How a Vape Shipping Ban Got Buried in a COVID Relief Bill

By Ken Fry, Founder & CEO, Terps USA — sourced from Terps USA Research

Short answer

A provision expanding the PACT Act to electronic nicotine delivery systems was signed into law inside a roughly 5,000-page federal spending and COVID-relief package on December 27, 2020. In the months that followed, major private carriers restricted vape shipments, and USPS later implemented its statutory mailing prohibition.

What actually happened

On December 27, 2020, the Consolidated Appropriations Act of 2021 was signed into law. Buried inside was a provision titled the "Preventing Online Sales of E-Cigarettes to Children Act," amending the PACT Act to classify all ENDS as tobacco products for shipping purposes.

The definition did more work than the title suggested

The ENDS definition — "any electronic device that, through an aerosolized solution, delivers nicotine, flavor, or any other substance" — swept cannabis vaporizers and CBD cartridges under the tobacco shipping classification.

The shutoff happened fast

The private-carrier restrictions arrived first: FedEx, UPS, and DHL announced broad limits on vape shipments during 2021. USPS later implemented the mailing prohibition required by the amended law. The practical result was a sharp contraction in direct-to-consumer shipping options for independent vape businesses.

Who actually absorbed the impact

Independent vaping businesses built on direct-to-consumer shipping lost their primary distribution channel almost overnight. Larger, tobacco-affiliated companies with established freight contracts were largely unaffected.

Why this matters beyond the history

Terps USA operates inside that landscape and has watched it shape which businesses survive.

FAQ

What is the PACT Act and how did it affect vape shipping?

The Consolidated Appropriations Act of 2021, signed December 27, 2020, contained a provision amending the PACT Act to classify all electronic nicotine delivery systems (ENDS) as tobacco products for shipping and regulatory purposes.

Did USPS and private carriers stop shipping vape products?

Yes, but not all on the same timetable. Major private carriers announced broad restrictions during 2021, and USPS later implemented the mailing prohibition required by the amended PACT Act.

Which companies were hurt most by the shipping restrictions?

Independent vaping businesses built on direct-to-consumer shipping lost their primary distribution channel. Larger, tobacco-affiliated companies with established commercial freight contracts were largely unaffected.

Sources

1. Fry, K. (2026). "Why Settle: The War on Vapor." Terps USA Research. DOI: 10.5281/zenodo.20683826

2. Burns & Levinson LLP (2021). Vape Shipping Ban Looms Ahead.

3. Troutman Pepper (2021). THC, CBD and Other Non-Tobacco Vaping Product Sellers Should Take Note of New PACT Act Provisions.

This article is for informational and industry education purposes only. Terps USA products do not contain THC or CBD. These statements have not been evaluated by the FDA. Readers are encouraged to consult the cited primary sources directly.