Americans purchased more cigarettes last year, the first uptick in two decades, according to a new report released by the Federal Trade Commission.
The number of cigarettes purchased by wholesalers and retailers rose slightly, 0.4%, to 203.7 billion from 202.9 billion in 2019.
The FTC’s Cigarette Report didn’t offer reasons for the increase in sales among the major tobacco companies, Altria Group Inc., MO -1.27% ITG Brands LLC, Reynolds American Inc. and Vector Group Ltd. VGR -1.66%
The FTC didn’t respond to requests for comment.
Altria Group, maker of Marlboro cigarettes, previously pointed to the pandemic as a reason people are lighting up more. Chief Executive Billy Gifford said Americans spent less money on travel, gas and entertainment last year and that fewer social engagements led to more “tobacco-use occasions.”
Tobacco companies spent more on marketing last year, $7.84 billion, compared with $7.62 billion in 2019. However, price discounts accounted for 88.5% of industry spending, according to the report.
People who once vaped may also have returned to regular cigarettes because of health concerns over vaping prompted by a mysterious lung illness in 2019 that was ultimately linked to vitamin E oil in marijuana vaping products. Bans on flavored vaping and increased e-cigarette taxes may have also contributed to the increase, consumers and industry officials said.
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