Hyannis plant closure follows recent Manufacturer of the Year shutdown, underscoring worsening business climate
The Massachusetts Fiscal Alliance today warned that the closure of the Cape Cod Potato Chips plant in Hyannis is the latest sign that Beacon Hill’s economic policies are driving employers out of the Commonwealth.
Cape Cod Potato Chips parent company, Campbell’s, announced Thursday that it will shut down the Hyannis facility in April, eliminating 49 jobs and moving production to facilities in states including North Carolina, Wisconsin, and Pennsylvania. The plant has operated on Cape Cod for more than four decades and gave its name to one of Massachusetts’ most recognizable consumer brands.
Just one week ago, another Massachusetts manufacturer celebrated as “Manufacturer of the Year” announced it was shutting down its local operations. Now, an iconic homegrown brand will no longer be made in Massachusetts at all.
“Massachusetts cannot even keep Cape Cod potato chips in Cape Cod. When a company whose entire identity is tied to this state decides it no longer makes economic sense to operate here, that should set off alarm bells on Beacon Hill,” said Paul Diego Craney, Executive Director of the Massachusetts Fiscal Alliance.
Campbell’s stated the Hyannis plant now produces only 4 percent of Cape Cod branded products and no longer makes financial sense to maintain. Instead, production will move out of state, including to North Carolina, a state Massachusetts routinely loses employers to due to lower costs and a more competitive business climate.
“This is exactly what happens when politicians ignore competitiveness and pile on higher energy costs, higher taxes, and endless regulations. Other states are rolling out the welcome mat for manufacturers while Massachusetts leaders continue to pretend everything is fine,” noted Craney.
The closure adds to growing concerns that Massachusetts is becoming increasingly hostile to manufacturing and middle class jobs. Businesses face some of the highest electricity rates in the nation and a regulatory environment that favors political insiders over employers trying to stay afloat.
“Beacon Hill keeps talking about economic development while overseeing an economy that is quietly shrinking. These are not abstract numbers. These are real jobs, real families, and real communities paying the price for failed policy choices,” said Craney.
The Massachusetts Fiscal Alliance warned that without a serious shift in priorities, more companies will follow the same path.
“If lawmakers continue down this path, Massachusetts will keep losing the very employers that once made this state strong. It’s time for Beacon Hill to get serious about restoring our economic competitiveness by lowering the tax burden and repealing the net zero mandates that are causing energy prices to skyrocket,” closed Craney.