Blog

  • Extent of Australia’s Illicit Tobacco Crisis Coming to Light

    Extent of Australia’s Illicit Tobacco Crisis Coming to Light

    Australia’s illicit tobacco trade is believed to be nearing double the size of the legal market, with excessive excise rates driving a surge in smuggled cigarettes, illicit tobacco and e-cigarette commissioner Amber Shuhyta warned. She told the Senate that estimates of black-market products may be approaching 65% of all tobacco sold, fueled by retail cigarette prices approaching A$50 ($33) a pack. Smuggled packs sell for about A$15 ($9.90), pulling revenue away from legitimate retailers and the federal budget.

    Legal tobacco sales are collapsing, she said. Supplier Metcash reported a 35% drop in sales over the six months to October, while Australia’s tobacco tax take has fallen from 0.8% of national income to below 0.3% in five years—creating a A$69 billion ($45.5 billion) budget shortfall.

    Meanwhile, organized crime groups competing for control of the illegal tobacco and vaping market have been linked to murders, extortion, and hundreds of fire bombings nationwide. Border Force Commissioner Gavan Reynolds said officers seized more than 2.5 billion cigarettes last financial year and intercepted 439 tons of loose tobacco, worth an estimated A$4.4 billion ($2.9 billion) in evaded duty. He said enforcement now targets the supply chain “before the border, at the border, and post-border.”

  • PMI Expands Partnership with Scuderia Ferrari HP

    PMI Expands Partnership with Scuderia Ferrari HP

    Philip Morris International announced an expanded partnership with Scuderia Ferrari HP and the Ferrari Challenge Trofeo Pirelli for the 2026 season and beyond. As part of the deal, PMI’s ZYN nicotine pouches will appear on select Scuderia Ferrari HP Formula 1 liveries, debuting at the Abu Dhabi Grand Prix on December 7.

    Stefano Volpetti, PMI’s President of Smoke-Free Products, said the collaboration reflects a shared drive to innovate and engage adult consumers. “By further enhancing our partnership with Scuderia Ferrari HP, we hope to accelerate the replacement of cigarettes, and we want our adult consumers of nicotine products, like ZYN, to embrace and enjoy every moment of this thrilling ride,” he said.

    Ferrari’s Lorenzo Giorgetti highlighted the partnership’s longevity and shared values, saying, “Our renewed collaboration with PMI continues a relationship that has lasted for over fifty years, grounded in scientific progress and long-term thinking.”

  • Dutch Researchers Alarmed that Teens Wake to Vape

    Dutch Researchers Alarmed that Teens Wake to Vape

    A new Dutch study reports unusually high levels of nicotine dependence among secondary school pupils, with more than one-third of teenage smokers saying they wake up at night because they need nicotine. The research, published in the European Journal of Pediatrics, surveyed 978 students across five schools and found that 396 had smoked or vaped in the past year and 183 used nicotine daily. Most began around age 13 and often progressed to cigarettes, which researchers said highlights the need for stronger limits on youth access.

    Doctors involved in the study said night-time vaping is a clear marker of addiction and warned that many parents remain unaware their children smoke. Addiction expert Reinout Wiers of the University of Amsterdam told de Volkskrant he was surprised by the extent of night-time use, calling it “alarming.”

    The findings coincide with a new government anti-vaping campaign, amid repeated warnings from lung specialists as severe vaping-related medical cases emerge in the Netherlands. Other research has found that some youth-favored vapes contain toxic metals, carcinogenic chemicals, and nicotine levels above legal limits.

  • Restricting Vapes Drives Smokers Back to Cigarettes: Opinion

    Restricting Vapes Drives Smokers Back to Cigarettes: Opinion

    A new commentary by Markus Lindblad, Head of External Affairs at Haypp Group, warns that parts of the UK’s Tobacco and Vapes Bill could backfire by driving some adults back to smoking. The bill, one of the world’s toughest anti-tobacco measures, includes a generational smoking ban for anyone born after 1 January 2009, new licensing rules, and tighter advertising limits. But Lindblad argues that proposed powers to restrict vape and nicotine-product flavors risk undermining the country’s smoke-free ambitions.

