Philip Morris Electronic Cigarette IQOS, Import and Sales Ban Decision in the United States

[Asia Economy Reporter Hyunwoo Lee] The U.S. International Trade Commission (ITC) has decided to ban the import and sale of the heated tobacco IQOS device, an electronic cigarette, by Philip Morris International and its parent company Altria within the United States.

According to CNBC on the 30th (local time), the ITC announced the ban on the import and sale of IQOS devices in the U.S., ruling that Philip Morris and Altria infringed on two patents in a patent dispute filed by Reynolds America, a subsidiary of British American Tobacco (BAT). This decision is expected to take effect two months after being signed by U.S. President Joe Biden.

Reynolds America spokesperson Kellen Hollen stated, "Intellectual property infringement undermines our company's investment and innovation capabilities and diminishes the influence of our business," and welcomed the decision, saying, "We will strongly defend our intellectual property rights worldwide." BAT, the parent company of Reynolds America, also said, "We have filed similar lawsuits against Philip Morris in some other countries." According to CNBC, courts in the United Kingdom and Greece had previously ruled in favor of Philip Morris.

If this decision is finalized, Philip Morris and Altria will be prohibited from importing new IQOS devices into the U.S., and products already imported will not be allowed to be sold. IQOS is currently sold in U.S. states including Georgia, North Carolina, South Carolina, and Virginia. Philip Morris has expressed its intention to appeal the decision.