The Federal Trade Commission’s second report on e-cigarette sales and advertising across the U.S. shows sales of flavored disposable e-cigarettes and menthol e-cigarette cartridges surging dramatically in 2020.
The coincides with a federal ban on the flavored cartridges for closed systems. Regulators state that closed systems were popular with youth, so the FTC report suggests that youth e-cigarette use has shifted to disposable flavored products rather than declined.
The report also found that the distribution of free and discounted e-cigarettes reached record highs.
“This report shows that youth are still at risk from flavored or deeply discounted e-cigarettes,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection. “Marketers of e-cigarettes have proven skillful at evading FDA regulation and hooking youth on addictive products.”
The FTC has been reporting on tobacco sales annually since 1967 and smokeless tobacco sales since 1987. Last year, the agency expanded its studies of industry and published its first-ever report on e-cigarettes.
This year’s e-cigarette report covers sales and advertising data from 2019 and 2020, a period in which the U.S. Food and Drug Administration published an enforcement policy banning the sale of flavored e-cigarette cartridges other than menthol.
Overall, the report found that total e-cigarette sales, which had increased from $304.2 million in 2015 to $2.046 billion in 2018, grew to $2.703 billion in 2019, but then declined to $2.24 billion in 2020. The FTC report notes that the 2020 decline may not represent the market given major industry shifts. Key findings in the report include:
Significant shift to flavored disposable e-cigarettes: Publicly available sources indicate that the sale of disposable e-cigarettes – which are exempt from the FDA’s 2020 policy – increased substantially, with “other” flavored disposable products making up 77.6 percent of all disposables sold in December 2020. The FTC’s data did not show an increase in disposable sales. However, FTC’s data likely does not represent an accurate picture of the market for disposable e-cigarettes. Only two of the five companies submitting data for 2019-20 continued to market disposable e-cigarettes in 2020, and those that did provided more limited offerings. In order to improve the representativeness of its industry sales data for future FTC reports, the FTC recently sent orders to four additional e-cigarette companies.
Major increase in menthol cartridge sales: Similarly, the report found that the sale of the remaining non-FDA-banned flavored cartridge, menthol, increased significantly, to 63.5 percent of all cartridges sold in 2020.
Record high e-cigarette discounting: The data also reveal that price discounting for e-cigarettes reached a record high of $182.3 million in 2019, and, although it decreased slightly in 2020, such discounting still represented the largest category of ad expenditures by e-cigarette manufacturers.
Doubling of nearly free e-cigarette samples: The data collected for 2019-20 suggest that spending on the sampling and distribution of free and deeply price-discounted e-cigarettes more than doubled in just two years, making it the second-largest spending category in 2020. This occurred because, after the FDA banned tobacco product sampling in 2016 to limit youth access, some companies began offering e-cigarettes for $1 (or even less) in an apparent attempt to get around the ban.
“This report shows that partial bans on certain types of flavors for certain types of e-cigarettes are unlikely to be successful in achieving a reduction in youth addiction to nicotine via e-cigarette usage,” the FTC wrote in statement.
The Commission vote approving the FTC’s E-Cigarette Report and related data tables for 2019-20 was 5-0.
Romania is more progressive when it comes to vaping than many of its neighbors.
By Norm Bour
Romania, a country of just under 20 million people, is considered progressive when it comes to vaping. As a member of the European Union, it follows the Tobacco Products Directive, which has been in force for almost a decade now.
Romanian law prohibits the use of e-cigarettes on public transport and e-cigarette sponsorship and restricts much of the advertising of vaping products. A text-only health warning is required to cover 30 percent of the product package, according to tobaccocontrollaws.org.
The country has a high percentage of smokers, estimated to be about one-quarter of the population, which is dropping. Whether those former smokers have quit nicotine entirely or moved to vaping is hard to determine. As in many places, vaping is embraced primarily by the mid-20s to mid-30s age groups, with about 3 percent of the population being vapers.
Remarkably, at a time when the popularity of vaping is increasing throughout Europe, only 1.5 percent of Romanians under the age of 24 vape. Overall, it appears that about 2 percent of the Romanian population has taken up the habit. This creates many new opportunities for budding entrepreneurs.
