Tag: pmi

  • FDA’s Pouch Fast-Track Scheme Stalling Over Youth Worries

    FDA’s Pouch Fast-Track Scheme Stalling Over Youth Worries

    A fast-track review program at the U.S. Food and Drug Administration aimed at accelerating authorizations for nicotine pouch products has stalled, as agency scientists weigh concerns about youth uptake and risks to non-users against potential harm-reduction benefits for smokers, according to sources cited by Reuters. Reuters said applications tied to pouch brands from Philip Morris International (Zyn) and British American Tobacco (Velo) remain under review despite expectations that decisions would be made by the end of 2025 under the pilot scheme. The FDA has already authorized six products under Altria Group’s on! brand, but reviewers are said to be taking a more cautious stance on other applications where evidence of net public-health benefit is viewed as less clear-cut.

    While FDA data shows pouch use among middle- and high-school students remains relatively low, it has been rising, prompting heightened scrutiny. Tobacco companies argue the pilot program is critical for restoring legal market competition amid a surge of unregulated products, while public-health advocates warn that rapid authorizations could fuel new addiction trends. The FDA said decisions continue to be guided by science and statutory standards rather than external pressure.

  • PM Offers IQOS Specials to Promote Korean Expansion

    PM Offers IQOS Specials to Promote Korean Expansion

    Korea Philip Morris said it will expand retail availability of its new “Electric Purple” color for the IQOS Iluma i One to major convenience stores nationwide from May 2. The color, first introduced on April 10 through the official IQOS online store and nine branded outlets, features a deep purple tone with a bluish tint. To mark the wider rollout, the company will run a promotion through May 20 a discounted price in the 30,000-won ($19.80) range for its devices in all colors.

  • PMI Releases Value Report 2025, Sets Value Plan 2030+

    PMI Releases Value Report 2025, Sets Value Plan 2030+

    Philip Morris International released its Value Report 2025, marking the completion of its 2025 Roadmap and introducing a new Value Plan 2030+ to guide future growth. The report outlines progress in PMI’s shift toward smoke-free products and details performance across business transformation, environmental, and social metrics. In 2025, PMI reported around 43.5 million adult users of its smoke-free products across 106 markets, with smoke-free net revenues reaching $16.9 billion, representing 41.5% of total annual net revenues.

    The company also reported 98% coverage of shipment volumes with youth access prevention programs in indirect retail channels, 91% coverage with anti-littering programs for cigarette butts, and 76% of employees having access to structured lifelong learning opportunities. Among agricultural metrics, PMI said 99.6% of contracted farmers supplying tobacco achieved a living income, while 99.3% of tobacco purchased was at no risk of net deforestation. PMI reported a 46% reduction in absolute Scope 1 and 2 greenhouse gas emissions compared with 2019 and a 31% reduction in Scope 3 Forest, Land, and Agriculture emissions compared with 2010.

    PMI said its Value Plan 2030+ will focus on six priorities: consumers and product health impact, circularity, climate change, nature and biodiversity, its workforce, and workers across its value chain. The company stated the report was prepared with reference to Global Reporting Initiative standards and guidance from the International Sustainability Standards Board.

  • Japanese Consumers Facing Double Hit

    Japanese Consumers Facing Double Hit

    The first phase of Japan’s tax increases on tobacco products and corporate income will take effect April 1, marking the first phase of a broader revenue plan to finance expanded defense spending, with additional increases planned for October and January 2027. Both conventional cigarettes and heated tobacco products will be affected, with the long-standing tax gap between the two categories set to narrow. The government aims to raise ¥1.3 trillion ($8.2 billion) in fiscal 2027 through staged hikes on tobacco, corporate, and personal income taxes to help fund a ¥43 trillion ($271 billion), five-year defense buildup that began in 2023.

    In response to the new corporate taxes, Philip Morris Japan said it will raise prices by ¥40–¥50 (25 to 32 cents) per pack on 50 heated tobacco products from April 1, while Japan Tobacco plans ¥20–¥30 (13 to 19 cent) increases on 37 products. Manufacturers have not yet outlined pricing responses for October’s tax hike.

