Tobacco pouch maker Zyn hit with $1.2M fine for violating DC laws
Zyn smokeless nicotine pouches at the Swedish Match AB concept store in central Stockholm, Sweden, on Monday, Oct. 31, 2022. Philip Morris International Inc. is proceeding with the $16 billion takeover of nicotine pouch maker Swedish Match after secu
What we know
WASHINGTON - The manufacturer of Zyn nicotine pouches will pay $1.2 million to settle allegations that it violated D.C.'s 2022 ban on flavored tobacco and nicotine products, Attorney General Brian Schwalb announced Friday.
The settlement follows an investigation by the Office of the Attorney General (OAG) that revealed tens of thousands of flavored products were sold in the District through the company's website.
Swedish Match North America LLC (SMNA), a subsidiary of Philip Morris International, has also agreed to implement measures to ensure compliance with the ban, including monitoring its distributors and notifying them annually of the legal restrictions.
"Flavored tobacco products like Zyn pouches are banned in the District precisely because they are dangerous, addictive, and threaten to reverse the enormous progress we’ve made in reducing tobacco use amongst young people," said Schwalb in a press release. "Manufacturers, distributors, and retailers should be on notice that my office is aggressively enforcing this ban and will always step in to safeguard our children’s health and safety."
Zyn smokeless nicotine pouch containers for sale at a convenience store in New York, US, on Saturday, Jan. 27, 2024. Senator Chuck Schumer last week called for scrutiny of Philip Morris International's Zyn nicotine pouches as sales of Zyn pouches in
What are Zyn nicotine pouches?
Zyn nicotine pouches, marketed in flavors such as mint, citrus, and coffee, are placed in the mouth to deliver nicotine orally. These products are packaged in colorful tins and have seen dramatic sales growth in the U.S., despite well-documented health risks, including addiction and cardiovascular issues. According to 2024 data from the CDC, 3.5% of U.S. middle and high school students—about 890,000 kids—reported using nicotine pouches.
The OAG investigation revealed that between October 1, 2022, and June 30, 2024, SMNA facilitated the sale of flavored Zyn products to District consumers through its website, shop.zyn.com, in violation of the flavor ban and the District’s Consumer Protection Procedures Act (CPPA).
After the OAG issued an investigative subpoena, SMNA stopped selling flavored products in the District and halted all sales from its website.
Settlement details
The company cooperated with the investigation and has now agreed to the following measures as part of the settlement:
- Payment of $1.2 million to the District.
- Monitoring of distributors to ensure compliance with the flavor ban, with quarterly checks and steps to end violations. Persistent violators could face termination of their distribution agreements.
- Annual compliance reminders to D.C. distributors and retailers regarding the flavor ban and applicable laws.
- Prohibition of future sales of flavored tobacco products in D.C. through shop.zyn.com or any related e-commerce platforms.
The Source: This report contains information from D.C.'s Office of the Attorney General.