With a growing number of shops in the capital city of Bucharest, I visited two of them to get a better feel for their perspectives. I also wanted to know if the shops were getting business from Turkey, just a few hundred miles away, where vape shops are illegal.
Florin Mincu is an early innovator in the vapor business. He opened Vaper’s Paradise in 2010.
“My taxi driver from the airport was smoking, and I saw him put what I thought was a lit cigarette in his shirt pocket. “‘Whoa,’ I said, ‘what did you just do?’ He explained that it was an e-cigarette, and he bought it from a black market guy selling them out of his trunk,” said Mincu. “I knew this was important, so within two hours, I had the taxi driver take me to meet this person. Remember, these were the days before true vape shops. I used the products he was selling and quit smoking in two months, and that is when I opened my first shop.”
When I hear stories like this, I wonder if I would have been so impulsive, but Mincu did not hesitate. Now, a dozen years later, he has two shops. In his main shop, with only 20 square meters (215 square feet) of space, he earns upward of $50,000 in revenue. In the Romanian context, this is a hugely successful shop.
We spoke about the government’s attitude and support of vaping, and he said they are “about 50 percent in,” which means they don’t support it, but they don’t outlaw it either. Fortunately, the country is pro-tobacco, so when he opened his shop, authorities assumed it was just another tobacco business.
After talking with Mincu, I spoke with another shop owner who requested anonymity, but both shops said the average age of their customers is about 30. As in many countries, no one under 18 is permitted inside the vape shop.
Vaper’s Paradise carries single-use and disposable kits, but the store is still pretty “old school,” with big mods and the heavy vapor products featuring prominently in its collection. Because of that, Vaper’s Paradise carries an impressive assortment of liquids, including American-made Five Pawns and Got Vape. Mincu prefers the U.K. brands, especially Nasty Juice, since it offers better pricing, great flavors and enjoys great popularity among his customers.
He also favors Nasty Juice because it burns cleanly and the cotton lasts much longer, and he’s a fan of U.K.-made Kilo but says this product is tougher to get now.
“About half our customers are getting into the disposables, but I have a large YouTube following, and they know I have a sophisticated taste for liquids, so they follow my advice,” he claimed. “Quality and flavors are what keep our customers happy, but even more important, any RDA [rebuildable dripping atomizer] hardware must be easy to use.”
Mincu does a lot of RDA builds and is always trying to improve the quality of the products. By trial and error, he developed his own technique, which he teaches to others. The coil has a very specific sound—and quality—when he gets it right.
They call it “polita,” which may not be a real word, but the sound it makes is very real.
He also said that many reviewers go into too much detail when evaluating hardware. “It’s not required to spend an hour on an atomizer,” he griped. “They are not that complicated! I try to keep my reviews short and tight and keep reader’s already short attention spans.”
Both shop owners agree that the Romanian vapor market is driven by flavors—a universal reality that makes the Food and Drug Administration policy so restrictive for their colleagues in the United States. When asked about the future potential for vaping in Romania, both entrepreneurs I spoke with were bullish and said they planned to open new shops in 2023.
Mincu has a big vision and is planning a shop about five times larger than his current outfit. He also has a robust online presence, and when asked about that bleed-over business from Turkey, where there are no legal shops, he said, “Absolutely. You cannot keep products out of people’s hands today. If someone wants something, they will find a way to get it, and we should know by now that telling someone that a product is illegal will only make them want it more.”
Mincu gets a lot of airline employees and pilots from different countries that are more restrictive about vaping products. And although Romania has vaping industry trade groups, Mincu has not joined any of them because “they don’t want to change, and they avoid new technology”—a common complaint shared by vapor industry representatives in many countries.
Mincu and I finished up our conversation by speaking about hemp, CBD and cannabis. Hemp and CBD still operate in a regulatory gray area in Romania, and even though Mincu has received offers to sell those products, he does not. It’s not worth the risk, he says, since CBD cannot contain THC, which remains illegal in Romania. However, Mincu expects this to change in the next few years.
Norm Bour is the founder of VapeMentors and works with vape businesses worldwide. He can be reached at norm@VapeMentors.com.
