris International closes last German factory due to declining demand
Philip Morris International closes last German factory in Dresden due to declining cigarette demand in Europe.

Key points:

·Philip Morris International (PMI) closed the last factory in Germany, the Dresden 'F6' factory, at the end of July. 

·The decision to close was due to a continuous decrease in cigarette demand in the European market, with statistics showing that only one out of every five Germans smoke regularly. 

·The factory primarily produced loose tobacco for consumers to purchase and use in homemade cigarettes.

 


 

According to exxpress on July 30, Philip Morris International (PMI) has decided to close its last production facility in Germany, the 'F6' factory in Dresden, at the end of July. This marks PMI's complete withdrawal from the production sector in Germany after closing the Berlin factory in June 2025.

 

The company confirmed this news after negotiating with the union. The factory, located in Dresden, Germany, was once an important tobacco processing plant for Philip Morris International (PMI).

 

As early as autumn 2024, Philip Morris International (PMI) announced plans to withdraw from production in Germany due to the continuous decline in demand for cigarettes in the European market. According to statistics, only one out of every five people in Germany regularly smokes, and this trend is continuing to diminish.

 

The closure of the Dresden factory this time will directly affect 274 employees. Recently, the factory mainly produced loose tobacco leaves for consumers to purchase and use to roll their own cigarettes.

 

At a factory in Berlin, Germany, approximately 100 employees are responsible for producing expanded tobacco leaf, which is used as filler material for filtered mouthpiece cigarettes.

 

According to a report by Exxpress, although Philip Morris International (PMI) withdrawing from manufacturing in Germany is now inevitable, the company's future direction remains clear: gradually moving away from traditional cigarettes and towards new alternative products. The company plans to have the majority of its revenue come from sales of non-traditional tobacco products before 2030.

 

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