In just a matter of months, Cape Cod Potato Chips will no longer be made on Cape Cod.

Parent company Campbell’s, the soup maker, announced that it will be shutting down its Hyannis facility in April and moving production to facilities in North Carolina, Wisconsin and Pennsylvania. The closure of the facility is also resulting in the elimination of 49 jobs after over 40 years of operations on Cape Cod.

“The Campbell’s Company today announced plans to close its plant in Hyannis, Mass. and consolidate potato chip production as part of an ongoing effort to transform its Snacks supply chain network,” Campbell’s said. “The plant, which produces Cape Cod chips and Kettle Brand chips, will cease operations in April 2026.”

Campbell’s cited the facility producing just 4% of the brand’s total annual volume, saying it “no longer makes economic sense for the business,” adding that production will be transferred to “more modern and efficient plants” to achieve a “more agile and flexible manufacturing network.”

The announcement comes at the same time the largest publicly traded company in Massachusetts, Thermo Fisher Scientific, said it will be laying off over 100 workers as it shuts down its facility in Franklin, according to the Boston Business Journal. It also comes just a week after the reigning Massachusetts “Manufacturer of the Year,” Curia Global, shut down operations at its Burlington facility and the departures of several other businesses to more tax-friendly states like New Hampshire.

Some observers see the trend as another symptom of Massachusetts’ unfriendly business conditions.

Executive Director of the Greater Hyannis Chamber of Commerce Marty Bruemmel tells the Herald the challenges presented to Massachusetts businesses by high state taxes, strict regulations and other policies can’t be ignored.

“Taxes, operational expenses, things like that could definitely have been a consideration. The cost of living, the cost of hiring staff here and keeping them on payroll, along with the other locations they have elsewhere,” Bruemmel said of the challenges facing the potato chip factory.

“They’ve been a skeleton crew for the last five years anyway, and a lot of us were always skeptical about what’s happening there: Are they just trying to keep the facility open for image purposes?” he said, adding that the loss of 49 jobs is “the biggest disappointment out of this.”

The Massachusetts Fiscal Alliance attributes the closure to Beacon Hill policies, warning that Massachusetts is losing too many businesses to other states like New Hampshire and North Carolina for lower costs and a more competitive business environment.

“Massachusetts cannot even keep Cape Cod potato chips in Cape Cod,” MassFiscal Executive Director Paul Craney said.

“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,” Craney continued. “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.”

State Rep. Steve Xiarhos (R-5th Barnstable) is also blaming the current Massachusetts business environment shaped by state policies, calling for Beacon Hill lawmakers to turn things around.

“I am very disappointed that our local favorite, Cape Cod Potato Chips, has announced that it will be relocating. Unfortunately, this is a sad consequence of policies in our state that do not favor affordability, economic development, or business growth,” Xiarhos said in a post to Facebook. “We need to reverse this trend and put an end to headlines like this. Let’s make Massachusetts a place where businesses and families want to flock to, not flee from — and let’s start right here on Cape Cod.”

Cape Cod chips was founded in Hyannis in 1980, and has been in operation since 1985. Campbell’s bought the company through its 2018 acquisition of Snyder’s-Lance, Inc. and began winding down operations at the Hyannis facility in 2020. The company eventually stopped the widely popular tours of the building, something Bruemmel says has been a big economic draw to the area each summer.

“They’ve had such a small footprint here in Cape Cod for maybe the past 5 years. I believe after, after the pandemic, they stopped their tours, never opened up their doors again for tourists to visit. I believe they were averaging almost a quarter million visitors a year,” Bruemmel said. “It’s Cape Cod potato chips. It’s been one of the biggest tourist draws here and it’s disappearing. It’s just like the Christmas Tree Shop a few years ago.”

The Herald on Friday spoke to an employee who is losing their job to the closure, who wished to remain anonymous. They said employees at the Hyannis facility have not been laid off yet, adding that they expect that to happen by or before operations come to an end in April.

“This difficult decision reflects a careful assessment of our business needs to strengthen our operations and position our Snacks business for long-term growth. We are deeply grateful to our team and are committed to provide support and assistance during these changes,” said President of Campbell’s Snacks, Elizabeth Duggan. “We will maintain a community presence by honoring the brand’s heritage and continue local investment to support the next generation of food innovators on Cape Cod.”