ITC Receives Complaint from Reynolds Targeting Multiple Vaping Manufacturers and Distributors

Business by 2FIRSTS.ai

Oct.19.2023

ITC Receives Complaint from Reynolds Targeting Multiple Vaping Manufacturers and Distributors

R.J. Reynolds Tobacco Company and R.J. Reynolds Vapor Company have filed a complaint against multiple manufacturers, distributors, and retailers of disposable e-cigarette devices.

According to reports from Tobaccoreporter and other sources, Reynolds Tobacco, a subsidiary of British American Tobacco, along with R.J. Reynolds Vapor Company, has filed an investigation application with the U.S. International Trade Commission (ITC) under section 337 of the U.S. Tariff Act of 1930 (as amended). The investigation alleges unfair import practices by multiple manufacturers, distributors, and retailers of various popular disposable e-cigarette devices from both China and the United States.

This is one of the recent actions taken by Reynolds to remove the e-cigarette products of its competitors from store shelves. The case is titled "Certain Disposable Vaporizer Devices and Components and Packaging Thereof," with investigation prior to the case number 337-TA-3700.

Reynolds has requested the ITC to investigate and issue an injunction to prevent further imports of disposable e-cigarette products into the United States.

Reynolds hopes that the United States International Trade Commission will issue a permanent "cease and desist order" to prohibit the sale of illegal e-cigarette products by any company. Such a move would force almost the entire e-cigarette industry underground, with the exception of products owned by major tobacco companies like Reynolds, which have already received marketing orders from the U.S. Food and Drug Administration.

Reynolds's lawsuit specifically names several companies as "illegal disposable e-cigarette merchants," including Breeze, Elf Bar, Esco Bar, Hyde, Puff Bar, and the manufacturers, importers, distributors, and retailers of R&M disposable e-cigarettes.

Several well-known wholesale and retail companies in the United States, including Element Vape, Flawless Vape, Magellan Technology, Mi-One Brands, Price Point Distributors, and Vape Sourcing, have also been named simultaneously.

ITC has filed a lawsuit accusing the defendants of importing "illegal disposable e-cigarettes," in violation of the 1930 Tariff Act Section 337. Specifically, Reynolds claims that these companies either falsely advertised their products as being authorized for sale by the US government, or failed to comply with registration and reporting requirements, sales restrictions, or customs laws and regulations, as mandated by federal laws.

Last week, the FDA issued a Marketing Denial Order (MDO) for Vuse Alto, ordering the mint-flavored product to be removed from the market. However, the Alto device and tobacco-flavored pods are still under review by the agency. Currently, the FDA has authorized a total of 23 products, including two older models of Vuse e-cigarettes, namely Solo and Vibe, along with their tobacco-flavored cartridges.

Reynolds also stated that if illicit products are removed, they have the capability to fill any gaps in the market.

The complaint states, "If the accused products are excluded from importation, Reynolds is capable of meeting any increase in demand." "Reynolds is willing to fulfill any additional demand and can do so within a reasonable timeframe, as it has already supplied the industry with a significant amount of nicotine delivery devices and oral tobacco and nicotine products."

ITC has not yet made a decision on the appeal submitted on October 13th.

The plaintiff alleges that the illegal actions of both the Chinese and American defendants include:

Violations of the Lanham Act pertaining to false and misleading advertising;
Violations of federal laws regulating electronic nicotine delivery systems (ENDS) products;
Violations of customs laws and regulations applicable to imported goods.

List of Accused Companies

China

1. Dongguan (Shenzhen) Shikai Technology Co., Ltd.

L5 Block A Shuangjinhui, Tongfuyu Fuyong

Baoan Shenzhen, Guangdong China 518101

2. Guangdong Qisitech Co., Ltd.

Fuxing Road, Changan Town, Room 201, Building 3, No. 36

Dongguan, Guangdong Province, CHINA 523000

3. Shenzhen Daosen Vaping Technology Co., Ltd.

#501, Building B1, Quanzhi Zhihui Park, Ligang S. Road.

