Philip Morris International and Swedish Match Win Collective Lawsuit Over Zyn Nicotine Pouches

Sep.25.2025
Philip Morris International and Swedish Match Win Collective Lawsuit Over Zyn Nicotine Pouches
In a recent victory, Philip Morris International and Swedish Match won a lawsuit concerning their product Zyn's pricing.

Key points:

 

·Case Outcome: Philip Morris International (PMI) and its subsidiary Swedish Match have won a collective lawsuit that accused their smokeless tobacco nicotine pouch "Zyn" of overcharging consumers. 

·Initiation and Claims of the Lawsuit: The lawsuit was filed in 2024, seeking class action status and damages exceeding $5 million, while also requesting the court to declare the 2022 acquisition of Swedish Match by Philip Morris International (PMI) as illegal. 

·Basis of Allegations: The plaintiffs claim that after Philip Morris International (PMI) acquired Swedish Match for $16 billion, they suppressed competition in the market for "modern oral nicotine" pouches, allowing the merged company to raise prices on Zyn, in violation of antitrust laws. 

·Judge's Ruling: The judge ruled that the plaintiffs did not provide specific factual evidence of "price changes" or "reduced innovation," and since Swedish Match's market share did not change after the acquisition, they could not prove that the transaction harmed market competition. 

·Subsequent Reactions: Philip Morris International (PMI) and Swedish Match welcomed the dismissal of the lawsuit in a statement, saying they are "pleased that this matter has been resolved" and denying any wrongdoing. 

·Product and Industry Background: Zyn is the only nicotine pouch product approved by the FDA in the US, sold in small can packaging. Currently, the US is increasing scrutiny on nicotine pouch manufacturers, leading companies to promote traditional tobacco alternatives.

 


 

In a recent report by Reuters on September 25, 2025, Philip Morris International (PMI) and its subsidiary Swedish Match have won a collective lawsuit accusing their smokeless tobacco nicotine pouch "Zyn" of overcharging consumers.

 

David Novak, a federal judge in Richmond, Virginia, stated that the plaintiff failed to provide sufficient evidence to prove that the $16 billion acquisition of Swedish Match by Philip Morris International (PMI) harmed competition in the market for "modern oral nicotine pouches.

 

The lawsuit filed in 2024 alleges that Philip Morris International (PMI) suppressed market competition after acquiring Swedish Match in 2022, allowing the merged company to raise prices, in violation of antitrust laws.

 

Philip Morris International (PMI) and Swedish Match welcomed the dismissal of the lawsuit in a statement, stating that they are "pleased that the matter has been resolved.

 

The plaintiff's lawyer has not responded immediately to a request for comment. Meanwhile, the defendant has previously denied any inappropriate behavior.

 

Currently, the United States is increasing scrutiny on nicotine pouch manufacturers, leading companies to introduce alternative products to traditional tobacco. This ruling was made in this context. Among them, Zyn is the only nicotine pouch product approved by the FDA in the United States.

 

Zyn is sold in small cans and comes in a variety of flavors and nicotine strengths.

 

In this case, consumers are seeking class action status and claiming damages exceeding $5 million, while also requesting the court to declare the merger transaction in question illegal.

 

In their response to the lawsuit dismissal, the defendant company stated that the lawsuit "only contains conclusory allegations and popular anti-trust terminology, with no factual basis to reasonably suggest that the disputed transaction harmed market competition.

 

The judge in Norwalk highlighted in the ruling that the plaintiff "did not provide any specific factual basis regarding price changes or reduction in innovation." He also stated that after the acquisition of Swedish Match by Philip Morris International (PMI), the market share of Swedish Match did not change.

 

The judge ultimately issued a ruling rejecting the request for a "prohibition of re-prosecution," meaning that the plaintiff is not allowed to file a lawsuit again on the same grounds.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

