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Category: Around the Industry

  • Study: Korean Tobacco Tax Hikes Lose Impact Within Four Months

    Study: Korean Tobacco Tax Hikes Lose Impact Within Four Months

    Cigarette tax hikes in South Korea only curbed smoking briefly, with sales rebounding to normal levels within four months, a new study found. The Korea Institute for Health and Social Affairs reported yesterday (August 18) that demand for cigarettes is “highly inelastic,” with a 10% price rise cutting consumption by just 4.2–4.4%. Researchers said non-price measures like warning labels or e-cigarettes had little measurable impact.

    “Sudden hikes result in hoarding and brief behavioral change, but smokers adapt,” the report said. “Incremental increases aligned with inflation are more likely to gradually shift consumption patterns and reinforce anti-smoking behavior.”

  • Gibraltar Moves Toward Generational Tobacco Ban

    Gibraltar Moves Toward Generational Tobacco Ban

    The Gibraltar government is pressing forward with draft legislation that would prohibit the sale of tobacco products to anyone born on or after January 1, 2009. If passed, the law would take effect on January 1, 2027, the date that age group turns 18. Health Minister Gemma Arias-Vasquez, who launched a consultation period in March, said the government received feedback from around 28 to 30 respondents, including retailers and industry stakeholders. Concerns focused on the economic impact for small and medium businesses.

    The proposal would not criminalize smoking itself, but rather the sale or transfer of tobacco products to those covered by the ban. Retailers who break the rules could face fines of up to £10,000, or £20,000 and licence revocation for repeat offences. The bill also includes a ban on single-use vapes, regardless of age, and prohibits the sale of vending-machine tobacco, as well as sweets, snacks, or toys imitating tobacco products.

  • KT&G Names First-Ever Master Craftsmen

    KT&G Names First-Ever Master Craftsmen

    KT&G Corp. introduced a master craftsman system, appointing three veteran engineers as its first honorees. At a ceremony today (August 19), the company named Cho Young-il (cigarette machinery), Shin Dong-guk (packaging machinery), and Kang Tae-hoon (electronics and systems) as inaugural master craftsmen.

    KT&G said the program aims to preserve technical expertise, mentor younger engineers, and boost manufacturing efficiency through process innovation and new technologies.

  •  Zonnic Ban Accused of Driving Canada’s Surge in Black-Market Pouches

     Zonnic Ban Accused of Driving Canada’s Surge in Black-Market Pouches

    One year ago, Health Canada restricted the sale of Zonnic, the country’s only regulated nicotine pouch for smoking cessation, to pharmacy counters, banning convenience store sales. Imperial Tobacco Canada says the policy has backfired as cigarette purchases jumped 2.8%, and more than 500 million unregulated nicotine pouches flooded the black market.

    Eric Gagnon, Imperial’s VP of Corporate and Regulatory Affairs, called the move “punishing innovation” and warned that rural smokers now face barriers to quitting while pharmacists bear added administrative burdens. He urged the government to ensure frontline access to regulated products like Zonnic to support Canada’s goal of under 5% smoking prevalence by 2035.

    Imperial emphasizes that Zonnic—which is produced by Nicoventures Trading, a sister company to Imperial—remains the only nicotine pouch meeting national safety standards, and the company is pushing for collaborative solutions with Health Canada to improve accessibility while curbing illicit sales.

  • Supreme Court Grants Extension in Cannabis Industry Challenge to Federal Ban

    Supreme Court Grants Extension in Cannabis Industry Challenge to Federal Ban

    The U.S. Supreme Court gave marijuana companies more time to file their appeal challenging federal cannabis prohibition, extending the deadline from August 25 to October 24. Justice Ketanji Brown Jackson approved the 60-day extension request filed by Boies Schiller Flexner LLP, which represents Canna Provisions, Gyasi Sellers, Wiseacre Farm, and Verano Holdings.

    Attorneys said the additional time is necessary due to the “significant and complex constitutional issues” involved and to allow state governments, law professors, and advocacy groups to prepare supporting amicus briefs. The Justice Department did not oppose the extension.

    The case seeks to overturn the landmark 2005 ruling Gonzales v. Raich, which upheld Congress’s authority to enforce federal prohibition even against state-legal cannabis activity. Plaintiffs argue that modern developments, including state legalization and shifting federal enforcement policies, have undermined the ruling. While lower courts dismissed the challenge, industry advocates see the appeal as a potential vehicle for the Supreme Court to revisit the federal government’s stance on marijuana. Justice Clarence Thomas previously suggested that Raich should be reconsidered, criticizing the government’s “half-in, half-out” approach to cannabis enforcement.

    The petition would need support from at least four justices for the Court to hear the case.

  • PCA Pushes Back on California “Unflavored Tobacco List”

    PCA Pushes Back on California “Unflavored Tobacco List”

    The Premium Cigar Association (PCA), joined by the Boutique Cigar Association and the newly formed California Premium Cigar Association, has filed comments opposing emergency regulations from the California Attorney General’s Office that would create an “unflavored tobacco list” following the state’s flavored tobacco ban.

