Tobacco Asia

28 tobaccoasia PRODUCT NEWS 产品新闻 Myblu Exits US Market Imperial Brands is pulling its myblu vaping business out of the US, marking a major shift in the company's strategy as it redirects investment toward oral nicotine products in its largest market. The UK-based tobacco company said it decided to phase out its legacy myblu business because of the lengthy regulatory process for approving new vaping products in the US. The company stated that its current myblu product lineup dates back to 2017 and now contributes only a small and declining share of revenue while remaining loss-making. Instead, Imperial plans to concentrate on its modern oral nicotine portfolio, particularly its Zone nicotine pouch brand. The company expanded Zone's distribution and introduced new flavors during the first half of its fiscal year, helping the brand strengthen its position in the growing oral nicotine category. The move came as Imperial reported mixed results for the six months ended March 31. Group revenue increased to £14.72 billion (US$20.04 billion), up from £14.60 billion (US$19.88 billion) a year earlier. Revenue from next generation products (NGP), including vaping, heated tobacco, and oral nicotine products, rose 7.5%, supported by double-digit growth in several international markets. However, performance in the Americas weakened sharply. Revenue from NGPs in the region fell by about half to £12 million (US$16.3 million), reflecting continued pressure on Imperial's US vaping business. Imperial said heated tobacco products and oral nicotine products continued to gain momentum outside the US. The company reported market-share growth across all three NGP categories and maintained its full-year guidance for double- digit growth in NGP revenue. Despite the strategic shift, Impe- rial emphasized that next generation products remain a key part of its long-term plans. The company expects growth in oral nicotine and heated tobacco products to offset the withdrawal of myblu from the US market. US: Zyn Faces Pressure from Moist Pouches Philip Morris International's dominant position in the US nicotine pouch market faces increasing pressure as competing moist-pouch products gain traction with consumers while the company awaits regulatory approval for its own alternative, reports Bloomberg. Nicotine pouches have become one of the fastest-grow- ing segments of the US tobacco industry. Consumers pur- chased about US$6.6 billion worth of nicotine pouches during the 12 months through early March, a 20% increase from the previous year, according to NIQ data. Meanwhile, the broader tobacco market, valued at approximately US$74 billion, continues to shrink. Zyn, the category leader, plays a central role in Philip Morris's smoke-free business strategy. The company acquired Swedish Match, Zyn's parent company, for US$16 billion in 2022 to accelerate its transition away from cigarettes. Smoke- free products now generate about US$17 billion in annual revenue, accounting for roughly 40% of Philip Morris's total sales. The company's stock has climbed nearly 90% over the past two years as investors embraced that strategy. However, rival products have begun to challenge Zyn's market leadership. Moist nicotine pouches, including British American Tobacco's Velo Plus, offer a different user experience than traditional dry pouches. Some consumers prefer moist products because they reduce dry-mouth sensations while delivering nicotine and flavor more quickly. Velo Plus entered the US market in 2024 and has since captured about 10% of the smokeless category, according to Circana data analyzed by Bloomberg Intelligence. The product already holds leading positions in several international markets. At the same time, Zyn has lost market share in recent months, although it still controls roughly one-third of the U.S. nicotine pouch market. Philip Morris does not disclose brand-level sales figures, but the company reported that retail purchases of Zyn increased 10% during the first quarter. Philip Morris has sought approval since 2021 for Zyn Ultra, a moist nicotine pouch designed to compete more directly with products such as Velo Plus. The application remains under review at the US Food and Drug Administra- tion, where a backlog that once reached 26 million nicotine- product applications has slowed reviews for years. Japan Reexamines Heated Tobacco Risks A Japanese health ministry review has renewed scrutiny of heated tobacco products (HTP), concluding that some devices may emit higher levels of certain carcinogens than combustible cigarettes. The findings have added new complexity to Japan's role as one of the world's largest and most influential heated tobacco markets. The review, published by a panel under Japan's Health, Labor, and Welfare Ministry, examined global scientific literature on the health risks of HTP published between 2010 and 2025, excluding studies the panel considered tobacco industry-funded. According to the panel, several studies found higher concentrations of certain carcinogenic compounds in heated tobacco aerosols than in cigarette smoke. It also found that HTP contained harmful substances including furfural and mercury, which may pose serious health risks or contribute to genetic disorders. It found no direct evidence that secondhand exposure to HTP poses health risks, though the panel stressed that this does not establish the products as safe. The summary report concluded that HTP use shows a strong association with cardiovascular disease and nicotine dependence, while evidence linking the products to asthma, chronic lung disease, cancer or pregnancy complications remains limited or inconclusive. Public health experts involved in the review said the relatively short time HTP have been on the market — about a decade — limits available data on their long-term health effects and challenges the perception that the products are safer than conventional cigarettes. The findings arrive as Japan continues to serve as a key market for heated tobacco innovation and adoption. Products such as IQOS, Ploom and glo have transformed the country's nicotine market since their introduction over a decade ago. Industry data and independent studies show HTP use expand- ed rapidly between 2015 and 2020, particularly among younger adult smokers. Several recent studies have linked the rise of HTP to falling cigarette sales in Japan. A 2025 scoping review

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