Current Events in June 2022

Consumers who spend all of their money between paydays are in good company. A survey by PYMNTS shows that 61% of U.S. consumers were living paycheck to paycheck in April, 9% more than in April 2021.

Even more affluent Americans have little to nothing left over when their next paycheck arrives. The data shows that slightly more than 1 in 3 people earning $250,000 or more annually currently live paycheck to paycheck. 

The researchers found that these high-earning consumers handle their financial lifestyles in different ways. They are often associated with stronger credit scores and more intense credit usage and are likely to control their cash flows. 

Consumers earning more than $250,000 a year are 40% more likely to use financial products than consumers in the lowest bracket, and as many as 63% of them have a credit score exceeding 750. 

In other words, living paycheck to paycheck appears to be a lifestyle choice. If they have the money, they spend it.

On the other end of the scale, consumers with lower incomes who live paycheck to paycheck generally do so because of financial distress. They have fewer attractive credit options than wealthier consumers.

Vulnerable to the ravages of inflation

Those with lower incomes are also more vulnerable to the ravages of inflation. When the cost of food and energy rose sharply this year, lower-income consumers who live paycheck to paycheck had little option other than to cut spending or tap into expensive credit, such as credit cards.

A report from LendingClub shows things didn’t get much better last month, with more Americans turning to high-interest credit cards to make ends meet. Americans paid off billions in credit card debt during the first months of the pandemic in 2020 but since then have added to balances. The trend has picked up speed with inflation, which is at the highest rate in 40 years.

Unfortunately, the interest rate on credit cards has moved higher with the Federal Reserve’s policy of increasing interest rates. According to LendingTree, the average credit card interest rate is now over 20%.

When households live paycheck to paycheck, it means they aren’t saving any money. A recent Harris Poll shows inflation is eating up money that might normally go into a savings account.

The poll found that 39% of women said they are saving less money than they did last year. Another 40% of hourly workers with a household income of less than $100,000 said they are saving less than last year or not at all.

Hyundai Motor America is recalling 10,729 model year 2022 Ioniq 5 vehicles. 

A software error in the Shifter Control Unit (SCU) may disengage the parking mechanism, which can allow the vehicle to rollaway.

Vehicle rollaway can increase the risk of a crash or injury.

What to do

Drivers are advised to use the Electronic Parking Brake (EPB) when parking their vehicles until the remedy has been performed. 

Dealers will update the Shifter Control Unit software, free of charge.

 Owner notification letters are expected to be mailed July 10, 2022. 

Owners may contact Hyundai customer service at (855) 371-9460. Hyundai's number for this recall is 228.

The TJX Companies of Framingham, Mass., is recalling about 30,600 Nest Swing Egg Chairs

The chair can tip over or collapse when someone is seated in it, posing a fall hazard.

The firm has received 27 reports of the chairs collapsing or tipping over, including 19 reports of injuries, including cuts, scrapes, soreness and one report of broken ribs and a collapsed lung.

This recall involves nest swing egg chairs sold under the Tommy Bahama and Martha Stewart brands.  The chairs have a metal circle base that attaches to a metal pole, from which the oval-shaped wicker chairs hang by hook and chain.  

The chairs were sold with a round cushion for seating and a hangtag with the brand name “Martha Stewart” or “Tommy Bahama.”  Eight of the nine styles were also sold with an additional decorative pillow.  

One of the following style numbers is printed on a second hangtag attached to the product: PMK-6501, PMK-6503, PMK-6503-N, PMK-6505, PMK-6506, PMK-6507, PMK-6508, PMK-6509, or PMK-6510.   

The chairs, manufactured in Vietnam, were sold at Marshalls, T.J. Maxx, HomeGoods and Homesense stores nationwide from December 2018, through April 2022, for between $300 and $350.

What to do

Consumers should immediately stop using the recalled egg chairs and return them to any Marshalls, T.J. Maxx, HomeGoods, or Homesense stores for their choice of either a full refund or a refund in the form of a store gift card. Consumers can also contact TJX for instructions on how to disassemble and dispose of the chair to receive either a full refund or refund in the form of a store gift card.

