The Beijing Business Today has revealed that many flavoured vape products have seen prices increase by up to 20-30 yuan ($3.14-$4.72). Market research firm Forward Industrial Research Institute, has recently reported that in China there are approximately 1,500 vape manufacturers and brand enterprises, and over 100,000 e-cigarette supply chains and related service enterprises, providing employment to an estimated 5.5 million people. The research firm also found that in 2021, the domestic e-cigarette sales totaled about 19.7 billion yuan ($3 billion), with an annual growth of 36%.
Amongst other restrictions, a new bill going into effect on May 1st, will ban 122 flavours as proposed by the State Tobacco Monopoly Administration, including numerous fruit and alcohol flavours. The draft rules amend the country’s tobacco monopoly, extending it to e-cigarettes, forcing local businesses to register with the tobacco authority. Moreover local manufacturers must obtain an additional license to prove they are in possession of sufficient funds for production, and an adequate facility and equipment that meet the set standards.
The new bill will ban 122 flavours
Given that most vape products are manufactured in China, previous to the regulations’ announcement the local industry flourished. Wang Ning, the President of China’s Electronic Chamber of Commerce said that the new laws should benefit the whole industry. “Soliciting opinions on revisions to the Tobacco Monopoly Law and regulating the e-cigarette market should be beneficial to the entire industry.”
However, the local vape industry is not optimistic. John Dunne, Director general of the UK Vaping Industry Association (UKVIA) believes the industry will be affected negatively. “I think in its current form the legislation will have a massive influence on the industry both domestically and internationally, but not all in a good way.”
Read Further: Panda Daily
