China’s Tobacco Monopoly Law: Industry reacts to inclusion of e-cigarettes in amendment

E-cigarette makers have been pitching in their two cents, after China last month expanded its Tobacco Monopoly Law to include vaping devices. The draft revision subjects e-cigarettes to the same regulations as traditional cigarettes. Xu Hua gets reactions from Shenzhen, where most of China’s e-cigarette factories are located.

Heated discussions have been underway among e-cigarette makers, as their products now fall under China’s Tobacco Monopoly Law. Authorities have released a draft of “Administrative Measures for E-Cigarettes.” Reactions from home and abroad have been mixed.

WANG NING President, China Electronic Chamber of Commerce “Soliciting opinions on revisions to the Tobacco Monopoly Law and regulating the e-cigarette market should be beneficial to the entire industry.”

JOHN DUNNE Director General, UK Vaping Industry Association “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.”

China’s e-cigarette industry has exploded over the past two decades, with early movers benefiting from unlimited access to the largest population of smokers in the world.

At least 95 percent of the world’s e-cigarettes are made in China. The growth potential is huge, but will the new regulations affect exports?

JOHN DUNNE Director General, UK Vaping Industry Association “This is especially important because markets like the UK, Europe and the U.S. already have robust regulations in place anyway that these products must follow. It adds unnecessary burden and expense. It could also force companies to move their production outside of China.”

But some firms remain confident in the future of e-cigarettes, saying they won’t take their factories out of China.

WANG SHENYI Chairman, Shenzhen Shikai Technology “We can look at the next management measures or national standards in a way that won’t restrict the industry’s development, but in a way that better supervises and regulates the market to make it healthier and better in the long run.”

XU HUA Shenzhen “The period for public comments on the draft regulation will end on January 29. Authorities say they welcome all opinions in the bid to standardize the e-cigarettes industry, and protect public health and safety under the rule of law. Xu Hua, CGTN, Shenzhen, Guangdong Province.”

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