Consumers may contact Marshalls toll-free at (888) 627-7425 from 9 a.m. to 6 p.m. (ET) Monday through Friday or online at https://www.marshalls.com/us/store/jump/topic/Product-Recall/2400019; T.J. Maxx at 800-926-6299 from 9 a.m. to 6 p.m. ET Monday through Friday, online at https://tjmaxx.tjx.com/store/jump/topic/product-recalls/2400019; HomeGoods at 800-888-0776 from 9 a.m. to 6 p.m. ET Monday through Friday or online at https://www.homegoods.com/us/store/jump/topic/find-help/our-product-/2400009#product recalls; Homesense toll-free at (855)           660-4663 from 9 a.m. to 6 p.m. ET Monday through Friday or online at https://us.homesense.com/recalls, or by email at customerservice@tjx.com.

Taylor Farms Retail of Guadalupe, Calif., is recalling a single production day of Trader Joe’s Lemony Arugula Basil Salad Kit.

The product may contain wheat and eggs, allergens not declared on the label.

There have been no reported adverse reactions to date.

The recalled product, packaged in 9.75 oz bag with a UOC of 00662932 and a Best if Used By date of June 2, 2022, was sold at Trader Joe’s stores nationwide

What to do

Customers with an allergy or sensitivity to wheat or eggs who purchased the recalled product should not consume it, but discard it.

Consumers with questions may contact Taylor Farms at (855) 455-0098 Monday through Friday between 8am and 4pm (PST)

A new study published by Taylor & Francis identified a risk factor that may affect older consumers’ cognitive health. According to their findings, older adults who have untreated vision problems may be at a higher risk of developing dementia. 

“This study is among the first to evaluate the association between sight problems and cognitive outcomes in older adults through a comprehensive examination of all available population-based studies in English,” said researcher Beibei Xu. “Although the reasons behind this remain unclear, it suggests that diagnosing and treating eye conditions may be beneficial – both to improve a person’s quality of life and also to potentially slow down or stop memory loss.” 

How vision problems can affect cognition

For the study, the researchers analyzed data from 16 previous studies that included information on more than 76,000 participants. These studies included long-term information on the participants’ eye health and cognitive health. 

Ultimately, there was a clear link between visual health concerns and dementia. Participants with any kind of sight problem were 137% more likely to experience cognitive impairment than older adults without vision problems. These findings held up regardless of whether the participants were diagnosed with visual problems or self-reported issues with their vision. 

Additionally, the risk of developing cognitive impairment was 41% higher for participants with vision problems, and the risk of dementia was nearly 45% higher for this group. 

While the researchers remain unclear on precisely why this link exists between vision problems and cognitive impairment, they hypothesize that several factors may come into play. They explained that with poorer vision, older adults may struggle to take in information, their senses are generally more dulled, and they may have a hard time with visual perception. All of these things can impact long-term cognitive function. 

Now, the team hopes that these findings encourage older consumers to prioritize their visual health. Preventing or treating long-term eye conditions may help their cognitive function in later life. 

“Finding ways to prevent or delay the onset of dementia could help reduce its devastating impact on the lives of affected individuals and their families, especially in light of the growing burden of the disease,” said Xu. “Identifying modifiable risk factors is the first critical step for developing effective interventions to achieve this goal. 

“Our new results highlight the importance of regular eye examinations for older adults – enabling any potential problems with their vision to be spotted and treated early. They also suggest that any self-reported changes to a person’s eyesight should not be ignored.” 

Consumers who use Juul electronic cigarette products will still be able to find them in stores for the foreseeable future. A federal appeals court has stayed the U.S. Food and Drug Administration’s (FDA) ban while the company appeals.

Juul filed its appeal, asking the court to stop what it called an "extraordinary and unlawful action" that essentially would put it out of business. Late last week, the FDA denied Juul’s application to sell its tobacco- and menthol-flavored e-cigarettes in the U.S., effectively removing those products from the U.S. market.

The company and the government have tangled in the past over charges that Juul aimed some of its vaping products, which contain nicotine, at underage consumers. In particular, the FDA has cracked down on fruit-flavored vaping products popular with young people.

But the FDA’s action banning Juul products from the market was not officially connected with past issues. Rather, the agency said it hinged on product safety.

‘Lack of evidence’

“After reviewing the company’s premarket tobacco product applications (PMTAs), the FDA determined that the applications lacked sufficient evidence regarding the toxicological profile of the products to demonstrate that marketing of the products would be appropriate for the protection of the public health,” the FDA said in a statement. 

The FDA continued, "In particular, some of the company’s study findings raised concerns due to insufficient and conflicting data – including regarding genotoxicity and potentially harmful chemicals leaching from the company’s proprietary e-liquid pods – that have not been adequately addressed."

In filing its appeal, Juul said it submitted enough data and other information to address all of the safety questions the agency raised. In addition to the toxicity questions, Juul and other e-cigarette makers are required to show that their products help adult smokers quit while not attracting young users.