    “Flavors aren’t just a marketing tool; they are a behavioral and psychological aid that help smokers make the transition away from cigarettes,” Lindblad said. “When a smoker switches to vaping, the experience of flavor, combined with the absence of smoke and tar, creates a sense of progress and separation from the old habit. Removing that variety reduces satisfaction, increases relapse risk, and ultimately undermines harm-reduction goals.”

    Citing recent U.S. research, he says multiple large-scale studies show that state-level flavor bans reduce vaping but also lead to measurable increases in cigarette use. One JAMA study found that flavor restrictions were followed by higher smoking rates, while a 2024 analysis of 376,963 young adults reported a 3.6-point drop in daily vaping alongside a 2.2-point rise in daily smoking. Yale researchers similarly linked flavor bans to declining vape sales and rising cigarette sales across 44 states.

    Haypp’s own UK survey found that nearly one-third of vapers cite taste as a key advantage of vaping, and 28% say flavor is their top purchasing factor. When asked how they would respond to a flavor ban, almost a quarter said they would return to smoking — a result Lindblad says should concern public-health officials. He concludes that rather than banning flavors, policymakers should strengthen age checks, tighten marketing rules, and improve labeling — measures aimed at youth access without limiting options for adults trying to quit smoking.

  • VELO, McLaren Unveil Fan-Created Livery for Abu Dhabi GP

    VELO, McLaren Unveil Fan-Created Livery for Abu Dhabi GP

    VELO and the McLaren Formula 1 Team have unveiled a special, fan-created livery for the 2025 Abu Dhabi Grand Prix. Designed by nine McLaren superfans from around the world, the livery features bespoke icons inspired by personal memories, team milestones, and McLaren’s broader community spirit.

    VELO, McLaren Unveil Fan-Created Livery for Abu Dhabi GP

    VELO and the McLaren Formula 1 Team have unveiled a special, fan-created livery for the 2025 Abu Dhabi Grand Prix. Designed by nine McLaren superfans from around the world, the livery features bespoke icons inspired by personal memories, team milestones, and McLaren’s broader community spirit.

    The project is part of the “Live Your Fandom” campaign, which has delivered unique fan experiences throughout the season. In August, the selected superfans visited the McLaren Technology Centre for a behind-the-scenes tour, a design workshop, and sessions with McLaren Racing CEO Zak Brown and driver Lando Norris—where they unknowingly helped shape the final livery.

    “VELO is proud to celebrate these experiences that allow fans to embrace their own unique fandom as part of a community,” said Luca Angiolillo, Global Head of Partnerships at BAT, “and we can’t wait to see this special fan-driven takeover take center stage at the season finale.” In August, the selected superfans visited the McLaren Technology Centre for a behind-the-scenes tour, a design workshop, and sessions with McLaren Racing CEO Zak Brown and driver Lando Norris—where they unknowingly helped shape the final livery.

    “VELO is proud to celebrate these experiences that allow fans to embrace their own unique fandom as part of a community,” said Luca Angiolillo, Global Head of Partnerships at BAT, “and we can’t wait to see this special fan-driven takeover take center stage at the season finale.”

  • SGF Asks for Guidance on Nicotine Pouches

    SGF Asks for Guidance on Nicotine Pouches

    The Scottish Grocers’ Federation (SGF) reiterated its members’ commitment to responsible retailing in a letter to Health Secretary Wes Streeting, following reports of illegal high-strength nicotine pouches circulating in the UK. As the Tobacco and Vapes Bill progresses through Westminster, SGF said retailers still have no official guidance on best practices for selling nicotine pouches, despite expected age-restriction measures. The group warned that it is often unclear which products entering the UK supply chain meet appropriate quality standards.

    SGF chief executive Pete Cheema said industry and government should work together to develop “clear, standardized guidance” on pouch sales and promotion, stressing that pouches are an adult smoking-cessation tool and should never be marketed to children. The federation has also written to Scottish health secretary Neil Gray, seeking meetings with both governments.

  • NZ Minister Grilled Over Oral Nicotine Plan

    NZ Minister Grilled Over Oral Nicotine Plan

    Associate Health Minister Casey Costello faced sharp questioning at a select committee over the government’s proposal to allow oral nicotine products such as snus and pouches. Costello, who, according to Radio New Zealand, has had to repeatedly deny allegations of an overly cozy relationship with the tobacco industry, said the move is part of a harm-reduction approach and is still subject to safety controls and measures to prevent youth access.

