Juul Gets Temporary Reprieve to Keep Selling Its E-Cigarettes

Industry InsightMarket
Jun.27.2022
The F.D.A. is not seeking a blanket ban on all vaping brands, and Juul users could switch to other e-cigarettes that have been approved for sale by the agency.Credit...Joshua Bright for The New York Times

A federal appeals court on Friday granted a temporary reprieve to Juul Labs that will allow it to keep its e-cigarettes on the market, pending further court review of a decision just a day earlier by the Food and Drug Administration to ban sales of the company’s products.

 

The United States Court of Appeals for the District of Columbia issued a temporary stay that had been sought by Juul. The brief order by the appeals court cautioned that the stay was “ should not be construed in any way as a ruling on the merits.”

 

The stay involves the F.D.A.’s order on Thursday, when the agency said Juul had to stop selling its products because it had provided conflicting and insufficient data that prevented the F.D.A. from assessing the potential health risks of its products.

 

What’s the next step for Juul?

 

It will be up to the appeals court to decide whether Juul should continue to be allowed to sell its products while the company pursues its appeal of the F.D.A.’s decision. The court gave Juul until Monday at noon to file an additional motion, and it gave the F.D.A. until July 7 to file a motion in response.

 

In its emergency filing for a stay, Juul argued that the F.D.A.’s decision to ban sales was motivated by political forces that sought to blame the company for the youth vaping crisis. The F.D.A. issued the ruling against Juul “after immense political pressure from Congress,” the filing reads, “even though several of its competitors now have a larger market share and much higher underage-use rates.”

 

However, the F.D.A. did not cite underage use in its decision to ban Juul from the market. Rather, the agency said Juul had not provided sufficient evidence that its product prevents leaching of chemicals from the device to the nicotine vapor that users inhale.

 

Will Juul users still be able to buy the company’s pods and e-cigarettes?

 

As long as the stay is in force, consumers will be able to buy Juul cartridges and its tobacco and menthol-flavored pods. The F.D.A. had warned that retailers selling Juul products would be subject to enforcement action at some point but not while a stay is in place.

 

In its court filing, Juul pointed out that the agency’s decision had “already had its intended effect,” indicating that some retailers had stopped selling Juul products.

 

Will I still be able to buy other e-cigarette products?

 

The F.D.A. is not seeking a blanket ban on all vape products. As part of its new regulatory authority over so-called electronic nicotine delivery systems, or ENDS, the agency has been reviewing applications for millions of products. It has already granted approval to 23 of them, including products made by R. J. Reynolds, NJoy and Logic. (Applications for a million other products have been denied.)

 

As part of its review, the agency must consider whether a product is a viable alternative to combustible tobacco that can help cigarette smokers quit, and that the benefits to public health outweigh the harm.

 

What are the best-selling e-cigarettes still on the market?

 

According to data from Nielsen, the top-selling vaping brand in the U.S. over the past 12 weeks was a Vuse product, which earned $414 million in sales and had 33.4 percent of the overall e-cigarette market. A close second was Juul, with a 33-percent market share. None of the other brands came close to these two companies; the next best-sellling brand, NJoy Ace, accounted for just 2.4 percent of the market.

 

How does the tobacco industry stack up against vaping?

 

The cigarette industry in the United States brought in about $99 billion in revenue last year, compared to $7.8 billion for vaping products like Juul, according to Euromonitor, a data research firm. But sales of tobacco are declining: Euromonitor estimates that cigarette sales will fall by about 13 percent through 2026, while vaping products are expected to grow by about 22 percent. Altria, the tobacco giant that took a 35-percent stake in Juul in 2018, reported that its sales fell slightly last year, according to regulatory filings.

 

There are an estimated 30 million smokers of traditional cigarettes in the U.S., a number that has been in decline for decades.

IVG Adds Six New Flavours to Pro Range, Expanding Line-Up to 39
IVG Adds Six New Flavours to Pro Range, Expanding Line-Up to 39
IVG has added six new flavours to its Pro range, taking the total line-up to 39 flavours. The new additions are Cola Frost, Rainbow Burst, Pineapple Tropic, Blueberry Raspberry, Strawberry Raspberry Ice and Raspberry Cherry Blueberry. All six are available only in 20mg nicotine strength, with an RRP of £10.95 for a starter kit and £7.95 for a refill pod.
Apr.21 by 2FIRSTS.ai
Geneva Court Annuls Ban on Disposable E-Cigarette Sales, Says Power Lies With Federal Authorities
Geneva Court Annuls Ban on Disposable E-Cigarette Sales, Says Power Lies With Federal Authorities
The Geneva Court of Justice on Tuesday upheld appeals filed by four associations and companies active in the tobacco trade and annulled the Geneva legal provision banning the sale of disposable e-cigarettes, commonly known as “puffs.”
Apr.30 by 2FIRSTS.ai
From myblu to Zone: Imperial Brands Refocuses NGP Strategy in HY26
From myblu to Zone: Imperial Brands Refocuses NGP Strategy in HY26
mperial Brands’ HY26 results point to a more selective NGP transition. The company is using cash flow from traditional tobacco to fund targeted investments in modern oral nicotine, heated tobacco and reusable vaping systems. Its decision to exit the legacy myblu vaping business in the U.S., while expanding Zone nicotine pouches. In Europe, Imperial’s NGP growth is being driven by a multi-category portfolio including blu, Pulze and Zone/Skruf.
Special Report
May.12
Ukrainian Lawmaker Proposes Ban on Vapes, Heated Tobacco Devices and Hookahs for Under-17s
Ukrainian Lawmaker Proposes Ban on Vapes, Heated Tobacco Devices and Hookahs for Under-17s
Ukraine’s Verkhovna Rada has registered a bill that would ban the use of tobacco products, vapes, hookahs, herbal smoking mixtures and heated tobacco devices by people under 17. The bill was introduced by People’s Deputy Georgiy Mazurashu and has already been sent to the relevant parliamentary committee. The author said one reason for the initiative is the prevalence of vaping among adolescents.
Apr.28 by 2FIRSTS.ai
Russia Moves Toward Full Ban on E-Cigarettes and Vapes, With Scope Still Under Discussion
Russia Moves Toward Full Ban on E-Cigarettes and Vapes, With Scope Still Under Discussion
Russia’s State Commission for Countering Illegal Trafficking in Industrial Products on March 25 supported an initiative to fully ban the production, import and circulation of electronic cigarettes, vapes and refill liquids in Russia.
Mar.26 by 2FIRSTS.ai
Spanish parties PP and PSOE reach agreement on sales restrictions for e-cigarettes and nicotine pouches
Spanish parties PP and PSOE reach agreement on sales restrictions for e-cigarettes and nicotine pouches
Spain’s Popular Party and Socialist Party reached an agreement in the Joint Congress-Senate Commission for the Study of Addiction Problems and approved a non-binding motion calling for the sale of e-cigarettes, nicotine pouches and related products to be limited to authorized and controlled channels, such as tobacco shops and specialized stores, while excluding internet sales and general retail outlets.
Apr.27 by 2FIRSTS.ai