Tag: north carolina

  • FDA Wins Default Judgment Against NC Vape Distributor

    FDA Wins Default Judgment Against NC Vape Distributor

    A federal judge granted the U.S. Food and Drug Administration a default judgment against a North Carolina vape distributor accused of importing and selling unauthorized flavored e-cigarettes from China. The ruling allows the FDA to seek a judgment permanently barring the company from importing, marketing, or distributing the products cited in the complaint after the defendant failed to respond to the lawsuit.

    Because the defendants did not appear, they are not publicly posted in the docket entries. However, in September 2025, the FDA filed a complaint against North Carolina-based distributor Dream Distro LLC and its owner, Faisal A. Alhadrami.  

  • Vape Firms Ask NC Court to Keep ‘Sealed Container’ Ruling

    Vape Firms Ask NC Court to Keep ‘Sealed Container’ Ruling

    A vape distributor and retailer have asked the North Carolina Supreme Court to uphold an appellate decision that cleared them of liability in a lawsuit stemming from an exploding vape battery, arguing the lower court correctly applied the state’s “sealed container” defense. The doctrine shields sellers from product-liability claims when they sell goods in their original, unopened packaging without altering them.

    AMV Holdings LLC and Medusa Distribution LLC say the North Carolina Court of Appeals properly found they could not be held responsible for an alleged defect in a product they neither manufactured nor modified. The plaintiff is seeking to overturn that ruling, contending the defense should not apply in this case.

  • Lawsuit Says Marketing Compromises Chinese Vape Company

    Lawsuit Says Marketing Compromises Chinese Vape Company

    A U.S. plaintiff has filed suit against Chinese vape manufacturer Shenzhen IVPS Technology Co. Ltd. in the U.S. District Court for the Eastern District of North Carolina, alleging harms linked to the company’s marketing and sales of e-cigarettes in North Carolina. The manufacturer is seeking to dismiss the case, arguing that its operations do not establish sufficient ties to the state for the court to assert jurisdiction. The plaintiff maintains that the company’s active promotion and sale of its products in North Carolina bring it squarely within the court’s reach.

  • Alliance One Tabbed N.C. Exporter of the Year

    Alliance One Tabbed N.C. Exporter of the Year

    Alliance One North America, a subsidiary of Alliance One International, was named the 2026 Exporter of the Year by the North Carolina Department of Agriculture and Consumer Services during the state’s Agricultural Development Forum. The award recognizes the company’s role in expanding global markets and exporting high-quality U.S. leaf tobacco while supporting the state’s agricultural economy. State Agriculture Commissioner Steve Troxler highlighted the company’s contribution to maintaining North Carolina’s tobacco legacy and global competitiveness.

  • Wilson, N.C., Tobacco Market Opens for 136th Season

    Wilson, N.C., Tobacco Market Opens for 136th Season

    The Wilson, North Carolina, tobacco market opened its 136th season this week with the first bales selling at $1.85 per pound, marking the start of sales at the American Tobacco Exchange and Horizon Limited. Industry leaders said about 75% of U.S. flue-cured tobacco passes through Wilson, cementing its role as the hub of the leaf trade.

    Farmers, buyers, and officials gathered to celebrate the tradition, with U.S. Rep. Don Davis praising tobacco’s impact on eastern North Carolina. “The opening of this market has withstood year after year longer than any of us that are standing here,” Davis said, highlighting the crop’s role in feeding families and funding education.

    Buyers described this year’s crop as strong, with “large, meaty lugs” and solid early demand. Despite concerns over heavy rains in some areas, growers and industry figures said the turnout showed continued enthusiasm for a market that remains “the heart and core” of the region’s economy.

  • Vape Industry Seeks to Block NC Law “Backed by Big Tobacco”

    Vape Industry Seeks to Block NC Law “Backed by Big Tobacco”

    Vape industry groups are urging the Fourth Circuit Court of Appeals to temporarily block enforcement of a new North Carolina law that could ban many e-cigarettes from the market. In an emergency filing, the groups claim the law was heavily influenced by Reynolds American Inc. and is designed to eliminate competition from vaping products that help smokers quit.

    The law prohibits the sale of vapor products that lack full FDA authorization, even though many remain under scientific review. Critics say this effectively bans nearly all independent vape brands in favor of a few tobacco-owned products that have gained approval.

    The plaintiffs argue the statute undermines federal regulatory authority, disrupts public health harm-reduction efforts, and was crafted to protect big-tobacco corporate interests over consumers. They are seeking an injunction to prevent what they describe as irreparable harm to small businesses and adult nicotine users seeking alternatives to smoking.

    The court has yet to rule on the request.

  • Top U.S. Tobacco Producer Bracing for Tariff Impact

    Top U.S. Tobacco Producer Bracing for Tariff Impact

    North Carolina, the United States’ leader in tobacco production, could face economic fallout from the Trump administration’s recent tariff increases, which have set off a spiraling trade war, Katherine Zehnder wrote for The Carolina Journal. North Carolina exported $533 million in tobacco last year, producing 260.1 million pounds annually, accounting for 60% of U.S. tobacco production.