    Labour’s Dr. Ayesha Verrall warned the products could fuel new addiction among young people, pressing Costello to accept expert advice to introduce them only if proven safer and effective at reducing smoking. Costello said the recommendations are still being considered. Public health researcher Dr. Jude Ball said there is no evidence oral nicotine products help smokers quit and warned that tobacco companies are aggressively pushing them to expand youth uptake.

  • We are no longer in the world of ‘unintended consequences’ – Why Restricting Vape Flavors Risks Driving Smokers Back to Cigarettes

    We are no longer in the world of ‘unintended consequences’ – Why Restricting Vape Flavors Risks Driving Smokers Back to Cigarettes

    By Markus Lindblad, Head of External Affairs, Haypp Group

    Across the world, governments are introducing increasingly tough policies to reduce smoking rates amongst adult populations and prevent young people from accessing nicotine products. 

    In the UK, we have the introduction of one of the strongest pieces of anti-tobacco legislation in the world with the Tobacco and Vapes Bill. This will introduce a generational smoking ban, making it illegal to sell tobacco products to anyone born after 1 January 2009. Other measures included in the bill include the introduction of a licensing scheme for the retail of tobacco and nicotine products and new limits on the advertising and promotion of nicotine products. 

    Many of the measures proposed in the bill will indeed help the UK make progress towards a smoke-free future, and prevent youth access to nicotine products, however, others are almost certain to be counterproductive and lead to bad outcomes. 

    Foremost among these is a clause granting the Secretary of State powers to restrict the flavor of tobacco and nicotine products. I believe that using these powers to ban flavors would be a mistake. There are legitimate concerns about youth access to vapes or nicotine pouches, and there is a consensus that this issue needs to be addressed, but the international evidence shows us that restricting flavors is not the way to go about it. 

    Over the past two years, we have seen the publication of results from a number of large-scale studies on the impact of flavor bans at the state level in the USA. The results should give policymakers pause. 

    A study published this year in the Journal of the American Medical Association examined how flavor bans in seven U.S. states affected tobacco use. Researchers looked at data from 2013 to 2023 and found that while flavor restriction policies were associated with some reductions in e-cigarette use, there were also increases in cigarette use. 

    A 2024 study from the USA examined a dataset of 376,963 young adults (age 18 to 29 years) and found that state restrictions on flavored vape sales were associated with a 3.6 percentage point reduction in daily vaping, but also a 2.2 percentage point increase in daily smoking among young people. This increase in smoking rates, the authors highlight, potentially offsets any public health gains that might have been achieved by the flavor ban.

    Additional research from the Yale School of Public Health paints a similar picture. Using retail sales data from 44 US states, researchers discovered that following the introduction of flavor restrictions, cigarette sales rose as vape sales declined. In other words, when states restrict the availability of flavored vapes, they inadvertently push some smokers back to cigarettes, a behavior that is much worse in terms of health outcomes. 

    In each case, the intended outcome was to reduce vaping, but there was an unintentional increase in cigarette smoking. This is not a hypothetical outcome; it is observable and measurable in the data in each of the studies.

    The public debate around vape flavors often focuses on youth appeal, but it overlooks a critical dimension: the importance of flavors in helping adult smokers quit and stay smoke-free. Flavors aren’t just a marketing tool; they are a behavioral and psychological aid that help smokers make the transition away from cigarettes. 

    Our own research at Haypp underscores this point clearly. In a recent survey of 500 UK vapers, nearly one-third (30%) said that taste is one of the main advantages of vapes compared with other nicotine products. 28% said that flavor is the most important factor they consider when choosing a vape. These are not marginal preferences; they are decisive drivers of behavior. When asked how they would respond if a flavor ban were introduced, only 26% of vapers said they would continue to vape, while almost as many, 24%, said they would switch back to cigarettes. This finding should alarm anyone concerned with public health. It suggests that for UK vapers, a flavor ban may push a significant proportion of them back to a much more dangerous habit.

    Flavors also play a deeper psychological role in the process of smoking cessation. They help define the difference between smoking and alternative nicotine use, providing a sensory boundary that supports behavioral change. When a smoker switches to vaping, the experience of flavor, combined with the absence of smoke and tar, creates a sense of progress and separation from the old habit. Removing that variety reduces satisfaction, increases relapse risk, and ultimately undermines harm-reduction goals.