Jamaica has seen a rise in e-cigarette sales. In a recent interview with the owner of local vape shops, a story in the Jamaica Observer states that increasing number of Jamaicans are turning to vape retail outlets across the island to curtail their smoking habit.
Ravn Rae, the owner the Mez Vape & Smoke Shop, which has been in operation since 2013, says they have received countless testimonials from its local and international customers, who have used Rae’s vaping products to help them successfully quit tobacco smoking.
The shop has locations in Kingston and Montego Bay and Rae told the newspaper that she prides herself on only selling “authentic, certified, quality-assured and proven products to buyers” that are over 18 years of age.
“I have even been visited by parents on numerous occasions seeking safer vape products to help their adult children quit smoking,” she attests. “The good thing about vape products is that they have been proven to be much safer alternatives to combustible cigarettes and the level of nicotine in vape products can be determined by the buyer.”
Flavors other than tobacco are also popular with adult Jamaican consumers, according to Rae. She revealed that some flavor profiles are also more effective than others “as these are not the generic flavors that smokers typically associate with traditional tobacco cigarettes.”
There were numerous innovations introduced in the hardware segment last year.
By Mike Huml
The year is finally over, and 2021 was a rough one. Not just in terms of the vapor industry but for everybody the world over. After a year like that, it’s important to look back and appreciate the successes and accomplishments despite the challenges faced. In particular, the vapor industry has had to bear the burden of federal and state regulations, supply issues, shipping delays and much more. However, even with these new obstacles and the continued plateauing of new vapor technologies, consumers have mostly still been able to access a wide range of quality vaping products thanks to the hard work of advocates and business owners alike.
Now, new opportunities for the future arise. Hurdles and challenges inevitably await, but the vapor industry always weathers the storm. There will always be successes and failures, wins and losses, but at the end of the day, it’s important to reflect upon how far vaping has come in such a short time and remember how human innovation transformed the simplest of circuits—a battery and a resistor—into a life-saving product that changed the world of harm reduction.
Here are my selections for the best vaping products of 2021:
Best Pod System: The Caliburn G2—UWell
The Caliburn series of pod systems from UWell has long been a favorite not only for pod vapers but vapers of all levels. Whether as a daily driver or as a backup or portable alternative, the Caliburn has earned a reputation for being a simple, no-hassle device with easy vapor production, accurate flavor reproduction and a killer analog-accurate throat hit. In 2021, UWell released their follow-up to the popular Caliburn G—the Caliburn G2. The Caliburn G2 features all the things vapers have come to love about the Caliburn G plus a few extras to further improve the experience.
The Caliburn G2 has a larger 750 mAh battery compared to its predecessor’s 690 mAh battery. While this doesn’t provide a huge boost to battery life, any improvement is welcome, especially when it doesn’t translate into a larger device—the Caliburn G2 is virtually the same size as the Caliburn G. Both devices use a USB-C charger for blazing fast charging, and both devices can be charged from empty to full in less than an hour.
The Caliburn G2 also has a larger window for viewing remaining e-liquid, which is ironically made unnecessary due to the innovative haptic feedback system. When a pod runs empty and the user attempts to take a drag, the Caliburn G vibrates to indicate that a fill is needed. Of course, the larger window is still a welcome upgrade that doesn’t detract from any other features. Additionally, each pod now has an airflow adjustment ring on the bottom to allow for a wider range of airflow settings rather than the two fixed options available with the Caliburn G.
The Caliburn G2 continues to use mesh technology in the coils for a quick ramp-up time, more even heating and improved flavor. Many pod systems have trouble wicking too fast or too slow, leading to either weak vapor production or spitback and leaking. The Caliburn G2 does not have these issues whatsoever, and that factors into the user experience in a huge way. Ease of use, excellent performance and new refined features all contribute toward the Caliburn G2’s title as the best pod system of 2021.
