E-cigarettes are big business. In 2017, American consumers bought more than $250 million in vapes and juice-filled pods, and spent $1 billion in 2018. By 2023, the global market could be worth $44 billion a year.
Investors are trying to capitalize on the phenomenal growth. In July 2018, Juul Labs, the company that owns 70 percent of the U.S. e-cigarette market share, raised $1.25 billion at a $16 billion valuation, then sold a 35 percent stake to Phillip Morris USA owner Altria Group in December. The second transaction valued the company at $38 billion. While the traditional tobacco market remains much larger, it’s projected to grow at less than two percent a year, making the attractiveness of the rapidly expanding e-cigarette market obvious.
While Juul and other e-cigarette manufacturers argue that their products help adults quit smoking – and there’s some research to back this narrative up – much of the growth has been driven by children and teenagers. One CDC study showed a 48 percent rise in e-cigarette use by middle schoolers and a 78 percent increase by high schoolers between 2017 and 2018, a jump from 1.5 million kids to 3.6 million. In response to the study, F.D.A. Commissioner Scott Gottlieb said, “We see clear signs that youth use of electronic cigarettes has reached an epidemic proportion.”
Another study found that teenagers between 15 and 17 were 16 times more likely to use Juul than people aged 25-34. In December, Surgeon General Jerome Adams said, “My nine-year-old actually knows what Juuling is. In many cases the [school] bathroom is now referred to as ‘the Juuling room.’”
And the product is seriously addictive. A single Juul pod contains as much nicotine as a pack of 20 regular cigarettes. Considering that 90 percent of smokers are addicted by 18 years old, it’s clear that steps need to be taken to combat the growing epidemic.
But who should take the lead? Juul and other e-cigarette companies? The F.D.A. and other government regulators? Schools? Parents?
The Surgeon General’s website has a list of earnest possible texts that parents can send to their teens to dissuade them from Juuling, like: “Hope none of your friends use e-cigarettes around you. Even breathing the cloud they exhale can expose you to nicotine and chemicals that can be dangerous to your health.” While parents can attempt to police their teens, many experts believe that the primary push should come at a federal level.
The regulation battle has already begun. In September, the F.D.A. announced that Juul had 60 days to show a plan that would prevent youth from getting their hands on the product. The result was for the company to announce that it wouldn’t sell flavored pods in retail stores except for tobacco, menthol, and mint; Juul also shuttered its Instagram and Facebook accounts. These regulations mirrored an F.D.A. mandate two days later that required flavored e-cigarettes to be sold in closed-off areas. “This policy will make sure the fruity flavors are no longer accessible to kids in retail sites, plan and simple,” Commissioner Gottlieb said when announcing the moves. “That’s where they’re getting access to the e-cigs and we intend to end those sales.”
While so far, Gottlieb – who drew concerns about conflict of interest due to his past position as a board member at e-cigarette company, Kure – has pleased anti-smoking advocates with his efforts, some observers also argue that it needs to go further. “Overall, we didn’t know what to expect when a new commissioner came in, but it’s been quite refreshing how much attention has been paid to the tobacco industry by the F.D.A.,” Robin Koval, CEO and president of Truth Initiative, said a day after the F.D.A. announced the proposed regulations. “It’s important to have a start. I certainly want to give credit for that. But we were really hoping and feel that what was announced…doesn’t go far enough.”
The issue is the industry’s inability or unwillingness to police itself in the past. Juul, however, claims that it’s now proactively working to prevent young people from taking up its product. “Juul Labs and F.D.A. share a common goal – preventing youth from initiating on nicotine,” a company representative said in an email. “To paraphrase Commissioner Gottlieb, we want to be the off-ramp for adult smokers to switch from cigarettes, not an on-ramp for America’s youth to initiate on nicotine. We won’t be successful in our mission to serve adult smokers if we don’t narrow the on-ramp… Our intent was never to have youth use Juul products. But intent is not enough, the numbers are what matter, and the numbers tell us underage use of e-cigarette products is a problem. We must solve it.”
Juul argues that its products help adults quit – even offering a calculator on the website showing how much people will save – and that it didn’t target youth. But studies show otherwise. Furthermore, the youth smoking prevention curriculum the company released was poorly received. “It’s what Philip Morris did years ago,” said Bonnie Halpern-Felsher, a professor of pediatrics at Stanford who helped author a study on the program’s faults. “They aren’t talking about their named product. They are talking about vapes or e-cigarettes. Youth don’t consider Juuls to be vapes or e-cigarettes. [Teens] don’t talk about flavors. They don’t talk about marketing. They did it to look good. But if you look at what [Juul] put together, it’s a pretty awful curriculum that was put together pretty quickly.”
Add this all up, and in the end, it’s hard to see the industry being able to police itself, critics say. Neither the past examples of other tobacco companies nor the present self-imposed regulations indicate that this will succeed.
“There isn’t a great history of the tobacco industry acting responsibly and being able to in any way police itself,” Koval said. “That job is best left to the F.D.A., and to the states and localities in what they can regulate and legislate to protect young people.”
Halpern-Felsher agreed. “I think we need independent bodies. I really don’t think that a voluntary ban or a regulation on the part of the industry is a good idea, nor do I think it will work,” she said. “It’s pretty much the same story, of repeating itself.”
Just last week, the American Association of Pediatrics issued a new policy statement calling for the F.D.A. to immediately ban the sale of e-cigarettes to anyone under age 21 and to prohibit the online sale of vaping products and solutions, among other measures. And in its annual report, the American Lung Association gave the F.D.A. an “F” for failing to take mint and menthol e-cigs off the market, since those flavors remain popular with teens.
Few, if any people involved, want more regulation from the federal government. In an ideal world, this wouldn’t be necessary. But many experts agree that it is. Anything else is just blowing smoke.