San Francisco officials voted to approve an ordinance banning the sale of JUUL and more e-cigarette nicotine devices
The City by the Bay becomes the first city in the U.S. to make this move — and interestingly enough, JUUL is a tech conglomerate based out of San Francisco.
The ordinance makes it illegal to sell nicotine vaporizers and products in stores, and includes online retailers shipping to San Francisco addresses.
San Francisco mayor London Breed has until Friday, July 5 to review the legislature. If she signs, the ban of e-cigarettes and nicotine vaporizers will go into effect approximately seven months later. Residents over the age of 21 years will still be able to purchase cigarettes and tobacco products, along with recreational marijuana.
JUUL Represents 70% of the U.S Vaping Market
As stated Wednesday in Bloomberg, “The legislation in San Francisco is aimed at all e-cigarette companies, but it has to feel personal for JUUL. The San Francisco-based startup is the biggest target for vaping critics, who say it’s hooking kids on nicotine and creating a new generation of addicts.”
Due to the popularity of e-cigarettes and nicotine vaporizer devices, cigarette sales have seen a huge decline in the United States.
Tobacco companies have looked toward other revenue streams for growth. Last year, Altria Group Inc (which sells Marlboro cigarettes in the U.S.) purchased a 35% stake in JUUL Labs Inc., valuing JUUL at approximately $38 billion.
Last month, JUUL revenue rose $528 million in the first quarter, when international sales took off due to an Indonesian retail chain making a commitment to begin carrying JUUL products.
What’s Ahead?
The goal of San Francisco’s e-cig ban: to “curb the epidemic of youth vaping,” according to a statement from the city attorney’s office.
Will it make San Francisco healthier?
Nobody knows how the new policy will play out, but researchers will be watching. If it works, the vaping market could be up in smoke.
