Juul to pay $440m after years-long investigation into teen vaping

The electronic cigarette maker Juul Labs will pay nearly $440m to settle a two-year investigation by 33 states into the marketing of its high-nicotine vaping products, which have long been blamed for sparking a national surge in teen vaping.

The state investigation found that Juul marketed its e-cigarettes to underage teens with launch parties, product giveaways and ads and social media posts using youthful models, according to a statement.

But since 2019, Juul has mostly been in retreat, dropping all US advertising and pulling its fruit and candy flavors from store shelves.

The FDA review is part of a sweeping effort by regulators to bring scrutiny to the multibillion-dollar vaping industry after years of regulatory delays. The agency has authorized a handful of e-cigarettes for adult smokers looking for a less harmful alternative.

The deal also includes restrictions on where Juul products may be placed in stores, age verification on all sales and limits to online and retail sales.

Juul initially sold its high-nicotine pods in flavors like mango, mint and creme. The products became a scourge in US high schools, with students vaping in bathrooms and hallways between classes.

But recent federal survey data shows that teens have been shifting away from the company. Most teens now prefer disposable e-cigarettes, some of which continue to be sold in sweet, fruity flavors.

Overall, the survey showed a drop of nearly 40% in the teen vaping rate as many kids were forced to learn from home during the pandemic. Still, federal officials cautioned about interpreting the results given they were collected online for the first time, instead of in classrooms.