Zyn Faces Shortages and Subpoenas, Chinese Brands Swiftly Fill Market Gap

Market by 2FIRSTS.ai
Jul.11.2024
Zyn Faces Shortages and Subpoenas, Chinese Brands Swiftly Fill Market Gap
Supply shortages and legal troubles force PMI's Zyn nicotine pouch brand to halt online sales in the US, attracting new competitors.

According to a recent report by Bloomberg, the nicotine pouch brand Zyn owned by Philip Morris International (PMI) is facing a double pressure of supply shortages and subpoenas, leading to the suspension of its online sales in the United States. In response, a large number of competitors have entered the market, vying to capture market share.

 

California wholesaler Apex Distribution's sales manager, Song Jo, expressed at last month's trade show in Houston, the Alternative Products Expo, 

 

Due to Zyn's current decrease in sales and ongoing manufacturing issues, we hope to seize the opportunity and capitalize on this momentum.

 

He unveiled a nicotine pouch brand named after former professional basketball player Dennis Rodman at the exhibition.

 

According to market research firm Euromonitor International, the nicotine pouch market in the United States reached $6 billion last year, and is expected to reach $18 billion by 2027. The company reported that sales of Zyn increased by 80% in the first quarter.

 

However, after receiving a subpoena from the Colombian district, PMI decided to suspend online sales nationwide, exacerbating supply shortages.

 

This has opened up the market for many new nicotine pouch brands, with many of these brands coming from China, filling a market gap. These manufacturers mostly adopt strategies that have been successful in gaining market share in the e-cigarette market.

 

A large tobacco company is combating the influx of flavored disposable e-cigarettes manufactured in China and is beginning to take notice of competitors in the nicotine pouch market.

 

Altria Group Inc. Executive Director Steven Callahan stated

 

You will notice the increase in illegal e-cigarette devices, as well as the growth of nicotine pouches.

 

A spokesperson for PMI declined to comment on the competition involving Zyn or whether Zyn is protected by patents.

 

Chris Howard, Executive Vice President of Swisher International, stated that the slow authorization of products by the FDA has led to a significant increase in illegal e-cigarette sales, and he hopes that nicotine pouches will not encounter the same situation.

 

William Chaw, project manager of Granch Biopack, a Chinese tobacco materials manufacturer, stated that his company manufactures nicotine pouches for the "L Vape" brand and plans to soon launch brands such as "Zombie Nic" and "Pure Zyn" in the United States.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Switzerland Tightens Vape Checks as Only 3 of 32 Tested Products Meet New Tobacco Rules
Switzerland Tightens Vape Checks as Only 3 of 32 Tested Products Meet New Tobacco Rules
According to Swiss media outlet Blick, local authorities are strengthening compliance checks on vape products, nicotine pouches and other tobacco-related products following the implementation of Switzerland’s revised Tobacco Products Act. A Basel laboratory tested 32 disposable vapes and e-liquids, with only three meeting regulatory requirements and 21 products banned from sale. Swiss authorities are also expanding retail inspections, laboratory testing and youth purchase checks to enforce the new tobacco and nicotine product rules.
Aug.12
Reuters Tracks Big Tobacco’s Shift Beyond Cigarettes as Nicotine Pouches Vie for the Next Growth Curve
Reuters Tracks Big Tobacco’s Shift Beyond Cigarettes as Nicotine Pouches Vie for the Next Growth Curve
As cigarette markets face long-term pressure, major tobacco companies are increasingly turning to nicotine pouches in search of growth beyond combustible tobacco. Reuters has examined whether nicotine pouches can become the next strategic growth platform for companies including Philip Morris International, British American Tobacco and Japan Tobacco. PMI strengthened its position through the acquisition of Swedish Match and its ZYN brand, while BAT and JTI continue expanding their own nicotine pouch portfolios. The category has gained attention because of its smoke-free, device-free format, but regulation, youth-use concerns and market scale will determine whether it can become a long-term growth engine.
Regulations
Aug.18 by 2Firsts Perspectives
FDA Grants PMTA Authorization to 11 ZYN ULTRA Nicotine Pouches, Bringing Total Authorized Pouches to 43
FDA Grants PMTA Authorization to 11 ZYN ULTRA Nicotine Pouches, Bringing Total Authorized Pouches to 43
The U.S. Food and Drug Administration authorized 11 ZYN ULTRA nicotine pouch products made by Swedish Match USA through the premarket tobacco product application pathway on August 21, 2026. Ten of the authorized products have a labeled nicotine content of 9 mg, while ZYN ULTRA Smooth was authorized at 11 mg. The reviews were conducted through FDA’s nicotine pouch PMTA pilot program. FDA has now authorized 43 nicotine pouch products, including 23 through the pilot.
Aug.24
Product | IVG Launches NEXiO Prefilled Pod System, Expanding Beyond Disposable Vapes
Product | IVG Launches NEXiO Prefilled Pod System, Expanding Beyond Disposable Vapes
UK vape brand IVG has launched the NEXiO reusable prefilled pod system, expanding its product portfolio beyond disposable vape products. The device features a 1,000mAh rechargeable battery, prefilled pods with a refill reservoir structure and a claimed capacity of up to 10,000 puffs. Officially launched in the UK on July 9, 2026, NEXiO debuted with 17 flavor options, reflecting IVG’s move into reusable pod formats.
Aug.19
Exclusive Analysis | Smoore H1 Revenue Rises 19.9% Amid Growth Concentration, Profit Pressure and Slowing Momentum
Exclusive Analysis | Smoore H1 Revenue Rises 19.9% Amid Growth Concentration, Profit Pressure and Slowing Momentum
Smoore’s first-half 2026 revenue rose 19.9%, but the results revealed growing structural risks beneath the headline growth. Heat-not-burn contributed about 61% of incremental revenue and remains driven largely by one core customer, while traditional vaping markets diverged, own-brand growth slowed and China enterprise revenue declined further. Gross profit and adjusted profit lagged revenue growth, while second-quarter revenue growth slowed to about 1.9%, putting greater focus on the quality, concentration and sustainability of Smoore’s expansion.
Capital Markets
Aug.20
South Korea Constitutional Court Upholds Volume-Based E-Liquid Tax, With Challenged Rates at KRW 370 and KRW 628 per Milliliter
South Korea Constitutional Court Upholds Volume-Based E-Liquid Tax, With Challenged Rates at KRW 370 and KRW 628 per Milliliter
South Korea's Constitutional Court has upheld fixed taxes on nicotine-containing e-cigarette liquids based on solution volume, ruling that challenged provisions imposing KRW 370 per milliliter in individual consumption tax and KRW 628 per milliliter in tobacco consumption tax do not violate the Constitution. The cases stemmed from historical disputes involving importers that reported nicotine as being extracted from tobacco stems rather than leaves. South Korea has since broadened its tobacco definition to include synthetic nicotine, while current tax laws provide reduced rates for certain products not derived from tobacco.
Sep.18