Author: Staff Writer

Snowplus Tech Obtains Production License in China
Snowplus has obtained a production license from China’s State Tobacco Monopoly Administration, which grants the company a quota to produce 80 million pods annually, according to a press release. The company stated that it will now takes on the “challenge and responsibility to help lead the development of a healthy and sustainable vaping industry.”
While the U.S. government has strict regulations for vaping products, there has been a rise in fake or counterfeits of popular brands in the country, which has led to an increase in incidents relating to poorly manufactured variations, according to Snowplus. This highlights the importance of using a reputable, tested and certified vape product.
For Snowplus Tech, a China-based e-cigarette manufacturer, equipment safety and quality are top priority. Snowplus products are designed in-house, developed by experts in specialist R&D centers, and manufactured in one of the largest, most advanced e-cigarette facilities in the world, according to the release.
Established in Jan 2019, backed by investors such as Zhen fund and Sequoia, Snowplus has more than 60 criteria for testing, ensuring highest standards of safety and quality. With three CNAS certified research laboratories, its safety protocols are recognized and interoperable by 65 institutions in 50 countries, according to the release.
“There is an increasing trend for cheap counterfeit vapes on the market, which we find deeply concerning,” said Derek Li, Snowplus co-founder and head of overseas markets. “That is why we have invested heavily in product research to create products that enhance the vaping experience while ensuring it is as safe as possible.”
Snowplus has invested over $2 million in quality and safety research and to help prevent e-liquid from leaking out of products, it conducts impact tests in variable temperature, humidity and pressure conditions, according to the release. In addition, Snowplus’ batteries pass two tests before assembly to “guarantee that devices can operate in different environments.”
November 16, 2022
RLX Technology Reports Revenue Down From 2021
RLX Technology reported net revenues of RMB1.04 billion ($146.8 million) in the third quarter of 2022, down from RMB1.68 billion in the same period of 2021. The decrease was due primarily to the suspension of store expansions and the discontinuation of older products during the transition to the new national standards, according to the Chinese vapor product manufacturer.
Gross profit was RMB522 million for the quarter, compared with RMB656 million in the same period of 2021. Gross margin was 50 percent, compared with 39.1 percent in the prior-year period. RLX Technology attributed the improvement to a favorable change in channel mix. Because the company gradually terminated partnerships with distributors who did not obtain wholesale licenses during the transition period, its sales contribution from retail stores increased as RLX began to directly provide products to these retail stores. The company benefited also from a decrease in direct cost related to promotional activities.
“During the third quarter of 2022, we remained dedicated to preparing for a smooth transition to the new national standards, which came into full effect on Oct. 1, 2022. Specifically, we wound down shipments of our older products and gradually switched to the National Transaction Platform on a regional basis. We have now achieved full geographical coverage nationwide,” said Ying Wang, co-founder, chairperson of the board of directors and CEO of RLX Technology, in a statement.
Third Quarter 2022 Financial Highlights

Net revenues were RMB1.044.4 billion ($146.8 million), compared with RMB1.676.7 billion in the same period of 2021.

Gross margin was 50.0%, compared with 39.1% in the same period of 2021.

U.S. GAAP net income was RMB505.2 million ($71.0 million), compared with RMB976.4 million in the same period of 2021.

Non-GAAP net incomewas RMB328.6 million ($46.2 million), compared with RMB452.7 million in the same period of 2021.

“In addition to our efforts to proactively adapt to the new standards, we have focused on fulfilling our social responsibilities, which we see as one of our core competitive advantages. We recently published our annual corporate social responsibility report, summarizing our endeavors with respect to market responsibility, R&D investment, environmental protection, employee career development, and corporate governance. I am proud to share that our latest S&P CSA ESG score ranked ahead of 67 percent of our global peers, representing a powerful commendation of our commitment to sustainability and ESG best practices.”
“We delivered net revenues of approximately RMB1 billion in the third quarter, recording a sequential decrease mainly due to the discontinuation of older products during the transition to the new national standards, as well as the second quarter’s high comparison basis mainly attributable to frontloading of sales in anticipation of the discontinuation of older products. We remain confident that our diversified portfolio will continue to satisfy adult smokers’ needs and that our sales will gradually recover,” said Chao Lu, chief financial officer of RLX Technology.
“Meanwhile, our continuous efforts to improve operational efficiency are proving effective, evidenced by a 30.9 percent quarter-over-quarter decrease in non-GAAP operating expenses. However, our profitability in the coming quarters will be adversely affected by the application of 36 percent consumption tax to e-cigarettes manufacturers since November 1, 2022. Cost control measures will remain at the forefront of our strategic initiatives as we navigate the evolving regulatory environment while maintaining our sustainable long-term growth.”
November 16, 2022
Study Claims Vapes, Marijuana Harmful to Heart

