YORK, PA. — Meiji Co. Ltd. plans to invest $28 million in its North American subsidiary Meiji America Inc. to boost production capacity for the Hello Panda biscuit brand, including a new product called Hello Panda Pretzel.

The fiscal 2025 investment is earmarked for Meiji America’s plant in Santa Ana, Calif., which makes the brands Hello Panda as well as Yan Yan (cracker sticks with flavored dip) and Chocorooms (chocolate-topped, mushroom-shaped cookies), according to Tokyo-based Meiji.

A chocolate cream-filled, panda head-shaped biscuit, Hello Panda has been sold in the United States since the 1990s. US production of the brand started in 2015.

“Since 2017, sales in the United States have tripled as sales channels have expanded,” Meiji said. “In order to meet growing demand, we are investing approximately $28 million (approximately 4.1 billion yen) to increase our production capacity for Hello Panda. We aim to increase sales by approximately 1.5 times by fiscal year 2026 compared to fiscal year 2023.”

The Hello Panda snack, originally made in Japan, made its debut in 1987. Overall, the product is sold in about 30 countries across Asia, Southeast Asia, the United States, the Middle East and Europe. In September, Meiji began production and sales of the Hello Panda brand in China.

York, Pa.-based Meiji America said the Hello Panda Pretzel brings a new twist to the brand. The bite-size snack has a crunchy, salted pretzel shell and a chocolate cream-filled center. Sold in a 1.7-oz package and being rolled out to select retailers, the product is peanut-free and contains no high-fructose corn syrup, the company added.

“It’s a different take on the classic chocolate-covered pretzels, with the chocolate on the inside, and we are excited to offer this new snack variation to consumers,” Meiji America said.

Parent company Meiji noted that the biscuit segment of its US confectionery business “has grown significantly.” In the United States and Canada, the company’s snacks are sold in grocery, club, specialty and convenience stores.

“The Hello Panda brand has grown independently overseas and will now launch the new Hello Panda Pretzel in the United States in October 2024,” Meiji said. “The pretzel market in the United States is estimated at approximately 420 billion yen ($2.73 billion), and it is a very popular category. This product combines pretzels and chocolate cream, allowing you to enjoy a sweet and salty flavor.”

The US plant expansion is part of Meiji’s Group 2026 Vision strategic plan, in which the company aims to spur growth in “high value-added products” and raise its overseas sales ratio to 10% or more by fiscal 2026.