    The PCA criticized the emergency designation as unjustified, arguing that premium handmade cigars do not pose youth access or public health risks comparable to other tobacco products. The group also raised concerns over the high costs, vague definitions, and extensive documentation requirements the rules would impose, potentially forcing small businesses and specialty cigar shops out of the market.

    “These regulations and fees are a needless and costly burden to our manufacturer and retail partners, that will have no affect on youth access, protection of public health, or enforcement of the existing flavor tobacco ban,” said Glynn Loope, PCA’s Director of State Advocacy, warning the policy sets a “horrible national precedent.”

    California retailers echoed those concerns, warning the rules could reduce brand availability, eliminate limited editions, and shrink consumer choice. PCA said it will continue monitoring the regulatory process and work with allies on next steps.

    You can view PCA’s filed comment on California’s Proposed Unflavored Tobacco List Emergency Regulations by clicking here.

  • Nearly Half of State AGs Write CDC Supporting Youth Survey

    Nearly Half of State AGs Write CDC Supporting Youth Survey

    A bipartisan group of 22 attorneys general, led by California Attorney General Rob Bonta, has urged the Centers for Disease Control and Prevention (CDC) and the U.S. Department of Health and Human Services (HHS) to continue the National Youth Tobacco Survey (NYTS).

    The NYTS is an annual study that tracks smoking and vaping trends among middle and high school students, offering insights that have informed efforts to combat youth tobacco use for over two decades.

    The comment letter submitted by the coalition responds to a CDC invitation for public comment on the continuation of the NYTS. The CDC has indicated intentions to revise the NYTS for the 2026-2028 period but has yet to specify the proposed changes. The attorneys general highlighted concerns that recent actions by the Trump administration, such as the elimination of the Office on Smoking and Health at the CDC and staffing cuts at the FDA’s Center for Tobacco Products, could undermine efforts to protect youth from tobacco.

    The letter also stressed the longstanding bipartisan efforts by attorneys general nationwide to address youth exposure to tobacco and nicotine products, emphasizing the critical role NYTS data plays in these initiatives. These efforts include the 1998 Master Settlement Agreement (MSA) with the largest tobacco companies, which aimed to recover healthcare costs and curb youth smoking. The MSA, which relies heavily on NYTS data, has generated over $171 billion in payments to the states.

    Bonta was joined in submitting the letter by the attorneys general of Arizona, Connecticut, Delaware, Hawaii, Illinois, Indiana, Louisiana, Maine, Maryland, Massachusetts, Michigan, Nevada, New York, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, Washington, West Virginia, and Puerto Rico.

  • Smoking Rises in Brazil as Vaping Ban Fuels Illegal Market

    Smoking Rises in Brazil as Vaping Ban Fuels Illegal Market

    For the first time since 2007, the number of smokers in Brazil increased last year, according to a Health Ministry survey. The trend is alarming in a country once hailed internationally for its successful anti-smoking policies, which had steadily reduced smoking rates for decades.

    The same survey found that 2.6% of Brazilian adults—about 4 million people—now use electronic cigarettes, despite a nationwide ban in place since 2009. With no regulatory oversight, these products circulate exclusively in clandestine markets, exposing users to unknown health risks and strengthening illegal networks.

    Public health experts warn that prohibition alone may be backfiring, citing examples from other countries, like the UK, Sweden, Japan, and Canada, where regulated e-cigarettes have contributed to falling smoking rates. Critics argue that Brazil must reconsider its approach, shifting from prohibition to regulation based on scientific harm reduction.

  • Vaping Industry Battles North Carolina E-Cig Ban

    Vaping Industry Battles North Carolina E-Cig Ban

    A coalition led by the Vapor Technology Association is appealing North Carolina’s new vaping law, which bans the sale of e-cigarettes not approved or pending approval by the FDA. The law, effective May 1, 2025, has already removed popular brands like Elf Bar and Geek Bar from store shelves. The law mandates that only e-cigarette products with U.S. Food and Drug Administration (FDA) marketing authorization may be sold in the state, enforced through a product registry managed by the state Revenue Department. Products must be certified and listed or removed within a 60-day grace period.

    Industry groups argue that the state is overstepping federal authority and violating constitutional protections and that the law discriminates between tobacco-derived and synthetic nicotine products, raising concerns under the Equal Protection Clause.

    A lower court refused to block the law, and the case now heads to the Fourth Circuit Court of Appeals, with national implications for state regulation of nicotine products. The outcome could determine whether entire product categories, such as flavored disposables, can be restricted, potentially reshaping the balance between state and federal oversight.

  • Panama Begins Strict Vape Regulations Today

    Panama Begins Strict Vape Regulations Today

    Panama’s Ministry of Health (MINSA) announced that new rules governing the sale, promotion, and use of electronic cigarettes—both with and without nicotine—take effect today (August 13). The regulations, aimed at protecting public health and youth, ban vaping in all smoke-free areas, prohibit sales to minors, and outlaw all advertising and promotion. Products must be stored out of public view, with only closed displays allowed for the first two years. Violations can result in confiscation and fines, with health and customs authorities tasked with enforcement.