Best Starter Kit: Aegis Mini2 and Solo2—Geekvape
These two kits share their accolade of best starter kit because they are virtually identical in terms of what’s included and performance. Aside from a few aesthetic differences, what sets these mods apart from each other are the batteries. The Mini2 features an internal battery while the Solo2 requires an 18650. That being said, with the advent of pod systems and their dominance over the beginner vaping market, the term “starter kit” has evolved to mean a bundle of products that includes all the necessary hardware to get started with a new setup rather than simply a kit for new users.
Geekvape has always provided some of the best value when it comes to the intermediate to advanced market, providing hardy and simple devices with a good range of features at a reasonable price point. The Mini2 and Solo2 kits take Geekvape’s well-loved Aegis aesthetic and apply it to a 100 W mod then add in the Geekvape Z subohm tank for a perfect introduction into subohm vaping and cloud chasing.
These kits naturally come with extra tools and parts as well as a spare replacement coil, but the main attraction of any intermediate kit is the promise that it can provide something that a user can’t find in a pod system. Whether that’s a full day’s battery life, massive clouds of vapor, more customization of the vape experience or an easier way to taper down nicotine levels, many starter kits attempt to provide these features with varying degrees of success.
Geekvape’s Mini2 and Solo2 can provide all these things with minimal hassle and under $60. The mods themselves are water resistant and dustproof with excellent shock protection in case they’re dropped on the ground. While the Solo2 requires an 18650, both devices can be charged with an included USB-C cable. The menu is simple enough to not incur frustration while also serving to introduce users to the common three-button system.
The Geekvape Z tank uses top adjustable airflow, rendering it virtually leak proof. It’s also top-filling and performs almost at the level of any rebuildable worth its salt while providing 5.5 mL of juice capacity. Replacement coils are available in two varieties and are readily available from a multitude of vape shops and online retailers.
There is no single aspect of the Aegis Mini2 or Solo2 that can be singled out as their defining feature. Rather, both kits do everything very well, and that should be the goal of any starter kit. They provide a well-rounded experience that balances features and simplicity, power and size, quality and price point. For anyone wanting to take the next step in vaping, the Aegis Solo2 and Mini2 are the best starter kits of 2021.
Best Rebuildable: Steam Crave Aromamizer Series
Rebuildable atomizers, once the gold standard of vaping quality, have humbly been taking a back seat for the past few years. While simpler and more broadly desired devices have stolen the spotlight, the hobbyist vaper niche market still exists backstage. Any “best of” claim will be disputed by the passionate vaper—each has their own hands-down favorite, and nothing can convince them otherwise. However, when taking everything into account from performance and quality to price and availability, the Aromamizer series of atomizers from Steam Crave stands apart from the rest.
First, the Aromamizer series consists of four different atomizers that range in size from 25 mm to 41 mm in diameter. This means the majority of vapers will be able to find an Aromamizer that perfectly suits their favorite mod. Many varieties are capable of sharing spare parts and build decks, which makes it easy to try new builds without the need for multiple RBAs. Additionally, each Aromamizer can function as either a tank or a dripper. The level of customization is unprecedented.
Next, the Aromamizer is built to the highest quality standards and performs as well as, if not better than, atomizers at twice the price. Steam Crave is the only notable manufacturer that bridges the gap between the notorious $20 clone and the $200 authentic. Depending on which Aromamizer is chosen, the price hovers between $40 for the 25 mm Supreme V3 and $75 for the 41 mm Titan V2. The Aromamizer design is original to Steam Crave and packs all sorts of features into a single package.
In addition to interchangeable build decks, the Aromamizers are top-filling with juice flow control and a wide range of airflow options. Being an RDTA, each deck is built like an RDA rather than many dedicated RTAs that wick completely differently than RDAs and therefore are designed with more restrictive decks.
The latest series of Aromamizers have undergone years of refinement and it definitely shows. Quality and performance aren’t even a question for these RDTAs. But the icing on the cake is price and availability. Many high-end rebuildables are produced at a small scale and can be prohibitively expensive, and because of this, few vendors are willing to risk carrying large quantities of these atomizers for a niche market. It’s too much risk for not enough return, and that can make finding quality rebuildables difficult, even if a vaper is willing to pay a premium.
So, with that in mind, the Aromamizer series is the best rebuildable of 2021 due to its high quality, perfect performance, level of customization, price point and general availability.
