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Category: Around the Industry

  • NZ Retailer Accused of Hiding Text on Website

    NZ Retailer Accused of Hiding Text on Website

    New Zealand’s largest vape retailer, Shosha, has been accused of using hidden text on its website to promote vape products in ways that may breach strict advertising rules, according to The Press. Vape-Free Kids NZ co-founders say Shosha ran Christmas promotions featuring a cartoon Santa and embedded white text on white backgrounds in product pages that is only visible to humans when highlighted, but can be read by search engines, potentially circumventing regulations that limit online product information.

    An academic expert said the hidden text can influence search rankings despite advertising bans, while the report also raises concerns about alleged discounting through free shipping offers and an international website mirroring New Zealand product descriptions. Shosha did not respond to media questions, and the Health Ministry said it is assessing the matter and continues to monitor digital advertising for possible legal breaches.

  • Illinois Weighs New Restrictions on Remote Tobacco Sales

    Illinois Weighs New Restrictions on Remote Tobacco Sales

    Illinois lawmakers are considering legislation that would significantly tighten the regulation of remote tobacco and nicotine sales into the state. H.B. 4250 would amend the Tobacco Products Tax Act of 1995 to require any remote retail seller — including out-of-state companies — to obtain a state license before selling tobacco products to Illinois retailers or consumers, with implementation targeted for July 1, 2026.

    If enacted, H.B. 4250 would also impose a 45% tax on the wholesale price of tobacco products sold remotely, capturing online and mail-order transactions that policymakers argue have escaped traditional enforcement. The proposal reflects Illinois’ broader push to close regulatory gaps around e-commerce, following recent actions restricting direct-to-consumer shipments of vaping products and expanding tobacco controls.

  • Lucy Goods Settles S.F. Pouch Case for $1M

    Lucy Goods Settles S.F. Pouch Case for $1M

    San Francisco secured a $1 million settlement with online tobacco retailer Lucy Goods, Inc., requiring the company to stop shipping flavored nicotine products into the city, City Attorney David Chiu announced yesterday (January 8). The settlement stems from a 2024 lawsuit alleging that several online retailers violated San Francisco’s comprehensive flavored tobacco ban by selling flavored nicotine pouches directly to city residents.

    Under the stipulated judgment and injunction entered by San Francisco Superior Court this week, Lucy Goods must pay $1 million in civil penalties and attorneys’ fees, prohibit the use of San Francisco addresses in shipping or billing fields, and post clear notices on its website stating that flavored tobacco products cannot be sold in the city. The agreement follows earlier settlements with Rogue Holdings LLC, Swisher International Inc., and Northerner Scandinavia Inc., bringing total penalties from the case to nearly $4 million.

    San Francisco banned all flavored tobacco products in 2019, including nicotine pouches, citing evidence that flavors increase youth appeal and addiction risk.

  • Russian Leader Says Generational Bans are Ridiculous

    Russian Leader Says Generational Bans are Ridiculous

    Russia’s Civic Chamber deputy secretary Vladislav Grib said he is against a “generational ban” for tobacco products, saying it is ridiculous to segregate people into groups of those who were “successfully” born and those who were not. The remarks were in response to the State Duma repeatedly proposing tobacco bans to those born after either 2009, 2015, or 2017.

    Speaking to TASS, Grib criticized the proposals, arguing that such measures would create unequal classes of citizens, encourage proxy purchasing, and lead to human rights violations.  

  • Texas Tobacco Company Sues Manufacturer for Contract Breach

    Texas Tobacco Company Sues Manufacturer for Contract Breach

    Texas-based The Tobacco Company, doing business as Hestia Tobacco, filed a lawsuit Tuesday (January 6) in the U.S. District Court for the Middle District of North Carolina, alleging its former manufacturer breached its supply contract by arbitrarily hiking prices and then urging retailers to pull Hestia’s products from shelves, according to Justia Dockets & Filings.

    In the complaint, Hestia claims that Nasco Products, LLC, violated the parties’ agreement by imposing unjustified price increases and undermining Hestia’s market relationships, harming its sales and business prospects. The suit is brought under diversity jurisdiction and seeks monetary damages for breach of contract, with Hestia demanding a jury trial.