    The Finance Ministry estimates tobacco tax revenue will increase by ¥44 billion ($277 million) in fiscal 2026, ¥116 billion in 2027 ($731 million), and ¥212 billion ($1.3 billion) annually thereafter as additional levies take effect. The measures come as Japan seeks to secure more than ¥9 trillion ($56.7 billion) in defense spending for fiscal 2026, reaching its 2% of GDP target ahead of schedule.

  • Appeals Court Vacates 93A Defense Verdict in Philip Morris Case

    Appeals Court Vacates 93A Defense Verdict in Philip Morris Case

    The Massachusetts Appeals Court ruled that a jury does not need to find liability on underlying tort claims to hold a tobacco company accountable under Chapter 93A, the state’s consumer protection statute. The decision comes in the case of Peter Agnitti, who sued Philip Morris USA over the death of his wife, alleging negligence, fraud, misrepresentation, breach of warranty, and Chapter 93A violations.

    At trial, the Superior Court instructed jurors that a 93A violation could only be found if they also found Philip Morris liable for fraud or misrepresentation. The jury returned a defense verdict on all counts. On appeal, the court found that the instruction improperly conflated 93A liability with fraud, noting that a 93A claim based on deceptive acts does not require proof of reliance or intent to deceive. The panel also clarified that the plaintiff’s pre-charge objections preserved the issue for appeal under Rule 51(b).

    The court emphasized that Chapter 93A is a standalone statutory cause of action, intended to protect consumers independently of other tort claims. Citing evidence that Philip Morris misrepresented the risks of smoking and marketed “light” and “low-tar” cigarettes as safer alternatives despite knowing otherwise, the Appeals Court vacated the 93A judgment and allowed the claim to proceed.

    Legal experts say the ruling reinforces that 93A claims are sui generis and provides guidance on preserving jury instruction objections at trial.

  • PMI Donates Drones to Help Lithuania Fight Smuggling

    PMI Donates Drones to Help Lithuania Fight Smuggling

    Philip Morris International donated seven drone systems to Lithuania to support efforts to combat cigarette smuggling, particularly illicit shipments transported by balloons from neighboring Belarus. The drones, equipped with high-resolution cameras and thermal imaging, will be operated by the Lithuanian Riflemen’s Union to monitor landing sites and track individuals collecting contraband, enhancing surveillance capabilities rather than direct interception. The move comes as Lithuanian authorities intensify enforcement against a persistent illicit tobacco trade that also involves road transport, with officials noting the challenge remains ongoing despite seizures and arrests.

  • PMI Director: Ukraine’s Flavor Ban ‘Largely Ineffective’

    PMI Director: Ukraine’s Flavor Ban ‘Largely Ineffective’

    The ban on flavoring and aromatic additives in electronic cigarettes in Ukraine, introduced by the Verkhovna Rada in July 2024, has proven largely ineffective due to a lack of enforcement, according to Mykhailo Polyakov, Deputy General Director for Corporate Relations at Philip Morris Ukraine. Speaking at the “Dialogues with NV” event on European integration, Polyakov said illegal vape shops remain widespread, with nine out of 10 shopping centers in Kyiv hosting such outlets. Despite the law formally prohibiting flavored e-cigarettes, no regulatory or law enforcement bodies are actively ensuring compliance, rendering the ban largely symbolic.

    Polyakov also highlighted broader issues in the tobacco sector, pointing out that while parliament has adopted legislative measures intended to curb the illegal market — such as tax posts, video surveillance, minimum price regulations, and production tracking — these measures are often circumvented. Illegal operations exploit gaps in monitoring, opening workshops outside regulated areas, and mislabeling products to avoid taxes or minimum price rules. He expressed hope that international partners, including the IMF, will help strengthen enforcement and ensure that legitimate companies can operate fairly while illegal operators are held accountable.

  • FDA Releases Raw NYTS Data Without Comment

    FDA Releases Raw NYTS Data Without Comment

    Last week, the U.S. Food and Drug Administration released the raw data from the 2025 National Youth Tobacco Survey (NYTS), an annual, school-based survey that collects data on tobacco use among students in grades 6 through 12 across the country. Unlike previous years, the FDA released the data without comment, leaving industry members to interpret it independently.

