Japan Tobacco (JT) has announced today that its board of directors has decided to close the Kanazawa factory, located in the Ishikawa prefecture in Japan.

The closure of the factory, which employs 112 people, reflects declining cigarette volumes in the Japanese domestic market. Decline in total demand has been accelerating due to factors such as an ageing society, increased health consciousness and stricter smoking regulations.
The Kanazawa factory’s closure is part of several initiatives by JT to optimize production capacity in Japan and to ensure competitive business structures in its domestic tobacco business. The final details of the closure are subject to consultation with the employee labour union.
Cigarette manufacturing in the factory will cease at the end of March 2009. (ci)