Walmart to quit selling e-cigarettes amid vaping backlash

Walmart is getting out of vaping business.

nation’s largest retailer said on September 20 that it will stop selling electronic cigarettes at its namesake stores and Sam’s Clubs in U.S. when it sells out its current inventory.

nation’s largest retailer said move is due to “growing federal, state and local regulatory complexity” regarding vaping products. It also comes after several hundred people have mysteriously fallen ill after vaping, and eight have died.

Walmart’s decision is latest blow to vaping industry, which has tried to position its products as healthier alternatives to smoking cigarettes, which are responsible for 480,000 deaths a year, according to Centers for Disease Control and Prevention.

But industry has come under increased scrutiny after deaths and illnesses — along with a surge in under vaping.

President Donald Trump has proposed a federal ban on flavored e-cigarettes and vaping products. Michigan banned sale of flavored e-cigarettes this week. In June, San Francisco became first major U.S. city to ban sale of electronic cigarettes.

bulk of e-cigarettes are sold through vape shops, which number about 115,000 nationwide, with ditional outlets including drug stores, grocery stores and tobacco outlets, industry experts say.

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E-cigarettes represent a very small part of Walmart’s nicotine business, which also includes tritional cigarettes, smokeless tobacco and nicotine gum, so impact on retailer will be small.

But, it will be difficult for vaping companies to replace that access to shoppers given Walmart’s size, said Greg Portell, global le partner in consumer and retail practice of A.T. Kearney, a strategy and manment consulting firm. Walmart operates more than 5,000 stores under its namesake and Sam’s Club in U.S.

“Walmart’s size and scale makes ir decisions about what products to carry meaningful for impacted products,” Portell said. “Vaping companies will be especially challenged given lack of direct consumer access.”

Vapor Techlogy Association, a tre group, was quick to slam Walmart’s move against vaping products while keeping cigarettes on its shelves.

“ fact that Walmart is reducing access for ult smokers to regulated vapor products while continuing to sell combustible cigarettes is irresponsible,” Tony Abboud, executive director of association, said in a statement. “This will drive former ult smokers to purchase more cigarettes.”

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More than 500 people have been diagsed with breathing illnesses after using e-cigarettes and or vaping devices, according to U.S. health officials. An eighth death was reported this week. But health officials still have t identified cause.

In July, Walmart, which is based in Bentonville, Arkansas, raised minimum to purchase tobacco products, including all e-cigarettes, to 21. It also said n that it was in process of discontinuing sale of fruit- and dessert-flavored electronic nicotine delivery systems.

moves come as Walmart is trying to become a better corporate citizen. It has opted measures to become more environmentally friendly. It thrust itself in country’s gun control debate after a mass shooting at one of its stores killed 22 customers in August. Earlier this month it decided to discontinue sales of certain gun ammunition and requested customers longer openly carry firearms in its stores, even where state laws allow it.

“Increasingly, consumer companies are blurring line between business and social decisions,” Portell ded. “As risks associated with new categories like vaping become more well kwn, we would expect retailers to make decisions on what role y want to play in those risks.”

Target says it doesn’t sell electronic cigarettes. CVS Health got out of cigarette business five years ago and says it doesn’t sell any vaping devices.

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