    “I know tobacco growers are busy planting their crops now to honor the 2025 contracts they have in place with China,” Steve Troxler, commissioner of the North Carolina Department of Agriculture and Consumer Services said. “In the meantime, we continue to monitor these trade negotiations very closely, waiting to see what the outcome will be because it is a very fluid situation. Going back to the last trade negotiations that were initiated, the president was very good about helping farmers who had adverse effects. In fact, he was the first president in a very long time who included tobacco.”

    North Carolina has 822 tobacco farms, generating a revenue of $557 million and adding $197 million to the state’s GDP, according to Regulatory Smoke: The Economic Impacts of Proposed FDA Tobacco Regulations, a report from the John Locke Foundation. Tobacco manufacturers in the state generate $36 billion in output and contribute $31 billion to the state’s GDP, employing approximately 5,000 workers and paying them $370 million in wages. The tobacco wholesale sector brings in $15.3 billion in revenue, adds $9 billion to the GDP, and supports around 4,500 jobs.

    “Historically, tobacco exports have been a vital part of North Carolina’s agricultural strength, with countries like China, Japan, and the European Union serving as major buyers of our tobacco,” said Kelly Lester, policy analyst for the Center for Food, Power and Life at the John Locke Foundation. “When tariffs were imposed during the last trade war, China dramatically reduced its tobacco imports from the US, dealing a blow to farmers here at home. A repeat of that scenario could once again destabilize the market, lower prices, and put immense financial pressure on growers who are already navigating inflation, labor shortages, and tightening regulations.”

    The imposed tariffs could result in a significant downturn in these numbers. International markets, such as China, could also see a substantial downturn in exports due to increased tariffs, which would have a trickle-down effect on the state’s economy and agriculture sector. Last month, China announced plans to impose a 10% tariff on North Carolina exports, which include fruits and vegetables. In addition, China’s tariff on US goods was recently increased from 34% to 84%. 

    “It was pretty predictable that China was going to have a big impact, and they have, and they’re going to attack tobacco pretty hard because they know that that’s part of the soft underbelly in the agriculture sector,” State Rep. Jimmy Dixon, said. “I do not expect it to be permanent; I think that China will come to the negotiating table sooner rather than later, but the temporary reaction will be very tough and difficult and probably be a little bit depressing to our tobacco farmers. I’m telling people I’m personal friends with to hang on; it’s going to be a bumpy ride, but a short bumpy ride.”

  • N.C. Task Force Wants to Raise Tobacco Age to 21

    N.C. Task Force Wants to Raise Tobacco Age to 21

    North Carolina’s Child Fatality Task Force submitted a report to the governor and the legislature for 2025 suggesting the state raise the legal age for tobacco purchases from 18 to 21 to align with federal laws, and make licenses required for tobacco retailers. The report notes that North Carolina is one of seven states to not have raised the age for purchases to 21 and is one of nine states to not require a license or permit for tobacco retailers. 

    The task force also recommended prohibiting the sale of intoxicating cannabis or hemp products to people younger than 21, requiring child-resistant packaging and package warnings, and requiring retailers to obtain permits.

    “Last year, the legislature was close to passing a law that would have set a minimum age of 21 for buying edibles containing hemp CBD,” Lynn Bonner wrote on NC Newsline. “The bill was derailed when the Senate added legalization of medical marijuana to it.  While the Senate passed the measure, it stalled in the House.”

  • Judge Seals Docs in Juul Case

    Judge Seals Docs in Juul Case

    On Tuesday (Feb. 25), a federal judge in North Carolina granted requests by R.J. Reynolds Vapor Co. and Philip Morris’ parent company, Altria, to seal documents in their ongoing royalty dispute, keeping details of their licensing agreements with the vape brand JUUL confidential.

    “The court ruled that the agreements contained sensitive business information — including financial terms, licensing strategies and negotiation details — that could harm competitive standing, and all six motions to seal were granted,” Andrea Keckley wrote for Law360.

    The court found that an amendment to a licensing agreement between Altria and JUUL and a copy of a licensing agreement between the two were confidential and that disclosing them would “harm the party’s competitive standing or otherwise harm its business interests.” The filings stem RJR’s bid for relief against a $95 million judgement after a jury sided with Altria in a 2022 patent infringement case. The defense has argued that it should receive relief because a deal with Juul sublicensed the asserted patents.

    “Ultimately, however, this court need not decide whether the documents or hearing are protected by the First Amendment’s right of access, because even assuming the First Amendment standard applies, movants have put forth compelling interests in sealing the order and the proposed sealing is narrowly tailored such that the First Amendment right of access has been overcome,” U.S. District Judge William Lindsay Osteen Jr wrote. “Although this court has considered less drastic alternatives to sealing, the parties have already redacted their filings so as to allow public access to as much information as possible without compromising sensitive business information,” he wrote. “It is this court’s view that the parties’ proposed redactions reflect the least drastic alternative at this time.”

  • NC Tobacco Growers to Vote on Assessment

    NC Tobacco Growers to Vote on Assessment

    North Carolina tobacco growers will decide this month whether to continue assessing themselves to support export promotion. It was announced today (February 11) that a referendum will take place February 19 at the Johnston County Agricultural Building, in Smithfield.

    For years, growers of flue-cured tobacco have assessed themselves to fund Tobacco Associates Inc., which seeks to promote and expand the export of U.S. leaf. If farmers approve the assessment, it will be no more than one-fifth of one cent per pound. The assessment would continue until the next vote in 2029.