Best Mod: Hyperion DNA 100C—Lost Vape
Lost Vape is another longstanding company that breaks from the norm. In a nutshell, this manufacturer is responsible for getting the most mods utilizing Evolv’s DNA boards into the hands of vapers for years. While other companies were copying Evolv’s technology—whether it be variable wattage, regulated subohm vaping or temperature control—Lost Vape simply went to the source and put DNA boards into high-quality mods at reasonable prices. The Hyperion DNA 100C continues this trend, and as a result, Lost Vape has produced the best all-around mod to date.
The list of features provided by a DNA board is extensive and too long to reproduce here. Evolv has been at the forefront of vaping technology for over a decade, so in general, it’s safe to assume that any feature found on a mod today was pioneered by Evolv. They did it first and probably did it best. Consequently, the Hyperion is a full-featured device with variable wattage, temperature control and the entire gamut of DNA features. That plays a huge role, but it’s not the whole story.
To put it too simply, the Hyperion is a Geekvape Aegis Solo with the quality bumped up a notch and the inclusion of a DNA board. The C-frame design is hugely popular and functional, allowing for a great asymmetric aesthetic that’s comfortable to hold and allows an infinite number of customization options for the “soft” side. The Hyperion is available with different colors and materials, including carbon fiber, leather and vinyl.
The Hyperion is also extremely durable, being water resistant, dustproof and shock resistant. It can be powered by a single 18650, 20700 or 21700 battery for maximum battery life and can output up to 100 W of power—more than enough for the general vaping population. The battery can be swapped and charged or charged internally via the USB-C port, which is also used to connect to a PC for firmware updates or to play around with Evolv’s EScribe software.
Sure, other mods can fire up to 200 W or higher, but for someone looking for a top-of-the-line device that can do it all—and do it modestly—the Hyperion can’t be beaten. It’s the result of years of refinement by Lost Vape that takes a popular and functional design that’s crafted to the highest quality standards and couples it with the best internals on the market in the form of the DNA 100C for a final product that’s a modest size with respectable power that could very well last a lifetime. The Hyperion DNA 100C from Lost Vape is the best overall mod of 2021.
Best Advanced Mod: Hadron Pro—Steam Crave
At some point, everybody wants to splurge. Every human eventually wants something out of the ordinary, something bombastic that could very well be overkill, price and practicality be damned. That mid-life crisis of a vaping device is the Hadron Pro from Steam Crave.
This device certainly has its negatives, from a certain perspective. It’s huge, it’s plain and some assembly is required. However, it uses a DNA 250C board with a 4C LiPo for maximum battery life and a potential 400 W of power. It’s huge for a reason, and that’s the battery that can last for a long while when used at reasonable power levels. Coincidentally, it also gives an excuse to purchase the 35 mm Aromamizer Ragnar, which pairs perfectly with the Hadron Pro.
Most of what makes the Hadron Pro so great is admittedly the DNA 250C. And while the design is plain, plain can be a good thing when the asking price is approaching $200—the last thing a device that expensive needs is an extreme, polarizing aesthetic. And that large battery previously mentioned? The reason it needs to be installed by the end user is that it is replaceable. Again, a great feature when it comes to an expensive device, as a dead battery isn’t the end of the line for the Hadron Pro. While using four 21700 batteries might seem a better idea to achieve the same effect, the size of such a mod would not only be impractical but unusable.
None of this is to say that the Hadron Pro is gimmicky—far from it. Every feature provided by the DNA 250C is here, and although the size is a bit unwieldy, it makes for a perfect coffee table mod, and there’s technically nothing that keeps a vaper from bringing the Hadron Pro out and about, provided they have big enough pockets and don’t mind the extra weight.
For advanced vapers where the pros always outweigh the cons, and impracticality always yields to superior performance, there is no better option: The Hadron Pro is the best advanced mod of 2021.
The proposed U.S. Tobacco Tax Equity (TTE) Act would tax vaping products the same as combustible cigarettes. According to research from the Tax Foundation, an independent tax policy nonprofit, the proposal would double the rates on combustible cigarettes and increase the rates on all other tobacco and nicotine products – including electronic nicotine-delivery systems (ENDS) – to achieve parity with the traditional tobacco tax rate.
