TobaccoReporter logo

Blog

  • U.S. Tobacco Groups Urge Targeted Relief Amid Export Downturn

    U.S. Tobacco Groups Urge Targeted Relief Amid Export Downturn

    Fourteen U.S. agricultural and tobacco-sector organizations sent joint letters to President Donald Trump, Secretary Brooke Rollins, and Secretary Scott Bessent thanking the Administration for expressing willingness to support flue-cured tobacco farmers facing severe trade disruptions. The letters highlighted urgent challenges, including a 20–25% drop in exports, 15–20% decline in farm-gate prices, and shrinking demand from key markets like China. Rising input costs are also adding financial pressure as growers plan for 2026.

    “On May 29th, China wrote to the U.S. leaf merchants that it would not honor its purchase as much as 60 million pounds of flue-cured leaf in 2025. This exit resulted in adverse impacts on prices and values as the season progressed. The surplus created a soft demand that caused a market downturn of 27 cents per pound on average.”

    While the Administration recently announced the $12 billion Farm Bridge Assistance Program, tobacco is currently excluded. The coalition urged targeted relief, citing precedent from the first Trump Administration when tobacco was included in market facilitation programs. The groups emphasized the risk of lost family farms and the need for prompt inclusion of tobacco in relief measures.

    Tobacco Associates disseminated the letters to industry members and encouraged growers to contact local, state, and federal representatives to share personal experiences and the real impact of the downturn, stressing that these voices carry significant weight in shaping policy responses.

    The Honorable Donald J Trump_Tobacco TradeDownload
    Letter to USDA + Treasury – Tobacco TradeDownload

  • Altria CEO Gifford to Retire in 2026; Mancuso Named Successor

    Altria CEO Gifford to Retire in 2026; Mancuso Named Successor

    Altria Group announced that CEO Billy Gifford will retire following the company’s 2026 Annual Meeting of Shareholders on May 14, ending a more than 30-year career with the company. Gifford, who has led the company since 2020, plans to remain as a consultant through at least the end of 2026 to support a smooth leadership transition. Company leaders praised Gifford for steering Altria through a turbulent period and emphasized continuity in advancing the company’s “Moving Beyond Smoking” strategy under the incoming leadership team.

    The board has elected Salvatore “Sal” Mancuso, currently Altria’s executive vice president and chief financial officer, to succeed Gifford as CEO. Mancuso joined Philip Morris USA in 1990 and has held senior roles across strategy, finance, and compliance. Board Chair Kathryn McQuade said his selection followed a long-term succession process evaluating both internal and external candidates.

    Heather Newman, Altria’s chief strategy and growth officer, has been named the company’s next CFO, also effective at the 2026 Annual Meeting. Newman, who joined Altria in 1999, previously served as president and CEO of Philip Morris USA.

  • Tobacco Retailer Fined $13M Under Wisconsin’s New Vape Law

    Tobacco Retailer Fined $13M Under Wisconsin’s New Vape Law

    Wisconsin regulators imposed some of the largest penalties yet under the state’s new vape-sales restriction law, fining Exclusive Tobacco nearly $13 million and issuing a separate $450,000 penalty to Green Bay–based Dave’z Smoke N Vape. The Department of Revenue said Exclusive Tobacco’s Oshkosh location was found selling vape products not included on the state’s approved directory and operating with an expired municipal license. Inspectors seized 1,244 illegal vapes, and because the law carries a $1,000-per-device-per-day penalty, the fine totaled more than $12.4 million. A follow-up inspection triggered an additional $431,000 fine. Both cases are under appeal.

    The state has stepped up enforcement since the law took effect September 1, issuing 42 removal orders and conducting 27 product seizures, including actions against shops operating without valid licenses. Regulators say the directory system—allowing only 303 approved products—is intended to standardize the market and reduce youth access. Store owners counter that the rule has wiped out much of their inventory, with some retailers reporting severe losses, employee layoffs, and even store closures.

    A legal challenge is underway, with the industry group Wisconsinites for Alternatives to Smoking and Tobacco appealing a federal judge’s refusal to block the law. The Seventh Circuit Court of Appeals began hearing arguments this week, and a ruling is expected early next year. Shop owners argue the law unfairly benefits large tobacco companies, while state officials maintain it is a measured approach to regulating a rapidly expanding market.

  • Vietnam to Ban Vape, HTP Starting 2026

    Vietnam to Ban Vape, HTP Starting 2026

    Vietnam will prohibit the sale of electronic cigarettes and heated tobacco products beginning March 1, 2026, following the National Assembly’s approval of amendments to the Law on Investment, local outlet Tuoi Tre reported. The updated legislation places e-cigarettes and heated tobacco alongside other banned business sectors, including narcotics, certain hazardous chemicals and minerals, and prostitution.

    The move builds on a resolution passed last year that banned the production, trading, import, possession, transportation, and use of these products, according to Thanh Nien. Health officials say early effects are already visible. Angela Pratt, the World Health Organization’s representative in Vietnam, noted a 70% drop in e-cigarette–related emergency cases at major hospitals such as Bach Mai, along with a sharp decline in promotional activities for e-cigarettes and heated tobacco.

