British American Tobacco announced that it has moved production from two of its Canadian factories in Guelph and Aymler, both situated in Ontario.

In order to cut costs, production will be moved to Monterrey, Mexico. The $ 90 million plant will manufacture 18 billion cigarettes a year for sale in Canada. Sales of Imperial Tobacco Canada – BAT's subsidiary in Canada – have been falling by about 38 per cent a year for more than a decade, dropping to 20.5 billion cigarettes in June 2005.
British American Tobacco already produces cigarettes in Monterrey for its 40 per cent share of the Mexican market. (pi)