In their emergency appeal, Juul’s lawyers argued that it gave the FDA plenty of evidence in support of its case, including a 125,000-page document that contained several studies looking at vaping’s health risks.

Juul claimed that the FDA cannot argue that there was a "critical and urgent public interest" in removing its products from the market so urgently when the agency allowed them to be sold in the two years since that document was submitted.

A target?

Juul’s popularity with young people perhaps raised its profile with regulators. In addition to once offering fruit-flavored cartridges for its devices, the design of the devices themselves became an issue. Critics charged the sleek design and an appearance resembling a computer flash drive is especially appealing to young people.

While the issue of underage use was not officially part of the FDA’s order, it has not completely disappeared. Late last month, researchers at the University of California San Diego issued a study finding that underage vaping had dramatically increased between 2017 and 2019.

The study found more than 1 million teens between the ages of 14 and 17 years old became daily tobacco users during that time. By 2019, the study said more than three-quarters of those young smokers were vaping on a daily basis.

United Airlines and its 14,000-strong pilots' union have a tentative deal in place that would bump up pilots’ pay by more than 14.5% in the next year and a half. The agreement makes United the first major U.S. airline to reach a deal since the start of the COVID-19 pandemic and likely establishes a new mark that its competitors will be asked to match.

The agreement has also added an incentive for pilots who are looking for work to knock on United’s door. There are plenty of pilot jobs for the industry to fill, with the shortage forcing some carriers to pull back on their flight schedules. A successful contract negotiation means there is less of a chance of there being canceled flights or fallout in the future.

“This agreement raises the bar for all airline pilots and leads the industry forward,” said Capt. Michael Hamilton, Chair of ALPA’s United pilot group. “Our ability to reach this agreement, and the current success of United Airlines, is driven by front-line United pilots who stayed unified and focused throughout negotiations despite the incredible challenges we faced during the largest disruption in the history of aviation.”

If ratified, the tentative agreement will reportedly generate an additional $1.3 billion of value for United pilots over the course of the two-year agreement.

What else is in the deal?

The two-year agreement also includes several attractive perks, including:

• Eight weeks of paid maternity leave, a first for the carrier’s pilots and a definite plus for the 7% of United pilots who are women

• “Enhanced” overtime compensation and “premium” pay

• “Quality of life improvements” that are designed to give pilots more flexibility in their schedules

Approval by a majority of the voting membership is needed for ratification, and voting closes July 15, 2022.

To expand its payment options beyond buy now, pay later (BNPL), PayPal has introduced a service it calls PayPal Pay Monthly that allows consumers to spread payments over longer periods.

It also allows users to finance larger purchases. A typical BNPL purchase is broken up into four equal payments that are made every two weeks. Pay Monthly will allow consumers to make purchases of between $199 and $10,000 and make payments for up to 24 months.

After a customer selects Pay Monthly in the PayPal app, they will complete an application at checkout and, if approved, will be presented with up to three different plans of varying lengths. Depending on their credit standing, consumers will be offered an interest rate between 0% to 29.99%.

Similar to a personal loan

PayPal said it is responding to the growing demand for more flexible payment options. Annie Millerbernd, a personal loan expert at NerdWallet, says the new product is actually a personal loan.

“No matter how you brand it, borrowing money and repaying it in monthly installments, plus interest is a loan,” Millerbernd told ConsumerAffairs. 

But she notes Pay Monthly is a little different than a typical personal loan. The amount that consumers can borrow is smaller, and the repayment terms are shorter.

“It’s not surprising that PayPal would want to offer longer-term, interest-generating loans, because the buy now, pay later industry has had a tough few months,” Millerbernd said. “With reports of revenue struggles at some companies and regulators watching the industry, not to mention Apple’s pay later product announcement, it can’t hurt to diversify.”

Popular during the pandemic

BNPL plans grew in popularity during the early days of the pandemic and are now offered by a wide range of fintech apps. But there have also been problems with some consumers getting overextended.

Last September, Credit Karma released research showing that 44% of Americans had used a BNPL plan. Of those consumers, 34% said they have fallen behind on payments.

PayPal Pay Monthly may offer consumers more flexibility, but like any loan product, it should be used carefully. Before choosing it, Millerbernd said consumers should compare options, including the option to pay out-of-pocket instead of borrowing the money.

The Independence Day holiday is just about as famous for new car deals as it is for fireworks and parades. Auto dealers usually pull out all of the stops to bring in crowds, offering cashback options and special financing.