    Vietnam’s decision positions the country among the most restrictive markets in Asia regarding novel nicotine products, as policymakers cite rising youth use and public health concerns as key drivers of the ban.

  • Virginia Defends Flavored Vape Ban in Federal Court

    Virginia Defends Flavored Vape Ban in Federal Court

    Virginia’s Attorney General Jason S. Miyares and the state’s tax commissioner urged a federal court to reject a lawsuit challenging the state’s ban on unapproved e-cigarettes, arguing the plaintiffs lack standing because their products are illegal under federal law. In filings, Virginia contended that Novo Distro Inc. and Tobacco Hut and Vape Fairfax Inc. cannot claim injury or seek an injunction since their products are unapproved by the FDA. The state emphasized that neither the Federal Food, Drug, and Cosmetic Act (FDCA) nor the Tobacco Control Act preempts state authority to regulate tobacco, and that the ban applies equally to all sellers, prioritizing public health.

    The plaintiffs argue that the law disadvantages small businesses in favor of large tobacco companies. Virginia maintains that the statute simply requires FDA approval for all products and is not arbitrary, reflecting a public health-driven standard rather than favoritism.

  • AIR Acquires German Premium Hookah Brand NameLess

    AIR Acquires German Premium Hookah Brand NameLess

    Global hookah company AIR Limited announced the acquisition of NameLess, a well-known German brand of premium flavored hookah products. The move strengthens AIR’s leadership in the global flavored hookah market and expands its portfolio alongside flagship brand Al Fakher, the company said.

    The acquisition allows AIR to leverage its global distribution network across more than 90 markets to introduce NameLess’ offerings, including its top-selling Black Nana grape-mint flavor, to new audiences worldwide. The deal aligns with AIR’s strategy to meet rising demand for reduced-risk social inhalation products with premium flavors and fortifies its presence in Germany, a key growth market, the company said.

    CEO Stuart Brazier emphasized that the acquisition complements AIR’s product expansion initiatives, including the recent launch of Crown Switch, a rechargeable pod vape system in Germany featuring Greentank’s next-gen Quantum Vape and Coldstream technologies. AIR plans to roll out NameLess flavors internationally in the coming months.

  • Wales Backs Generational Tobacco Ban

    Wales Backs Generational Tobacco Ban

    Members of the Senedd, Wales’ devolved parliament, have approved UK government plans to prohibit the sale of tobacco products to anyone born after 1 January 2009. The UK-wide Tobacco and Vapes Bill would also tighten regulations on vaping, including advertising restrictions, and a review of e-cigarette packaging.

    Health Minister Sarah Murphy described the legislation as a “unique opportunity” to tackle smoking, a leading cause of disease and premature death in Wales. The vote followed a legislative consent motion, meaning the Welsh Parliament agreed to Westminster passing a law that affects areas devolved to Wales. The motion passed 36 to 9, with two abstentions.

  • Study Focuses on Tobacco and Cannabis Habits of Young Americans

    Study Focuses on Tobacco and Cannabis Habits of Young Americans

    A University of Michigan study of 8,722 Americans aged 12–34 who had used a tobacco, nicotine, and/or cannabis product within the last month found that traditional smoking remains prevalent even as vaping and edibles grow in popularity. Researchers identified six main usage patterns: combustible tobacco (31%), multiple forms of cannabis (27%), nicotine vaping (18%), combined use of nicotine, tobacco, and cannabis (14%), cannabis edibles only (5%), and multiple forms of nicotine and tobacco (5%).

    The study also highlighted narrowing gender differences and higher usage rates among Black and African American youth and young men, suggesting targeted prevention and cessation programs are needed. The study appears in the American Journal of Preventive Medicine and was funded by the National Cancer Institute and NIH.

  • Altria Declares $1.06 Regular Quarterly Dividend

    Altria Declares $1.06 Regular Quarterly Dividend

    Altria Group, Inc. today announced that its Board of Directors declared a regular quarterly dividend of $1.06 per share, payable on January 9, 2026 to shareholders of record as of December 26, 2025. The ex-dividend date is December 26, 2025.

  • KT&G Receives “AAA” ESG Rating from MSCI

    KT&G Receives “AAA” ESG Rating from MSCI

    KT&G said it received a “AAA” ESG rating from global investment research firm MSCI, marking “the highest rating ever achieved by a tobacco industry player,” according to the company. MSCI evaluates 8,500 publicly listed companies annually, with ratings ranging from AAA to CCC, which institutional investors use to assess sustainability and ESG competitiveness. The rating improved KT&G from its previous four-year streak of AA ratings.

    MSCI highlighted KT&G’s strong governance structure, systematic supply chain management, responsible marketing, and environmental management initiatives as key contributors to the top-tier score. Notably, KT&G’s governance practices—including separation of CEO and board chair roles, 75% independent director composition, and active committees—were singled out for recognition.

    KT&G received recognition for its supply chain labor management, expansion of on-site water reclamation infrastructure, and execution of responsible marketing practices. Young-ah Shim, Director of KT&G’s ESG Management Office, emphasized that the rating underscores the company’s global-standard ESG management and commitment to ongoing environmental and supply chain initiatives.