WARNING: This product contains nicotine. Nicotine is an addictive chemical.

2022-06-24

The nail that sticks up mostly gets hammered down. As the most famous brand of pod system vapes, Juul is hard not to attract the attention of the FDA.

The U.S. Food and Drug Administration (FDA) recently decided to ban the products of electronic cigarette giant Juul Labs. This may be a game-changer for the future of the startup, which at one time controlled more than 70% of the market share in the U.S. vaping product market.

In a statement released by the FDA, Juul noted that it had failed to demonstrate that the sale of its products was "appropriate in the maintenance of public health. "The FDA has already banned the sale of fruit or sweet flavors. It had asked electronic cigarette companies to submit appropriate data on menthol and tobacco flavors to determine whether they should continue to be allowed to be sold.

However, according to the FDA, Juul's data on potentially harmful chemicals in the cartridges was inadequate and included "inconsistencies. The FDA explained that it was unable to make a complete evaluation of the company's products because of this.

Does Juul refuse to accept the ban?

Juul says it "respectfully disagrees" with the FDA's announcement. The company's CEO, Joe Murillo, told that the data Juul provided to the FDA met the criteria necessary to show that it is "appropriate for the maintenance of public health. In addition to seeking a stay of the ban order, the company said it will explore "all options" allowed under the law.

Juul CEO Joe Murillo and co-founder

The Wall Street Journal, which first reported on the FDA's decision and the possibility of a sales ban, reported that Juul could appeal the ban, contest it in court, or submit redacted data on its products.

In response to criticism that its products had triggered a surge in underage smoking, Juul had taken measures to restore its public image, including suspending sales of some of its flavors and refraining from marketing its products.

On the other hand, some products of other companies in the industry have so far not received the results of the FDA's assessment, and those products have been allowed to continue to be sold for the time being.

Stock Valuation Crash

When Juul raised its last round of financing in 2018, its valuation was estimated at $38 billion. But Altria, the U.S. tobacco giant that owns 35% of the company's shares, reduced its estimated value to slightly more than $4.5 billion in 2020.

The FDA's response to the vaping epidemic among young people and multiple lawsuits filed by Juul regarding its marketing strategy are believed to be the main factors.

Juul ads

The American Heart Association, the American Lung Association, and other medical organizations that have condemned Juul have criticized the company for marketing tactics aimed at young people, including suggesting that e-cigarettes are less harmful than traditional cigarettes.

Public comments

In this regard, some people commented: "Have we proven that ordinary cigarettes are 'adequate in maintaining public health'?" ; "the harm of e-cigarettes should attract public attention."  What's your thoughts? Share with us in the comment section.

 

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WARNING

This product can expose you to chemicals including nicotine, which is known to the State of California to cause cancer and reproductive harm or more information, go to p65warnings.ca.gov. This product is not intended for sale or use to those under 21 years of age. This Product contains nicotine. Nicotine is an addictive chemical.