The proposed rule aims for the tax per 1,000 cigarettes to be increased to $100.66. Vaping products would be taxed at this same rate, with 1,000 cigarettes being equal to 1,810 milligrams of nicotine.
“In addition to the one-time increase, the rates would be indexed to inflation, which means they would automatically increase every year,” the report states. “According to Tax Foundation estimates, the tax increases would raise $112 billion over 10 years. The bulk of the revenue, $74.8 billion, is from the doubling of cigarette taxes. The tax on vapor products would raise roughly $15 billion over 10 years.”
According to Alex Norcia of Filter, the proposal would benefit large corporations and traditional tobacco products, while unfairly hurting people in lower socioeconomic classes as most smokers do not typically belong to the upper classes. Current cigarette smoking in the United States “is higher among people with low annual household income than those with higher annual household incomes,” according to the Centers for Disease Control and Prevention.
“This means that a 30-milliliter bottle of e-liquid containing 3 milligrams of nicotine per milliliter would be subject a tax rate of $5 for the bottle. A 120-milliliter bottle of e-liquid that contains 6 milligrams of nicotine per milliliter would attract a tax rate of $40 for the bottle,” writes Norcia. “In comparison, critics and tax reformists have estimated that a four-pack of Juul pods would be taxed around $9—giving a clear advantage to a giant over the smaller player. More alarmingly, a pack of cigarettes would only be taxed around $2, creating an incentive for nicotine users to pick cigarettes over less-risky vapor products.”
The TTE Act as part a massive $3.5 trillion spending bill appear to be heading for a collision with President Joe Biden’s pledge not to raise taxes on America’s middle class. In an interview with C-Span on Sept. 15, White House Press Secretary Jen Psaki was asked if the White House believes that the proposed bill on taxing tobacco/vaping products would violate Biden’s promise to not raise taxes on those making under $400,000 per year. She replied, “No, we don’t,” adding that it was “just one of the ideas out there.”
Vape Shop owners are saying that the proposed tax increase would “completely destroy” their businesses, saying it would be even worse than the U.S. Food and Drug Administration’s failure to approve any ENDS products by the Sept. 9 deadline and the issuing of nearly 200 marketing denial orders (MDOs).
“This is going to more than double, and in some cases triple or quadruple, the price of liquids that I sell,” says Keith Gossett, the owner of Bucky’s Vape Shop in Columbus, Georgia, told Reason. “I’m going to sit there and try to tell a man with a $6 pack of cigarettes that my [$75] product is better. This tax will close my shop.”
The last time the federal excise tax on tobacco was increased was in 2009. While the federal tax has not changed for 12 years, the average tax paid by consumers has increased drastically. Including the last federal increase, the average combined state and federal excise tax rate on tobacco products has jumped more than 80 percent (the average state excise tax rate increased 65 percent between 2009 and 2021), according to Tax Foundation.
According to sources, numerous companies received marketing denial orders (MDO) from the U.S. Food and Drug Administration overnight. A major white label manufacture confirmed that several of their clients received MDOs. The FDA is expected today to announce the fate of the vaping industry when it makes final decisions on premarket tobacco product applications submitted by Sept. 9. 2020.
The manufacturer can not be named because he had yet to speak with his clients about the denial order. The exact number of products that have received MDOs could not be confirmed, but some are suggesting its “hundreds of thousands” of products.
Several companies have announced on Twitter having received them on Sept. 8, many late in the evening. Amanda Wheeler, president of the American Vapor Manufacturers Association (AVM) tweeted “Today was a tough day. Lots of very good people who I respect deeply and who helped thousands of smokers quit, got told by our government that their products were illegal. To all of you, I am so very sorry. To your customers, I am even more sorry. Our government is wrong on this.”
The FDA has yet to update its list of companies that received MDOs. Recently, the agency announced it had sent in total 34 MDOs from Aug. 27 to Sept. 1, covering more than 300,000 products. At least one company has already filed a lawsuit against the FDA, according to Vape Radio.