    The survey tracks students’ tobacco behaviors, attitudes, and exposure to pro- and anti-tobacco messaging, providing nationally representative data. First conducted in 1999, it has guided youth tobacco policy and was jointly run by the U.S. Food and Drug Administration and Centers for Disease Control and Prevention since 2012, before moving fully under FDA oversight in 2025. 

    “Youth use of tobacco and nicotine has been the FDA’s sole focus in its policy and decision making for so many years, with adult education programs centered on the risk continuum of these products seemingly still far off,” said Laura Leigh Oyler, VP of Regulatory Affairs at Nicokick.com. “It’s been a big question throughout the industry as to why they’ve chosen to release this data with no fanfare, and with no guidance on how to interpret it. The FDA has essentially left the industry and other stakeholders to analyze and determine the use rates on their own.”

    Altria Client Services released a “high-level” summary of the data, finding overall tobacco usage by middle and high school students declined for the third straight year, dropping to 7.5%, the lowest rate since the study became annual in 2011, and down from the all-time high of 23.3% in 2019.

    Cigarette usage remained steady at 1.4%, while all other categories dropped from 2024, with e-cigarettes going from 5.9% to 5.2%, pouches from 1.8% to 1.7%, smokeless tobacco going from 1.2% to 0.6%, and heated tobacco products going from 0.8% to 0.7%.

    “With the continued low youth use rates, we think this is something worth celebrating,” Oyler said. “The data shows that targeted public‑health interventions, combined with thoughtful regulation like raising the legal age for nicotine purchases, can make a meaningful difference.”

    “The law is clear: tobacco and nicotine products are strictly for adults 21 and older,” said Matthew T. Sheaff, director of U.S. regulatory communications for Philip Morris International. “At PMI U.S., we are committed to guarding against underage access to our products, while continuing to provide adults 21 and older with better alternatives to smoking and traditional tobacco.

    “For example, we direct our marketing to adult nicotine consumers and do not pay social media influencers to endorse our products in the U.S. This is a shared responsibility—regulators, policymakers, retailers, and manufacturers all have an important role to play.”

    With the news generally positive in terms of youth usage, Oyler suggested emphasis be given to adults 55 and older, whose smoking rates have remained mostly steady, dropping from 18.7% in 2016 to 16.7% in 2023.

    “If anything, this data raises questions less about youth access and more about what we can do to educate adults on the differences between nicotine and tobacco products, and how they can reduce their risk,” Oyler said. “This is the population most at risk of smoking-related disease. This is the population with the most to gain from moving away from cigarettes. And this is the population that has been historically underserved by cessation efforts and innovation.

    “To drive the next major improvement in public health, we must accelerate support for adults who smoke and ensure that they have access to better alternatives, and ultimately, better outcomes.”

  • PMI Declares $1.47 Quarterly Dividend

    PMI Declares $1.47 Quarterly Dividend

    The Board of Directors of Philip Morris International Inc. today (March 5) declared a regular quarterly dividend of $1.47 per common share, payable on April 13, to shareholders of record as of March 19. The ex-dividend date is March 19. For more details, visit www.pmi.com/dividend.

  • Health Groups Call for F1 to Cut Ties with Pouch Sponsors

    Health Groups Call for F1 to Cut Ties with Pouch Sponsors

    Campaign for Tobacco Free Kids said that 160 public health and advocacy groups from 57 countries have urged Formula One to extend its ban on tobacco sponsorships to include nicotine pouches, warning that current team partnerships with Philip Morris International and British American Tobacco, promoting Zyn and Velo through Ferrari and McLaren, make branding visible to millions of young fans. In a letter to F1 CEO Stefano Domenicali, the groups said the sponsorships undermine the sport’s youth-focused expansion efforts and expose minors to addictive nicotine products, citing data that a significant share of F1’s social media audience is under 25. Separate letters were also sent to The Walt Disney Company, The Lego Group, and Mattel, calling on them to support a comprehensive prohibition on all tobacco-related sponsorships in the sport.