Researchers found evidence that e-cigarettes and marijuana have harmful effects on the heart that are similar to negative effects from traditional tobacco cigarettes, according to a new study from University of California San Francisco (UCSF).
Health effects from vapes, marijuana joints, and cigarettes all “open the door to abnormal heart rhythms,” according to the study published Tuesday in the journal Heart Rhythm.
“We found that cigarettes, e-cigarettes, and marijuana greatly interfere with the electrical activity, structure, and neural regulation of the heart,” lead author Dr. Huiliang Qiu, a postdoctoral scholar in the UCSF Division of Cardiology, said in a press release. “Often, any single change can lead to arrhythmia disease. Unfortunately, these adverse effects on the heart are quite comprehensive.”
To work well, researchers explained that the heart must pump blood efficiently and with the correct timing. This vital organ is equipped with its own electrical control system thanks to our nerves, according to The Hill.
If any part of the heart doesn’t handle those electrical signals properly, it can cause other regions of the organ to act asynchronously, meaning they will fight against each other rather than functioning as a single efficient pump.
This can lead to arrhythmias that can be life-threatening, according to researchers.
The study was funded by the California Tobacco-Related Disease Research Program, the American Heart Association, the U.S. Food and Drug Administration’s Center for Tobacco Products, the National Institutes of Heart, and other partners.
November 16, 2022
Bidi Parent Inks Deal for Marketing, Sales Strategy

Kaival Brands Innovation Group, parent to Bidi Stick vaping products, today announced it has reached a three-year extension agreement with QuikfillRx, the third party vendor responsible for executing Kaival Brands’ marketing and sales strategies.
As part of the agreement, QuikfillRx will be rebranded as Kaival Marketing Services (KMS) to more properly reflect the commitment of KMS to the success of Kaival Brands, according to a press release.
“We are happy to continue our service with Kaival Brands and its commitment to responsible marketing,” Russell Quick, president of KMS, stated in the release. “Our combined efforts at preventing underage use of vaping devices and focus on the needs of legal-age smokers looking for an alternative to combustible cigarettes, stands as a model for the industry.”
In February 2022, the U.S. Court of Appeals for the Eleventh Circuit stayed a marketing denial order (MDO) issued by the U.S. Food and Drug Administration to Bidi Vapor in September 2021 for its non-tobacco flavored Bidi Stick products. The FDA had previously issued an administrative stay to Bidi Vapor, however, the agency rescinded that stay in December 2021.
Kaival Brands reported revenues of $3.8 million for the third quarter of fiscal year 2022, up from $3.2 million for the same period of 2021. Gross profit was $442,100 compared to a loss of $84,300 for comparable 2021 period.
Kaival attributed its improved revenues in part to an August court ruling that set aside a marketing denial order issued by the U.S. Food and Drug Administration to the company’s nontobacco flavored Bidi Stick e-cigarettes.
The three-year extension with KMS was executed in preparation to support the anticipated improved sales volumes arising from this decision and the increase of Bidi Stick sales and marketing activities.
In addition to monthly cash payments, which will be lower than during the initial term of the agreement, and a one-time upfront vested common stock option award, KMS will be eligible to receive performance-based common stock option awards from Kaival Brands.
Eric Mosser, president and chief operating officer of Kaival Brands, stated that KMS has been an integral part of the Kaival story since its inception.
“Their industry knowledge and expertise, experience working with our team, and unmatched around-the-clock service is best in class,” he said. “As part of ongoing corporate efforts in anticipation of increasing sales activity following Bidi Vapor’s merits case win, it became clear that reaffirming our relationship with KMS was an important step to manage growth.”
November 15, 2022
Ireland Considering Vape Ban for Under-18 Youth