But not this year. The ongoing new car shortage, caused by supply chain bottlenecks and a lack of computer chips, means that dealers don't need to offer much in the way of incentives. Some dealers may advertise sales but will ask customers to submit orders for future delivery. There just aren’t that many cars on the lot, according to analysts at Kelley Blue Book (KBB).

In fact, KBB reports that the sale price of a new car is at a record high. In May, the average new car sold for $47,148 – the second-highest total on record. Nearly every buyer paid more than the sticker price last month, with most buyers paying more than $1,000 over the manufacturer's suggested retail price (MSRP).

Being flexible could pay off

Even during a traditional sales period like the Fourth of July, car dealers simply don’t see the need to offer discounts. They have said for months that they need to make more per sale because they are selling fewer vehicles.

That means automakers and their dealers see little need to discount cars this summer. Brian Moody, KBB’s executive editor, says consumers who are shopping for a new car or truck should remain flexible when it comes to colors and trim levels. 

The best deals, he says, will be for the most plentiful types of vehicles in the dealer’s inventory. That flexibility should also extend to types of vehicles.

“If you’re looking at a popular mid-size SUV, you won’t get a deal at all,” Moody said. “Those types of vehicles are transacting well over retail price in almost every case. Consider a midsize sedan instead if you can make that work.”

Shoppers might also consider looking at less popular brands. KBB reports that customers who purchased Fiat, Buick, Ram, and Lincoln vehicles were most likely to get a deal below the sticker price.

While consumers might save money buying a late-model used car instead of a new one, they probably won’t save that much. Because of the new car shortage, some three-year-old models are selling for more than they did when they were new.

As we reported earlier this week, the average price of used cars surged 16.9% in May, with the price of electric vehicles and hybrids rising the most.

A new study conducted by researchers from Edith Cowan University explored how traveling may benefit consumers’ mental health and well-being. They learned that taking trips and having different tourism experiences can improve mental health and be beneficial for those with dementia. 

“Medical experts can recommend dementia treatments such as music therapy, exercise, cognitive stimulation, reminiscence therapy, sensory stimulation, and adaptations to a patient’s mealtimes and environment,” said researcher Dr. Jun Wen. 

“These are also found when on holidays. This research is among the first to conceptually discuss how these tourism experiences could potentially work as dementia interventions.” 

Taking trips helps the brain

Experts across several different fields explored the latest in tourism and dementia research. While much of their work is conceptual right now, they identified several ways that taking trips can be beneficial for consumers’ long-term cognitive and mental health. 

They explained that not only has tourism been linked to better well-being, but the individual components of traveling can help consumers improve their wellness. The team says travelers are more likely to be physically active, get more vitamin D, and be more social – especially at mealtimes. 

“Everything that comes together to represent a holistic tourism experience makes it easy to see how patients with dementia may benefit from tourism as an intervention,” Dr. Wen said. 

The team also noted that traveling inherently provides a sense of pleasure and enjoyment, which can help boost mental health and wellness. Exploring new places and being a tourist allows consumers to learn new things, have new experiences, and reflect on past and future travel plans. All of these factors can improve mindfulness, which in turn can improve cognitive function and mental well-being. 

While vacations are about having fun and relaxing, the researchers believe that the mental and cognitive health benefits may be far greater than many people realize. The team plans to do more work in the future to better understand how consumers can intentionally reap the benefits of traveling. 

“We’re trying to do something new in bridging tourism and health science,” Dr. Wen said. “There will have to be more empirical research and evidence to see if tourism can become one of the medical interventions for different diseases like dementia or depression."

A new study explored how women’s hormone levels can impact their sleeping habits. The findings showed that postmenopausal women with lower levels of estrogen and progesterone may be more likely to experience snoring and sleep apnea. 

“The prevalence of obstructive sleep apnea is higher in women after menopause,” the researchers wrote. “This is suggested to be a result of an altered sex hormone balance but has so far not been confirmed in a population-based study.”

How hormones affect sleep

For the study, the researchers analyzed data from nearly 780 women enrolled in the European Community Respiratory Health Survey between 2010 and 2012. The women completed questionnaires about their lifestyles, respiratory health, and reproductive health; they also gave blood samples to measure their hormone levels. 