  • Altria Pushes to End Juul’s ITC Patent Investigation

    Altria Pushes to End Juul’s ITC Patent Investigation

    NJOY and Altria Group are asking a federal judge in Virginia to immediately halt a U.S. International Trade Commission investigation triggered by Juul Labs’ nicotine-salt patent claims, arguing the ITC lacks constitutional authority to hear the case. In a reply filed Tuesday (January 6) in the U.S. District Court for the Eastern District of Virginia, the companies urged the court to grant summary judgment and permanently enjoin the ITC proceeding rather than allow it to continue while constitutional challenges are litigated.

    The filing argues the investigation violates the Appointments Clause, improperly insulates ITC administrative law judges through double for-cause removal protections, and infringes Article III limits, citing the Supreme Court’s decision in SEC v. Jarkesy. Altria and NJOY contend they are suffering irreparable harm by being subjected to an allegedly unconstitutional process, noting the ITC has scheduled an evidentiary hearing for April 22, 2026.

  • Cuban Cigar Company Repurposing Tobacco Waste

    Cuban Cigar Company Repurposing Tobacco Waste

    The Lázaro Peña Cigar Company in Holguín, part of Cuba’s Tabacuba Group, is turning industrial waste into a key resource to reduce costs and diversify production, the Cuban News Agency reports. Its reconstituted tobacco plant—Cuba’s first—repurposes cigarette dust and central leaf veins into reusable raw material for cigar blends, adding weight and volume while cutting the need for new inputs.

    The initiative supports sustainability by maximizing industrial byproducts, reducing pressure on agricultural land, and creating environmentally friendly materials. The company is also working with Holguín and Moa universities to develop tobacco-based products like tabaquina insecticide, and uses compost from waste to fertilize gardens that supply its workers’ cafeteria.

    Other recycled materials, such as leftover paper, are repurposed for educational resources at the Los Criollitos Children’s Center. Lázaro Peña’s efforts have earned the company multiple awards, including Cuba’s Quality Award and recognitions in Light Industry and Innovation at Expo Caribe 2025.

  • Korea Says Tobacco Toll is $30B as Court Ruling Approaches

    Korea Says Tobacco Toll is $30B as Court Ruling Approaches

    South Korea’s long-running lawsuit against tobacco companies is back in focus following new research showing smoking has imposed a major and rising burden on the national health insurance system. A study released January 5 by the National Health Insurance Service and the World Bank estimates smoking-related medical costs at 40.7 trillion won ($29.9 billion) from 2014–2024, with annual costs rising nearly 70% over the period despite declining smoking rates. More than 82% of costs were borne by public insurance, driven largely by cancer treatment, particularly lung cancer, the study said.

    Health officials say the findings strengthen the NHIS’s damages claim against KT&G, Philip Morris Korea, and BAT Korea, ahead of an appellate ruling expected later this month. Filed in 2014, the case is South Korea’s first tobacco lawsuit brought by a public institution seeking compensation for smoking-related health care expenses.

  • Habanos S.A. Co-Owner Extradited to China

    Habanos S.A. Co-Owner Extradited to China

    Billionaire businessman Chen Zhi was extradited by Cambodia to his native China following his arrest over an alleged multibillion-dollar cryptocurrency scam tied to human trafficking and forced labor, a case underscoring growing regulatory and enforcement risks across Southeast Asia’s consumer and logistics sectors. Cambodian authorities said Chen and two other Chinese nationals were detained yesterday (January 6) after a months-long transnational investigation and handed over to Chinese officials.

    Chen Zhi is believed to have extensive ties to the cigar and tobacco industry, owning or having owned stakes in companies such as Habanos S.A., Tabacalera USA, Tabacalera S.L., Tabacalera de García, and La Flor de Copán, among others, either directly or through shell corporations.

    U.S. prosecutors previously charged Chen Zhi with orchestrating global online scams from Cambodia, leading to the seizure of roughly $14 billion in bitcoin, one of the largest financial crackdowns on record. His business empire, Prince Group—previously sanctioned by the U.K.—has denied involvement in scams.

  • Universal CEO Presenting at ICR Conference 2026

    Universal CEO Presenting at ICR Conference 2026

    Universal Corporation announced that members of its management team will attend the ICR Conference (ICR Conference of Consumer Growth Companies) 2026, being held in Orlando, Florida, January 12-14. Preston D. Wigner, chairman, president, and CEO, will deliver a company presentation on January 13, beginning at 2 p.m. EST.

    A live webcast of the presentation will be available on Universal’s Investor Relations website.