Many manufacturers have also said they would turn to synthetic nicotine because the FDA lacks the authority to regulate it. Vapor Salon will be switching to synthetic nicotine, the company wrote in a public Facebook post dated Aug. 26.
The post was published on the same day that the U.S. Food and Drug Administration denied some 55,000 marketing applications by Vapor Salon and two other companies on the ground that they “lacked sufficient evidence that they have a benefit to adult smokers sufficient to overcome the public health threat posed by well-documented, alarming levels of youth use of such products,” according to an FDA press release.
“VaporSalon is switching to TOBACCO FREE NICOTINE on Friday, 8/27/2021,” the Facebook post reads. “The main purpose of this is to be outside of the FDA’s regulations with their hefty PMTA requirement which takes full effect on Sept 9th 2021 with needing an approved PMTA, or your product can no longer be sold. There has been 0 approved PMTA’s for anything ENDS related to-date.”
More than 400 owners of independent vape shops are urging FedEx to reverse its rule banning the shipment of vapor products. A letter drafted by Greg Conley, president of the American Vaping Association (AVA), to FedEx Chairman and CEO Fredrick Smith, states that the shipping ban is a “misguided and unnecessary” policy that prevents combustible smokers from access to lower-risk products that could help them quit smoking. The signatories include representatives from every facet of the vaping industry.
“It also threatens thousands of small businesses like ours, which rely on common carriers like FedEx to ship the lifesaving products we stock every day,” the letter states. “Please reconsider this disastrous decision, which will perpetuate another generation of smoking-related deaths – especially among underprivileged communities.”
The letter also accuses FedEx of continuing to ship vapor products for a select few large vaping industry manufacturers. The letter claims that FedEx is “picking winners and losers” in the vaping industry, calling the practice discriminatory against small businesses and raises serious antitrust concerns.
“In addition to the hypocrisy, antitrust concerns, and blatant negative impact on marginalized communities, we can’t help but also notice an inconsistency in shipment policies of companies like yours. For example, it struck us as ironic that FedEx banned the shipment of our legal, lifesaving, and regulated products, yet they are failing to identify and stop the company’s own shipment of illegal pharmaceuticals – products that have proven to have disastrous consequences on our country,” the letter states. “Also, while we as a group do not express a position on the Second Amendment, it does seem odd that you continue to ship firearms yet are prohibiting us from stocking our store shelves with legal products.”
The U.S. Congress imposed new limitations on the shipment of electronic nicotine delivery systems (ENDS) through the United States Postal Service (USPS) by including ENDS products in an updated provision to the 2009 Prevent All Cigarette Trafficking (PACT) Act. ENDS would now be subject to the same shipping laws as combustible tobacco.
The PACT Act has historically exempted business-to-business deliveries from the USPS ban. Specifically, the USPS ban does not extend to tobacco products mailed only for business purposes between legally operating businesses that have all applicable state and federal government licenses or permits and are engaged in tobacco product manufacturing, distribution, wholesale, export, import, testing, investigation or research.
While the legislation was geared toward nicotine vaping products, the law is so broadly defined that cannabis businesses must also comply. This means marijuana and CBD companies selling, manufacturing or shipping vaporizers or associated parts across state lines are required to comply with the provisions of the PACT Act.
FedEx regulations are harsher than those mandated by Congress. The company has prohibited the shipment of all vaping products to both businesses and adult consumers. The letter states that the FedEx regulations would have a greater impact on small businesses than on large companies who have sophisticated distribution networks.
“Because most vape retailers are small mom-and-pop shops, they do not have the ability to build in-house distribution networks like those utilized by big tobacco companies,” the letter states. “As a result, the consequences of this decision are largely being borne by small, independent vape shops and our customers. We rely on companies like FedEx to stock our store shelves and meet customer demand. These restrictions will inevitably result in unintended, but severe, consequences for us, our businesses, our families, former cigarette smokers, and those trying to quit smoking around the country.”
Nebraska has seen a spike in vape shop robberies recently as thieves target CBD and Delta-8 THC products. On July 10, in Lincoln, Nebraska, Between 2 and 5 a.m., the Lincoln Police Department (LPD) responded to reports and alarms at two businesses — Cloud 9 Smoke Shop and CBD Remedies — where officers found shattered storefront glass at both locations, according to Officer Luke Bonkiewicz.
