British American Tobacco (BAT) plans to launch a new version of its Velo nicotine pouches in the United States that uses synthetic nicotine.BAT's U.S. subsidiary Reynolds American President David Waterfield announced this development during a capital markets event on Wednesday.The new product, Velo Plus, will debut in 2025 and offer a wider range of nicotine strengths. .Fewer U.S. teens vaping, few use nicotine pouches.This move marks one of the first clear instances of a major tobacco company utilizing synthetic nicotine in its products."Nicotine derived from tobacco and synthetic nicotine, from a chemical point of view, they are the same," said Waterfield.He also stated that BAT would explore additional opportunities for synthetic nicotine in the future..Illegal nicotine pouches thrive in Minister Holland’s backyard.While big tobacco companies typically use naturally occurring nicotine derived from tobacco plants in their smoking alternatives like vapes, synthetic nicotine is laboratory-produced from chemicals. Smaller manufacturers of vapes and nicotine pouches have primarily used synthetic nicotine in recent years as a means to get around the lengthy application process required by the U.S. Food and Drug Administration (FDA) for new nicotine products..U.S. lawmakers call out FDA for slow ‘smoke-free’ product review amid growing illegal market.Initially, the FDA only held authority over naturally occurring nicotine, allowing synthetic nicotine products to bypass the application process. However, this loophole closed in April 2022 when the law changed.Waterfield revealed that BAT acquired Velo Plus from another company. The previous owner submitted an FDA application for the product before the May 2022 deadline, allowing it to remain on the market while the application is pending..Health Minister provides no evidence to support nicotine pouch restrictions.BAT projects significant growth in the U.S. nicotine market. Waterfield stated that the company expects industry-wide vape revenues to increase from around $11.7 billion USD today to up to $18.3 billion USD by 2030. Similarly, BAT anticipates U.S. nicotine pouch industry revenues to surge from $2.2 billion USD to $9.1 billion USD over the same period.As BAT prepares to enter the synthetic nicotine market with Velo Plus, the move highlights the changing landscape of nicotine products and the tobacco industry's ongoing shift towards alternatives to traditional cigarettes.
British American Tobacco (BAT) plans to launch a new version of its Velo nicotine pouches in the United States that uses synthetic nicotine.BAT's U.S. subsidiary Reynolds American President David Waterfield announced this development during a capital markets event on Wednesday.The new product, Velo Plus, will debut in 2025 and offer a wider range of nicotine strengths. .Fewer U.S. teens vaping, few use nicotine pouches.This move marks one of the first clear instances of a major tobacco company utilizing synthetic nicotine in its products."Nicotine derived from tobacco and synthetic nicotine, from a chemical point of view, they are the same," said Waterfield.He also stated that BAT would explore additional opportunities for synthetic nicotine in the future..Illegal nicotine pouches thrive in Minister Holland’s backyard.While big tobacco companies typically use naturally occurring nicotine derived from tobacco plants in their smoking alternatives like vapes, synthetic nicotine is laboratory-produced from chemicals. Smaller manufacturers of vapes and nicotine pouches have primarily used synthetic nicotine in recent years as a means to get around the lengthy application process required by the U.S. Food and Drug Administration (FDA) for new nicotine products..U.S. lawmakers call out FDA for slow ‘smoke-free’ product review amid growing illegal market.Initially, the FDA only held authority over naturally occurring nicotine, allowing synthetic nicotine products to bypass the application process. However, this loophole closed in April 2022 when the law changed.Waterfield revealed that BAT acquired Velo Plus from another company. The previous owner submitted an FDA application for the product before the May 2022 deadline, allowing it to remain on the market while the application is pending..Health Minister provides no evidence to support nicotine pouch restrictions.BAT projects significant growth in the U.S. nicotine market. Waterfield stated that the company expects industry-wide vape revenues to increase from around $11.7 billion USD today to up to $18.3 billion USD by 2030. Similarly, BAT anticipates U.S. nicotine pouch industry revenues to surge from $2.2 billion USD to $9.1 billion USD over the same period.As BAT prepares to enter the synthetic nicotine market with Velo Plus, the move highlights the changing landscape of nicotine products and the tobacco industry's ongoing shift towards alternatives to traditional cigarettes.
