USPS blocks shipping of illicit vapes in boost for Big Tobacco

The US Postal Service has cracked down on distributors of unregulated vapes using its services for business shipments, letters reviewed by Reuters show, in a blow to a multi-billion dollar industry that has dented Big Tobacco's sales.

- EMMA RUMNEY

The letters, previously unreported, show that USPS wrote to major New York-based distributor Demand Vape, blocking it from using its services after New York City’s Law Department, which represents the city’s government and officials in legal matters, provided evidence that its shipments broke laws.

USPS’ action stands to benefit tobacco giants, including Altria and British American Tobacco (Bat), which have for years battled against unregulated vapes, mostly from China.

Unregulated vapes lack the authorisation from the US Food and Drug Administration that is required for them to be legally sold in the United States, the world’s largest market for smoking alternatives.

USPS revoked Demand Vape’s mailing exception last month after it received evidence the company shipped vapes lacking FDA authorisation and that violated a local flavour ban, a letter from USPS to the company, dated July 15, showed.