Shajin Street, Bao’an Dist,, Shenzhen, China 518104

4. Shenzhen Fumot Technology Co., Ltd.

A2907, Building A Longguan Jiuzuan Business Center, Minzhi Longhua, Shenzhen, China 518000

5. Shenzhen Funyin Electronic Co., Ltd.

205 and 401, Building A3, Fuyan Ind. Zone Tangwei Community

Fuhai St., Bao’an Dist. Shenzhen

Guangdong, China 518000

6. Shenzhen Han Technology Co., Ltd.

Qianwan Hard Technology Park, Baoan District

Shenzhen, Guangdong,China 518126

7. Shenzhen Innokin Technology Co., Ltd.

Building 6, XinXinTian Industrial Park, Xinsha Road, Shajing

Baoan District, Shenzhen China 518104

8. Shenzhen IVPS Technology Co., Ltd.

101 Building B8, No. 2, Cengayo Industrial Area

Yuluv Community, Yutang Subdistrict

Guangming District, Shenzhen, Guangdong, China 518001

9. Shenzhen Noriyang Technology Co., Ltd.

Room 303, Building A, Zhonghengsheng High-Tech Park

Xinyu Road, Shajing Town, Baoan District

Shenzhen, Guangdong Province, China 518104

10. Shenzhen Pingray Technology

3rd Floor, No. 9 Building, HuaFeng International Made City

WanLe Rd., Shajing St., Bao’an District

Shenzhen, China 518000

11. Shenzhen Weiboli Technology Co. Ltd.

Room 312, Tianshuzuo, No. 6099 Bao’an Avenue

Bao’an District, Shenzhen, China 518000

12. iMiracle (Shenzhen) Technology Co. Ltd.

Room 1203, Block 1, Wanting Building, Xixiang Substrict

Bao’an District, Shenzhen China 518126

13. Vapeonly Technology Co. Ltd.

Room 306-311, Tianshu Building, No. 6099

Bao’an Avenue, Bao’an District, Shenzhen, China 518000

America

14. American Vape Company, LLC a/k/a American Vapor Company, LLC

13326 Immanuel RoadPflugerville, TX 78660-8006

15. Breeze Smoke, LLC

4654 Lilly CourtWest Bloomfield, MI 48323

16. EVO Brands, LLC

251 Little Falls Drive Wilmington, DE 19808

17. Flawless V ape Shop Inc.

1021 E. Orangethorpe Avenue Anaheim, CA 92801

18. Flawless V ape Wholesale & Distribution Inc.

1021 E. Orangethorpe AvenueAnaheim, CA 92801

19. Magellan Technology Inc.

2225 Kenmore Avenue Buffalo, NY 14207

20.Pastel Cartel, LLC

13326 Immanuel Road Pflugerville, TX 78660-8006

21. PVG2, LLC

251 Little Falls Drive Wilmington, DE 19808

22. SV3 LLC d/b/a Mi-One Brands

4908 E. McDowell Road Phoenix, AZ 85008

23. Thesy, LLC d/b/a Element Vape

10620 Hickson StreetEl Monte, CA 91731

24. Affiliated Imports, LLC

13326 Immanuel Road Pflugerville, TX 78660-8006

25. VICA Trading Inc. d/b/a Vapesourcing

3045 Edinger AvenueTustin, CA 92780

26. Price Point Distributors Inc. d/b/a Prince Point NY

500 Smith StreetFarmingdale, NY 11735

References:

[1] ITC官网

[2] Tobaccoreporter

Also Read:

[1] Smoore International Receives Temporary Approval for Marketing Denial Order

[2] Misleading Marketing Practices in Email Notice by BAT Subsidiary

[3] FDA Issues Enforcement Notice, Targeting Several Chinese Brands

#Reynolds #E-cigarette distributor

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