China Tobacco Yunnan files patent for cellulose-free nicotine pouch scaffold to replace microcrystalline cellulose
China Tobacco Yunnan files patent for cellulose-free nicotine pouch scaffold to replace microcrystalline cellulose
China Tobacco Yunnan Industrial Co., Ltd. has filed a patent application for a cellulose-free scaffold material for nicotine pouches, proposing a combination of bioceramic material, polydextrose and sugar alcohols to replace conventional microcrystalline cellulose and cellulose derivatives. The filing aims to address issues including powdery mouthfeel, residue and limited release control, while also reducing reliance on existing cellulose-based patent portfolios. In patent examples, one fast-release formulation reached a nicotine release rate of 50% at 10 minutes and more than 90% at 20 minutes.
Sep.02
Huabao International Buys Indonesian HNB Manufacturer for RMB 90 Million, Adding OEM/ODM Capacity
Huabao International Buys Indonesian HNB Manufacturer for RMB 90 Million, Adding OEM/ODM Capacity
Huabao International Holdings Limited will acquire 100% of PT Broad Far Indonesia through two wholly owned subsidiaries for approximately RMB 90 million. The Indonesian company manufactures and sells heat-not-burn tobacco sticks and provides OEM/ODM services. The sellers are part of a related-party group controlled by Huabao International Chair and controlling shareholder Zhu Linyao. PT Broad Far Indonesia generated $4.37 million in revenue and $177,000 in profit after tax in the first half of 2026, while net assets stood at about $326,000 at June-end. An independent valuer assessed the company’s equity at approximately RMB 93.06 million. Following completion, the HNB manufacturing operation will be consolidated into Huabao International.
News
Sep.29 by 2Firsts Perspectives
On-Site Report | After FDA Announces Review of PMTA Framework, CTP Director Details Reform Priorities
On-Site Report | After FDA Announces Review of PMTA Framework, CTP Director Details Reform Priorities
FDA CTP Director Bret Koplow used his FDLI keynote in Washington to outline how the agency is rethinking the PMTA framework. He discussed category-specific review, nicotine pouch and sPMTA pilots, AI-assisted review, a 70% reduction in pending applications, and a major staffing constraint: CTP currently has only nine scientific review teams. He also reaffirmed tobacco harm reduction while stressing youth protection, flavored products, risk communication, and the challenge of unauthorized e-cigarettes.
Regulations
Oct.06
Product | KT&G to Launch lil Tonino Lamborghini in South Korea, Bringing 3-Second Heat-Up to New HTP Platform
Product | KT&G to Launch lil Tonino Lamborghini in South Korea, Bringing 3-Second Heat-Up to New HTP Platform
KT&G will launch the lil Tonino Lamborghini heated tobacco device in Seoul on September 15, 2026. The product introduces a new heating technology called Flashwave Heating, which uses microwaves to heat tobacco sticks internally and delivers a manufacturer-rated heat-up time of about three seconds. The device features an all-metal aluminum body, a color display and a dedicated GUI, and launches alongside a new line of NAU tobacco sticks that are incompatible with existing lil consumables. Korean media describe the product as KT&G's first new heated tobacco platform since lil AIBLE was introduced in 2022.
Aug.31
South Korea Extends Vape Rules to Unmanned Stores After Bringing Synthetic Nicotine Under Tobacco Law
South Korea Extends Vape Rules to Unmanned Stores After Bringing Synthetic Nicotine Under Tobacco Law
South Korea's Ministry of Gender Equality and Family said on September 14 that it plans to designate unmanned e-cigarette stores as businesses where minors are prohibited from entering or working. Operators would be required to verify customers' ages and display notices restricting access by minors. The proposal is open for public comment through October 6. The move follows an April expansion of South Korea's statutory tobacco definition that brought products made with natural or synthetic nicotine under the Tobacco Business Act. Nicotine-free liquids and products using nicotine analogues such as 6-methylnicotine, however, remain an emerging regulatory issue.
Sep.21
Product | PIXL Adds 6ml PIXL 5K in UK Alongside 12ml PIXL 8000 as Vape Duty Takes Effect
Product | PIXL Adds 6ml PIXL 5K in UK Alongside 12ml PIXL 8000 as Vape Duty Takes Effect
Vaping brand PIXL has introduced the PIXL 5K reusable prefilled pod device in the UK, featuring a 2ml prefilled pod and a 4ml refill container with a combined e-liquid capacity of 6ml. The device uses 20mg/ml nicotine salt e-liquid and is advertised to deliver up to approximately 5,000 puffs. Available through UK retailers by August 2026, the PIXL 5K sits alongside the existing 12ml PIXL 8000. The UK's Vaping Products Duty took effect on October 1 at £0.22 per millilitre, producing theoretical duty amounts of £1.32 and £2.64 for the two products' respective full refill sets.
product
Oct.10