Supreme Court to Review FDA Ban on Flavored E-Cigarettes

CANNABIS

Judge Dismisses Complaint Over Federal Marijuana Law

A federal judge has dismissed a lawsuit filed by four Massachusetts cannabis businesses that argued the federal marijuana ban is unconstitutional, ruling that only the Supreme Court can overturn its previous decision on the issue. The powerful law firm Boies Schiller Flexner had argued that the marijuana regulatory landscape has changed so much in the past two decades that businesses in states that have legalized the plant — like Massachusetts — should no longer be subject to the Controlled Substances Act, under which pot is federally illegal. That would have freed cannabis entrepreneurs from restrictions that prevent them from obtaining financing, taking out loans, paying exorbitant taxes or even financing their own homes, as the plaintiffs previously told the Globe. But in a memorandum, U.S. District Judge Mark Mastroianni said the relief sought by the businesses “is inconsistent with the Supreme Court’s compelling jurisprudence and, therefore, exceeds this court’s authority to grant.” He noted that the companies could try to make their case before the Supreme Court and remain “free to argue that marijuana be reclassified or removed from the CSA.” Attorney Josh Schiller called the decision “thoughtful” on Tuesday and said he intends to “continue to argue our position that the federal government has no rational basis to prohibit state-regulated marijuana.” — DITI KOHLI

AUTOMOBILE

Car sales hit by prices and cyberattacks

The rebound in U.S. auto sales likely lost momentum last month as high prices, high borrowing costs and cyberattacks that crippled dealerships across the country weighed on deliveries. Vehicle sales will likely slow to an annualized pace of about 15.8 million vehicles in June, according to a consensus of five market analysts, from 16.1 million a year ago. Some analysts expect the sales pace to hold as buyers have returned to showrooms since the COVID-19 pandemic disrupted supply chains and caused inventory shortages. — BLOOMBERG NEWS

MEAT

Tyson to reduce consumption of antibiotic-free beef

Tyson, one of the world’s largest meat suppliers, is scaling back its supply of antibiotic-free beef after ditching chicken raised without antibiotics last year. In moves that hint at a broader shift, the company told a major customer in late 2023 that it could not continue to supply it with beef raised without antibiotics, according to a person familiar with the decision who asked not to be named to discuss private conversations. Tyson also said antibiotic-free beef from its Open Prairie Natural Meats brand would be restricted starting in January, according to a document seen by Bloomberg. But concerns about the overuse of antibiotics on farms and links to more resistant bacteria that pose a threat to human health have led the U.S. to ban some applications over the past decade. While Perdue Farms had already begun eliminating antibiotics by then, others followed suit, eliminating them altogether from some chicken flocks. But Tyson backtracked, saying last summer that she would bring back those not considered a threat to humans. — BLOOMBERG NEWS

ELECTRIC VEHICLES

Tesla sales fall again despite financing deals and price cuts

Tesla’s global sales fell for the second straight quarter despite price cuts and low-interest financing offers, another sign of weakening demand for the company’s products and electric vehicles in general. The Austin, Texas, company said Tuesday it sold 436,956 vehicles from April through June, down 4.8% from 466,140 in the same period a year ago. But sales were better than the 436,000 that analysts had expected. Global demand for electric vehicles is slowing, but it’s still growing for most automakers. Tesla, with an aging model lineup and relatively high average selling prices, is struggling more than other automakers but is expected to remain the leader in electric vehicles in the U.S. and globally. — ASSOCIATED PRESS

WIND POWER

US approves wind farm off New Jersey coast

The U.S. Interior Department approved the Atlantic Shores offshore wind farm project in New Jersey on Tuesday, giving a major boost to a project that would be the state’s first. The project still requires additional federal approval of its construction and operating plan, as well as two state permits, before construction can begin. Interior Secretary Deb Haaland said the department’s decision marks the ninth offshore wind project approved under the Biden administration, greenlighting 13 gigawatts of electricity, enough to power 5 million homes. The two-phase project would be built between Atlantic City and Long Beach Island in southern New Jersey. It would generate 2,800 megawatts, enough to power 1 million homes. — ASSOCIATED PRESS

AVIATION

Philippine airline to buy 152 Airbuses

Cebu Pacific Air has reached a preliminary agreement to buy 152 single-aisle jets from Airbus, worth $24 billion at list prices, the airline said Tuesday. The order from the Philippine low-cost carrier will be the largest aircraft purchase in the country’s history, the airline said in a stock exchange filing. As part of the deal, Cebu will buy 102 A321neo jets. Cebu had previously said it was considering both Airbus and Boeing planes for its next major order, but the struggling U.S. planemaker failed to convince the Philippines’ largest airline. — BLOOMBERG NEWS

ANTITRUST

FTC Set to File Lawsuit Against Tempur Sealy and Mattress Firm

The U.S. Federal Trade Commission is set to take legal action to block the proposed $4 billion deal between Tempur Sealy and Mattress Firm, according to a person familiar with the matter. The deal would combine Tempur Sealy — the world’s largest mattress maker with leading brands including Tempur-Pedic, Sealy Posturepedic and Stearns & Foster — with the largest U.S. specialty retailer. Mattress Firm, owned by South African retailer Steinhoff International, operates more than 2,300 stores in 49 states. The lawsuit would be a rare challenge by the antitrust agency to a so-called vertical merger — deals between companies that are not direct competitors but operate in the same supply chain. — BLOOMBERG NEWS