US Study Finds E-Cigarette Taxes May Boost Traditional Cigarette Sales

On February 17, according to Vapingpost, as the coronavirus outbreak continues to paralyze China’s economy, e-cigarettes in the United States and around the world are facing the threat of shortages. At the same time, a new study based on U.S. sales data shows that high taxes on vapor products are pushing former smokers back to harmful tobacco, just as harm reduction advocates have warned for years. However, that does not seem to matter to lawmakers, who continue to push for taxes and bans using increasingly dishonest methods.

Concerns rise over e-cigarette shortages as coronavirus hits Chinese factories

U.S. e-cigarette manufacturers and importers have warned that stores could face shortages lasting for months because of the coronavirus outbreak. Although the disease has now been detected in multiple countries, it first emerged in China, and the vast majority of cases remained there at the time. Unfortunately, most e-cigarette hardware also comes from China—where the outbreak, combined with government efforts to control its spread, led to a collapse in manufacturing and exports.

Starting in late January, the Chinese authorities locked down dozens of cities, forcing factories to shut down for two weeks. These restrictions are now easing, but local authorities in many areas are still enforcing their own lockdown measures. At least one business owner was arrested for trying to reopen a factory, and many businesses remain closed. Because travel restrictions have disrupted transportation, even companies that have resumed operations often struggle to get their goods to distributors.

Scott Alwine, manager of wholesaler VapeBeast, said importers expect shortages of coils and other hardware to begin in late February as existing inventory runs short, and the situation could last through March and possibly into April.

Major study finds e-cigarette taxes may boost cigarette sales

A study funded by the U.S. National Institutes of Health delivered very bad news for politicians calling for higher taxes on vapor products: they are increasing cigarette sales.

The new study was conducted by researchers from six U.S. universities under NIH guidance. Its main focus was sales data from about 35,000 stores across the United States, examining sales of vapor products and conventional cigarettes and mapping them against tax changes.

The results showed that for every 10% increase in the retail price of e-cigarettes, including any taxes, sales fell by 26%. This is the stated goal of most e-cigarette taxes, which are usually promoted as a way to discourage people from using e-cigarettes. However, the data also showed that while e-cigarette sales declined, cigarette sales rose by 11%. In other words, higher taxes pushed smokers back toward smoking.

Georgia State University economist Michael Pesko said: “We estimate that for every e-cigarette pod no longer purchased because of e-cigarette taxes, an additional 6.2 packs of cigarettes will be purchased. In this case, the public health effect of e-cigarette taxes may be negative.”

Nine-year-old child “proves” she can buy e-cigarettes online

A 9-year-old child from Colorado made a sensational claim to state lawmakers, telling them that it was easy to buy vapor products online despite being underage. Fourth-grader Audrey Rosen demonstrated how to buy nicotine pods from an online retailer. Of course, this required her to lie about her age, and her parents provided their 9-year-old daughter with credit card information.

State lawmakers claimed that more restrictions were needed to close the “loophole” that allows children to buy vapor products online. They want to penalize retailers even when teenagers falsely claim they are old enough to make a purchase, effectively shifting responsibility onto businesses that are victims of underage deception. In reality, there is no loophole. Federal law already prohibits the sale of these products to anyone under 18. Rosen—and anyone using her as a figurehead—did not demonstrate a loophole that needed closing. She deliberately deceived a business and then demanded that it be punished for her own dishonesty.

Kansas pushes for ban

Democratic lawmakers in Kansas have introduced a new bill that would ban nearly all e-cigarette flavors. Advocacy groups including the American Cancer Society, the American Heart Association, and the American Lung Association are pushing hard for a crackdown, frustrated that the recent federal flavor ban applies only to pod-based systems.

Under the new law, all flavors except menthol would be banned, and pressure groups also want menthol prohibited. However, Republican Representative John Barker responded to the prohibitionists’ demands by telling them: “If you get 95% of what you want here, you need to call that a victory.”#p#分页标题#e#

In addition to banning flavors, the bill would also raise the legal age for purchasing tobacco and vapor products to 21, ban vending machine sales, and impose higher fees on retailers.