Swisher Closing Jacksonville Cigar Factory

The world’s largest cigarmaker is closing down the last part of its U.S. manufacturing operations.

Swisher International said that it will close its Jacksonville-based cigar manufacturing operation, moving the production to its factory in the Dominican Republic. It’s the final part of a five-year project to move operations to the Dominican Republic.

As part of the move, 50-90 people will be laid off. Joe Augustus, svp of global affairs for Swisher, told halfwheel the move would be completed in the next 30-60 days.

Augustus blamed the move on tax situations in the U.S. that make it cheaper to produce the cigars overseas. He said the company had tried to get the policy changed, but the government offered no relief.

Swisher’s competitors—namely Backwoods, Black & Mild, Phillies and White Owl—are all made outside the U.S., mostly in the Dominican Republic.

The move has no effect on Swisher’s headquarters, which will remain in Jacksonville.