British American Tobacco heats up on US regulatory update

The price of shares in British American Tobacco (LON:BATS) climbed 2.43% to 3,344.50p (as of 13:15 GMT) as markets reacted to FDA guidance on vaping. The company said it had submitted its first applications for vapour products and was confident that its range would meet standards for public health.

CEO Jack Bowles commented: “Yesterday’s announcement takes us a step closer to a predictable regulatory environment in a key marketplace, but focus must now shift to enforcement to ensure vapour market regulations are effective.

“We have long said it is not the marketing of these products per se that is the concern, it is the irresponsible marketing of them that should be robustly addressed. For us, smart regulatory frameworks partnered with responsible marketing and appropriate enforcement will ensure the sustainability of adult consumer choice across all categories“.