FDA would ask for more time to decide if Juul can continue to sell its e-cigarettes

FDA would ask for more time to decide if Juul can continue to sell its e-cigarettes

A sign advertising Juul-branded vaping products is seen outside a store in New York City on February 6, 2019.

Mike Seger | Reuters

The Wall Street Journal reported on Thursday that the Food and Drug Administration would be looking for more time before deciding whether Juul can continue to sell its e-cigarettes in the United States.

A court warrant created a deadline for the agency to review vaping products, after years of pressure from politicians and public health groups to strictly regulate the clause like other tobacco products.

The FDA did not immediately respond to a request for comment from CNBC.

The FDA has until Thursday to review about 6.5 million products from about 500 companies and decide whether those products can continue to be sold. He said he would speed up decisions regarding market leaders such as Juul. The FDA has already rejected around 55,000 requests from smaller players such as JD Nova Group and Great American Vapes for their flavored vape products.

According to Euromonitor International, Juul has been the market leader in e-cigarettes since 2018. In 2020, the company had a 54.7% share of the US $ 9.38 billion e-vapor market.

Marlboro owner Altria bought a 35% stake in the company in late 2018 for $ 12.8 billion. However, Altria, like Juul, has eroded the value of the investment, and the wider e-cigarette industry has been embroiled in the controversy. In September 2020, Altria valued its stake at $ 1.6 billion, one-eighth of its initial investment, and Juul itself at less than $ 5 billion.

Learn more about the FDA’s decision here.

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