    The challenge for policymakers, then, is not whether to act but how to act responsibly. Blanket bans may appear decisive, but they are blunt instruments that often produce counterproductive outcomes. Given the breadth of evidence now available, we are no longer speaking about unintended consequences. The data shows that a ban on flavors will most likely lead to an increase in smoking rates. A more effective approach would focus on strict enforcement of age-verification measures, strict rules on responsible marketing, and clear product labelling, measures that address youth access directly without depriving adult smokers of an effective tool to quit. Youth access needs to be tackled, but we need to remember that for a smoker trying to quit, flavors are not a loophole; they are a lifeline. 

  • FDA Launches Web-Based PMTA Forms

    FDA Launches Web-Based PMTA Forms

    Today (December 3), FDA launched web versions of four forms in CTP Portal Next Generation (CTP Portal NextGen) for applicants submitting and amending premarket tobacco product applications (PMTAs) and Substantial Equivalence (SE) Reports. FDA transitioned from CTP Portal to CTP Portal NextGen—a “new, improved web portal” for submitting tobacco product applications electronically—in early 2025. The web forms allow applicants to create, validate, and submit PMTA and SE Report submissions directly through CTP Portal NextGen.

    The web-based forms include Forms FDA 4057, 4057a, 3965, and 3965a. Industry stakeholders with active CTP Portal accounts had the option to test and provide feedback on the new web functionality of the forms during online development. Creating these web-based forms is part of FDA’s work to promote efficiency, effectiveness, and transparency to improve its tobacco product application review process.

    According to the FDA, the new portal includes step-by-step instructions on completing the forms; a more user-friendly interface that helps guide applicants through the submission process; the ability for multiple users to work on a submission at the same time and easily save drafts; and real-time, automatic validation, ensuring all required fields are completed before submission.

    PDF versions of FDA’s PMTA and SE Report forms will remain available for applicants who choose not to use the web-based versions. These PDFs can still be downloaded and submitted electronically through CTP’s Document Control Center or uploaded via eSubmitter. FDA has also released updated PDF versions of Forms 4057, 4057a, 3965, and 3965a, correcting minor technical issues since their original posting in June 2025. Beginning Jan. 2, 2026, applicants using PDF forms must use these updated versions. Failure to use the current forms — or to complete them correctly — will generally result in FDA refusing to accept the application.

  • CEO Breaks Down PMI’s Smoke-free Future for Investors

    CEO Breaks Down PMI’s Smoke-free Future for Investors

    Philip Morris International used its appearance at the Morgan Stanley Global Consumer & Retail Conference yesterday (December 2) to reinforce that its smoke-free transition is a structural, irreversible shift, not a cyclical phase. CEO Jacek Olczak framed the dynamic succinctly, noting that smokers who switch to alternatives “very rarely” return to combustible cigarettes and that “smoke-free is essentially a one-way street.”

    Immediately before the event, PMI issued a brief communication to stabilize expectations, reaffirming the company’s guidance from Q3.

    Olczak said that PMI’s three-platform system—IQOS, ZYN, and vapor—is the most effective way to replace combustibles across all usage occasions. “Our objective is to equip the smoker with all three platforms. This is the best way to keep them away from smoking,” he said.

    ZYN remains PMI’s central U.S. growth engine. Following a one-time $100 million activation after supply shortages, “brand equity parameters of ZYN shot up by double-digits,” with the product capturing more than half of category growth despite maintaining a premium price.

    Internationally, IQOS is in its 11th consecutive year of expansion. Japan is nearing a 50/50 split between combustibles and smoke-free products, and prior category pauses were, Olczak said, “just a blip on the graph.” Upcoming Japanese tax equalization and European flavor bans are viewed as temporary disruptions rather than structural threats.

    PMI is also restructuring around a U.S./International dual-engine model, retiring its traditional regional setup. “We don’t really run the business by regions anymore,” Olczak said, positioning the company for future IQOS ILUMA authorization in the United States.

    Capital demands remain modest, with Olczak stressing that “adding extra capacity is only a few hundred million dollars — not a disturbing factor.” Overall, his message to investors was clear: the smoke-free shift is a one-way trajectory, and PMI believes it now has the platforms, structure, and regulatory environment to accelerate it.