The Lincoln Journal Star reports that in both cases, burglars gained entry into the businesses — after causing $500 in damage to each storefront, Bonkiewicz said — and made off with product from inside the shops. The owner of Cloud 9, near 11th and F streets, is still conducting inventory to determine what exactly burglars took. The same is true at CBD Remedies, near Normal Boulevard and South 48th Street, where burglars set off an alarm upon entry at 4:48 a.m. Friday.
The pair of break-ins comes two days after another similar burglary, totaling three in as many days. LPD discovered a broken window at Generation V E-Cigarettes and Vape Bar around 4:30 a.m. Wednesday, where the owner of the business near Holdrege Street and North Cotner Boulevard reported a preliminary loss of $2,000, Officer Erin Spilker said.
The latest three break-ins follow at least two others in recent months that seem to align with those investigated this week. But the uptick that seems to involve the same group of burglars could date further back than this calendar year.
Timothy Goodman, a manager at the Lincoln Vapor location hit by burglars in May, said that break-in was just the latest in a string of six incidents in the last year or more. Goodman said it’s his understanding that every break-in can be linked to the same group.
Goodman, who has worked at Lincoln Vapor for nearly four years, said a group of burglars stole $2,000-$3,000 worth of merchandise in May and have lifted around $16,000 in products from the business in the last year and a half. The majority of products were hardware and cannabis products such as CBD and Delta-8 THC. “It’s frustrating beyond belief,” Goodman said. “I wake up most nights in the middle of the night and check the cameras to make sure nobody got in.”
In an email to subscribers, My Freedom Smokes (MFS) announced Monday that it would be closing its doors due to the current regulatory climate of the vaping industry. In business since 2008, MFS has been a longtime staple in the business of vaping.
“Due to ongoing compliance requirements and new regulations of the e-cig industry, it has become nearly impossible for a shop like MFS to function without turning into something completely different,” the email states. “This was never the goal for MFS as we always prided ourselves on being able to offer customized products and service at great prices. So unfortunately, we will be shutting our doors at the end of the month.”
The MFS website states that the company is run by vapers, for vapers and is a one-stop website for everything from e-cig starter kits and cheap e-liquids to the most advanced cloud competition ready box mods and RDAs available. Based out of Charlotte, North Carolina, MFS was founded by Chris Yelton.
Lawmaker’s bill to stop Montana communities from enacting local ordinances or resolutions to prohibit the sale of any vaping products or alternative nicotine products saw support last week from vape shop owners and opposition from public heath advocates and educators.
Senate Bill 398 is carried by Republican Sen. Jason Ellsworth. He told the Senate Business, Labor, and Economic Affairs Committee vaping products are legal and should not be banned, according to the Independent Record. “The one thing they cannot do is ban it in totality. It’s a legal product. It should not be banned, but of course they can put sideboards on it,” Ellsworth said.
Under the bill, a local government could enact a “reasonable” ordinance or resolution related to the sale of vaping products. While the bill does not define “reasonable,” Ellsworth said to his thinking that could mean something like keeping products out of reach of children in stores or not allowing vaping in restaurants.
Rep. Ron Marshall, a Republican from Hamilton, spoke in support of the bill. Marshall is co-owner of a vaping store. Earlier this session he brought a bill that would have barred a local government or the state Department of Public Health and Human Services from creating or continuing a regulation, ordinance or restriction related to vaping products.
Reports for the period that include when Ellsworth’s bill was introduced aren’t due yet. At the state level, the Montana Department of Public Health and Human Services proposed to ban flavored vaping products in 2020 over concern that flavors targeted children. Ellsworth was a leader in a push from GOP lawmakers to oppose the ban, which the department eventually dropped.
After passing the House in February, Marshall’s bill was voted down in the Senate Business, Labor, and Economic Affairs Committee in mid-March. Marshall told the same committee Tuesday in support of Ellsworth’s bill that bans on things like flavored vaping products would hurt businesses like his. He also said local governments shouldn’t have power to create ordinances on vaping products.