Ultimately, the researchers identified a link between reproductive hormones and snoring and sleep apnea. When looking specifically at the women’s reproductive hormone levels, the team learned that higher levels of estrogen and progesterone were linked with a lower likelihood of snoring and fewer sleep apnea-related symptoms. When progesterone doubled, the women were 9% less likely to snore; when estrone (one of the types of estrogen) doubled, there was a nearly 20% lower likelihood of snoring. 

The study showed similar results for women with a history of snoring. For these women, doubling estrogen lowered the likelihood of waking with a choking sensation by 12%. Similarly, when several types of estrogen doubled, women who snored were as much as 23% less likely to have breathing troubles while they slept. 

Moving forward, the researchers hope medical professionals consider women’s reproductive hormones when thinking about ways to address their sleep struggles. 

“Female sex hormones are crucial for health and disease, and especially after menopause the hormone status should be considered to develop holistic treatment strategies,” the researchers wrote. 

A dramatic drop in oil prices translated into instant savings at the gas pump this week, as the price of gasoline retreated from its record high.

Fears that the U.S., along with the rest of the world, is facing a recession sent the oil market into a tailspin, with the price of oil falling by about $18 a barrel.

AAA’s daily fuel price survey shows that the national average price of regular is $4.92 a gallon, about eight cents a gallon lower than a week ago. A year ago, the price was $3.07.

The average price of premium gas is $5.63 a gallon, five cents lower than last Friday. The average price of diesel fuel is $5.80 a gallon, a penny more than last week.

“The recent high prices may have led to a small drop in domestic gasoline demand as fewer drivers fueled up last week,” said Andrew Gross, AAA’s spokesperson. “This dip, coupled with less costly oil, has taken some steam out of surging pump prices. And this is happening right before drivers gas up for what AAA forecasts will be a busy July 4th travel weekend.” 

Nearly every state has lower gasoline prices compared to last week. The statewide average fell by 12 cents a gallon in Indiana, 10 cents in South Carolina and Michigan; nine cents in Alabama, eight cents in Illinois and Louisiana, and seven cents a gallon in California.

States with the most expensive gas

These states currently have the highest prices for regular gas, according to AAA:

• California ($6.35)    

• Nevada ($5.61)     

• Alaska ($5.58)    

• Hawaii ($5.56) 

• Washington ($5.51)      

• Oregon ($5.51)     

• Illinois ($5.47)  

• Arizona ($5.34)   

• Idaho ($5.20) 

• Utah ($5.19)   

States with the cheapest gas

AAA reports that these states currently have the lowest prices for regular gas:

• Georgia ($4.43)  

• Mississippi ($4.45)

• Arkansas ($4.48)    

• Louisiana ($4.48)     

• South Carolina ($4.48) 

• Alabama ($4.54)   

• Texas ($4.60)    

• Oklahoma ($4.61)  

• Kansas ($4.62)    

• Tennessee ($4.66)  

COVID-19 ‌tally‌ ‌as‌ ‌‌compiled‌‌ ‌by‌ ‌Johns‌ ‌Hopkins‌ ‌University.‌ ‌(Previous‌ ‌numbers‌ ‌in‌ ‌parentheses.)‌

Total‌ ‌U.S.‌ ‌confirmed‌ ‌cases:‌ 86,636,811 (86,478,140)

Total‌ ‌U.S.‌ ‌deaths:‌ 1,014,835 (1,014,174)

Total‌ ‌global‌ ‌cases:‌ 541,470,003 (540,830,183)

Total ‌global‌ ‌deaths:‌ 6,324,459 (6,322,765)‌

Evidence mounts that Paxlovid keeps patients out of the hospital

Two new studies published in Morbidity and Mortality Weekly Report (MMWR) bolster the case for Pfizer’s antiviral drug Paxlovid. Both studies found that patients who take the drug early on in a COVID-19 infection were very unlikely to visit a hospital emergency room (ER).

Paxlovid is a combination of two antiviral medications -- nirmatrelvir and ritonavir. It was approved for emergency use by the U.S. Food and Drug Administration (FDA) in December 2021, for people with mild to moderate COVID-19 who are at risk for more severe symptoms.

Researchers at Kaiser Permanente, the Centers for Disease Control and Prevention (CDC), Harvard University, and the University of California, Berkeley, analyzed electronic health record data from Kaiser Permanente Southern California on 5,287 patients who were 12 years old or older and received Paxlovid from Dec. 31, 2021, through May 26, 2022. 

Research explains why so many vaccinated people get COVID-19

New research suggests that the reason many fully vaccinated people are testing positive for COVID-19 is because the BA.4 and BA.5 subvariants are able to evade the antibody responses among people who are vaccinated or have had a previous infection.

