Global E-Cigarette Regulatory Updates and Market Trends December 23th.
Part 1: Legal and Regulatory Updates
Swedish Match Fined for Violating U.S. Flavor Ban
Swedish Match has been fined $1.2 million for violating Washington, D.C.’s flavored tobacco ban. The company has agreed to enforce compliance by monitoring distributors and notifying them of legal restrictions.
Source
Poland Delays E-cigarette Sales Ban
Poland has postponed implementing its e-cigarette sales ban. New regulations now classify nicotine pouches as “related products,” imposing restrictions on sales targets and locations without a complete ban. Industry stakeholders have called for public consultation and an adaptation period to accelerate legislative processes.
Source
Philippines Tightens E-cigarette Regulations
The Department of Trade and Industry (DTI) in the Philippines has proposed stricter regulations requiring all e-cigarette products to obtain a Philippine Standards (PS) license. Products without this certification will be deemed illegal.
Source
Indonesia to Increase Minimum Retail Prices for E-cigarettes
Starting January 1, 2025, Indonesia will increase the minimum retail prices for various tobacco products, including e-cigarettes. Open-system e-liquids will see the largest hike at 22.03%, while other categories will experience moderate increases.
Source
Iowa Vape Industry Challenges PMTA Registry Law
The Iowa Vape Association and several businesses have filed a lawsuit to block a new PMTA registry law set to take effect in February 2025. The law mandates that only products with a PMTA authorization can be sold, potentially causing widespread closures of vape shops across the state.
Source
Chile to Introduce Comprehensive Vape Regulations
Chile is set to introduce new regulations by January 5, 2025, categorizing e-cigarettes, nicotine-free alternatives, and heated tobacco products as tobacco products.
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Korean Synthetic Nicotine Legislation Delayed
The impeachment of South Korea’s president has delayed the amendment of the Tobacco Business Act, which aimed to regulate synthetic nicotine. This legislative gap is expected to persist into next year.
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Denver Enacts Flavored Tobacco Ban
Denver, Colorado, has passed a law banning the sale and distribution of flavored tobacco and nicotine products within the city limits. This regulation will take effect in 2026.
Source
Part 2: Market Insights
Max Tech Declared Bankrupt
E-cigarette manufacturer Max Tech has been declared bankrupt due to mounting debts.
Source
Airscream Targets Southeast Asia
UK-based vape company Airscream plans to leverage Malaysia as a springboard to expand its market presence in Southeast Asia.
Source
Shunhao Focuses on Domestic and Overseas Growth
Shunhao has announced plans to boost domestic sales of its Yilong vape brand while expanding its overseas processing and export businesses.
Source
British American Tobacco Tests Age Verification Technologies
BAT is piloting two new technologies to prevent underage access to tobacco products: a smartphone app-based purchase verification system and AI-driven facial recognition.
Source
Trends for 2025
- Adjustable Features: Products with adjustable settings are expected to gain popularity as they offer consumers greater control.
- Large Displays: Large-screen devices are predicted to become mainstream.
- Targeting Niche Markets: Smaller markets, such as 2-10ml high-value products in the U.S., show potential.
- European Market Challenges: Multi-functional products face high R&D costs and low margins, requiring large-scale operations. The 2+10ml category remains uncertain but promising.
- Key Factors for Consumers: Brand reputation and flavor quality often outweigh innovation.
- Ceramic Coils: These are gaining attention for their flavor consistency, competing with cotton wicks.
- Shisha-like Vapes: Products mimicking shisha’s smooth and mild experience appeal to female and new users, representing a promising niche.
Stay tuned for more updates next week!
