Campbell's to Close Historic Cape Cod Chip Plant, Ending a Local Era
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HYANNIS, Mass. — The Campbell Soup Company is closing the doors of a piece of snack food history. The company confirmed plans to cease operations at its Hyannis potato chip plant by April, ending nearly four decades of local production for the iconic Cape Cod and Kettle Brand chips.
The facility, Campbell's smallest in both size and output, will be sold. Production will be shifted to larger, more efficient plants in Wisconsin, North Carolina, and Pennsylvania. The move impacts 49 employees.
"After a thorough review, we have made the difficult but necessary decision to close our Hyannis site," said Elizabeth Duggan, President of Campbell's Snacks. "This allows us to optimize our manufacturing footprint and better position our Snacks division for sustainable, long-term growth."
The Hyannis plant holds deep roots. Cape Cod Potato Chips was founded there in 1980, with the facility opening in 1985. Campbell's acquired the brand as part of its landmark $5 billion purchase of Snyder's-Lance in 2018. However, as the brand expanded nationally, Hyannis's contribution dwindled to just 4% of total annual Cape Cod chip volume. The company stated the site "no longer makes economic sense for the business."
This closure is part of a broader industry-wide trend of consolidation. Like peers PepsiCo and General Mills, Campbell's has been streamlining its operations—closing older, smaller facilities while investing heavily in modernized plants. In 2023, the company announced a $50 million investment in its New Jersey headquarters. Last year, it revealed plans to close a Pacific soup plant and committed to a $230 million capital investment program through fiscal 2026 to upgrade manufacturing efficiency.
The decision, while framed as a business necessity, severs a tangible link between the beloved regional brand and its geographic namesake.
Reaction & Analysis:
Michael Torres, Retail Analyst at Benton Consulting: "This is a cold but calculated move. Hyannis was a heritage site, not a growth engine. Consolidating volume into larger, automated plants is a textbook play for margin improvement in a competitive market. Watch for more of this across the packaged food sector."
Sarah Chen, Former Hyannis Plant Employee (1989-2010): "It's heartbreaking. That plant wasn't just a building; it was part of the community's identity. 'Cape Cod' chips made right here on the Cape meant something. Now it's just another logo on a bag from who-knows-where. It feels like a betrayal of the brand's story."
David Park, Small Business Owner in Hyannis: "Losing those jobs is a real blow to our local economy. It's another sign of big corporations prioritizing shareholders over people and place. The chips might taste the same, but the soul of the thing is gone."
Rebecca Larson, Consumer Goods Strategist: "Sentimentality doesn't pay the bills in today's food industry. Campbell's is making the rational choice to optimize its asset base. The challenge will be managing the brand equity of 'Cape Cod' without the authentic local tie. Consumers are increasingly savvy about provenance."