The study found that when the BA.4 and BA.5 subvariants invade the body, the antibody response is several times lower when compared to the body's response to the original strain of the coronavirus.

That said, the researchers have concluded that it’s still worthwhile to get vaccinated because it can prevent severe symptoms in most people.

Booster shots important for nursing home residents

Researchers from Case Western Reserve University, collaborating with scientists at Brown University, have made a case for residents and staff at nursing homes to not only be vaccinated against COVID-19 but to also get booster shots.

Their study shows that high levels of Omicron-specific immunity can be achieved in nursing home residents and their caregivers with a third dose of the COVID-19 vaccine. The findings were published this month in the journal eBioMedicine.

Researchers examined blood samples from 85 nursing home residents and 48 health care workers in Ohio who received the COVID-19 vaccine booster to determine the level of neutralizing antibodies present. It found that Omicron-specific antibodies reached detectable levels in 86% of nursing home residents and 93% of health care workers after receiving the booster shot.

Around the nation

• New York: The five boroughs of New York City have all been downgraded to medium COVID-19 transmission risk. In early May, all five were classified as high risk. Cases have fallen so sharply that Broadway theaters will drop their mask mandate beginning July 1.

• Florida: Florida is seeing a renewed surge in COVID-19 infections, and the outbreak is more serious in some communities than others. “We're seeing a lot of new cases,” said Seminole County emergency manager Alan Harris. "We're definitely in high transmission."

• Illinois: The Illinois Department of Public Health reported 4,609 new confirmed and probable cases of COVID-19 and 33 additional deaths on Wednesday. However, the cases per 100,000 population has declined slightly. The intensive care unit occupancy rate remains elevated at 81%.

• Virginia: In a break with the CDC, the Virginia Department of Health is relaxing quarantine guidelines for people who are exposed to COVID-19. Most won’t be recommended to quarantine if they recovered from a positive case within the last six months or if they are up-to-date on their vaccines.

• Tennessee: Some Republican state lawmakers are asking Gov. Bill Lee to block the distribution of COVID-19 vaccines for children under the age of five. The members of the Tennessee House said they had too many concerns about the vaccine for it to be used on young children.

The U.S. Food and Drug Administration (FDA) has launched an investigation into another death of an infant who was given formula made by Abbott Laboratories. According to a statement from the agency, the infant died in January. However, officials reportedly weren't notified until June 10. Officials told Bloomberg News that Cronobacter bacteria was found in the infant at the time of death.

“The investigation of this most recent consumer complaint is in its preliminary stages and the agency will provide an update as it learns more,” the FDA said.

“With the limited product and clinical information Abbott was provided to evaluate the case, there are no conclusions that can be drawn and no evidence to suggest a causal relationship between Abbott’s formulas and this reported case,” Abbott said in a statement. 

Earlier this year, Abbott recalled baby formula after complaints about Cronobacter sakazakii were made. At the time, the FDA warned consumers against using certain powdered infant formula products that were manufactured at Abbott Nutrition’s Sturgis, Michigan, infant formula production facility.

FDA and White House move to address baby formula shortage

Federal officials are currently taking steps to increase the availability of infant formula. On Wednesday, the FDA said it had approved the importation of more than 4.8 million cans of British-produced Kendamil First Infant Formula with Iron (Kosher formula). An initial distribution of 150,000 cans will kickstart the supply-bolstering effort, with an additional 1.2 million more cans to be distributed each month.

“The FDA is leaving no stone unturned to further increase the availability of infant formula. We are doing everything in our power as part of the all-of-government efforts to ensure there’s adequate product available wherever and whenever parents and caregivers need it,” said FDA Commissioner Robert M. Califf, M.D.

“Today’s action paves the way for companies who don’t normally distribute their infant formula products in the U.S. to do so efficiently and safely. We are hopeful this call to the global market will be answered and that international businesses will rise to the occasion to assist in bolstering the supply of products that serve as the sole source of nutrition for many infants. With these flexibilities in place, we anticipate that those products that can quickly meet safety and nutrition standards could hit U.S. stores in a matter of weeks.”

The White House made a similar move on Wednesday when President Biden announced that his administration is sourcing trucking for Operation Fly Formula to transport Gerber infant formula from Mexico to Fort Worth, Texas. The deliveries are scheduled to begin on June 24 and will include approximately 1 million pounds of Gerber Good Start Gentle infant formula, the equivalent of approximately 16 million 8-ounce bottles. The product will be available through retail channels.