PMI Faces The Possibility of Having IQOS Imports Blocked

In May 2020, BAT submitted a lawsuit against its main competitor, PMI, in the United States and Germany, alleging that the tobacco heating technology used in PMI’s HnB device, IQOS, has infringed its patents.

BAT had explained that in the US, it had filed two patent infringement claims, one via the US International Trade Commission (ITC) and one in the Virginia federal court. The tobacco company claimed it sought compensation for the damages caused and an injunction on importing the product.

Both the lawsuits in Germany and the US, are based on the accusation that the heating blade technology used in IQOS, is an earlier version of the technology currently being used in BAT’s Glo tobacco heating devices. BAT had planned to launch its Glo range in Germany this year, and PMI started selling IQOS in the US in 2019, with the latter being the only HnB device approved for sale in the country.

“If we win we may be able to get an ITC exclusion order blocking the importation of IQOS into the U.S. by Philip Morris unless they agree to take a license to our patents,” said BAT spokesman Will Hill.

“We have seen media reports that BAT has filed legal actions but have not had the opportunity to evaluate its allegations. We can say, however, that we will vigorously defend ourselves,” responded Philip Morris. The six-day trial at the ITC in Washington, DC, began earlier this month and and an article on The Edge Markets, disclosed that a judge is expected to release the findings in May.