Credit: Promesa Art Studio
The sale of e-cigarettes and vaping products to under-18s is set to be banned in Ireland.
Health Minister Stephen Donnelly is to seek Cabinet approval to ban the sale of “nicotine inhaling products” to those aged under 18 from early in the new year, according to Irish media.
Legislation is at an advanced stage and the minister will seek Cabinet approval to introduce a ban on the sale of vaping products to under-18s early next year.
Ireland has the highest rate of people who use e-cigarettes in the European Union at 7 percent, while the EU average is 2 percent.
Donnelly will also restrict the types of retailers that can sell vaping products, reducing the number of vape shops.
He also intends to curb the advertising of nicotine-inhaling products near schools. This will also apply to a number of other settings frequented by children and young teenagers.
A ban on advertisements for vaping instruments and CBD oils will also apply on public transport.
The intention is to limit children’s exposure to commercial messages “normalizing or glamourizing” the purchase and use of e-cigarettes, a source said.
November 15, 2022
BAT Invests Nearly £50 Million in Charlotte’s Web

Photo: bukhta79
BAT is investing £48.2 million ($57.4 million) in Charlotte’s Web Holdings. Based in Colorado, USA, and listed on the Toronto Stock Exchange, Charlotte’s Web offers cannabinoid extract wellness products.
“The appeal of Charlotte’s Web is clear to us: a wide portfolio of high-quality products, strong brand equity, an extensive retail presence and robust B2C e-commerce platform serving a loyal U.S. consumer base, and a track record of in-depth scientific research,” said BAT Chief Growth Officer Kingsley Wheaton in a statement. “Our investment in Charlotte’s Web represents another step for BAT in our exploration beyond tobacco and nicotine,” Wheaton said.
Last month, Charlotte’s Web became the first CBD company allowed to use the moniker “Official CBD of MLB.” Major League Baseball (MLB) said in June that it would allow teams to enter sponsorships with CBD marketers.
Describing its relationship with MLB as a “multiyear, strategic partnership,” Charlotte’s Web issued 6,119,121 shares of its common stock to the sports organization—worth an estimated $4.4 million at the time.
“This investment will provide Charlotte’s Web with funding that we anticipate will help unlock deeper and broader research and development that is key to our continued innovation, global footprint and the advancement of our intellectual property portfolio,” said Jacques Tortoroli, CEO of Charlotte’s Web.
November 15, 2022
Vaping Prohibited at World Cup 2022 in Qatar

Credit: Jean-Luc
The FIFA World Cup 2022 begins Nov. 20 in Qatar. Vapers attending the event should be aware of heavy fines for anyone caught vaping inside any venue.
The strengthened regulation to make venues safe for fans is part of a unique collaboration between FIFA, WHO and the Ministry of Public Health, Qatar, designed to harness the power of football to protect and promote health for all.
This, in turn, will create a blueprint for protecting and promoting health at mass gatherings which can then be shared with other sports organizations., according to the WHO.
“Each of the three partners have long promoted effective tobacco control measures, while also raising awareness around tobacco health hazards,” according to Rayana Bou Haka, a WHO representative to Qatar. “They have also backed the implementation of a tobacco-free policy at FIFA sporting events. Still, evidence shows that successful tobacco-free mega sporting events depend on effective communication and enforcement of policies.”
Vapers will have to leave their e-cigarettes at home for the tournament, as it’s illegal to import, sell or purchase them. Anyone caught with one could be fined up to Riyals10,000 ($2,747) or three months in prison.
Riot Labs CEO Ben Johnson said his company will fines for any vapers caught vaping in Qatar.
“Obviously attending a major football tournament is an incredible life experience for fans but treating Qatar like the beer garden at the local British boozer could land fans in hot water – even for just vaping,” he said. “”Socializing, alcohol, partying, sex – traditionally some of football fans’ favorite escapades – are all examples of major triggers for smoking tobacco and we hope our fines repayment scheme encourages fans to stick to e-cigarettes.”
Adult consumers might not be able to take their vape with them, but they can take nicotine pouches. Pouches are legal in the country.
Qatar will be assigning a team of 80 tobacco inspectors to support FIFA volunteers and security staff in enforcing the FIFA Event Policy on Tobacco during the FIFA World Cup, which runs from Nov. 21 (Nov. 20 EST) to Dec. 18.
“Qatar has been a frontrunner in tobacco control in the region,” said Kholoud Ateeq K M Al-Motawaa, head of noncommunicable disease for Qatar’s Ministry of Public Health. “For the FIFA World Cup, tobacco control measures have been developed for inside and outside stadiums, especially in public places, while tobacco-free environments in fan zones will be rigorously enforced where supporters without tickets can watch games on large screens surrounded by smoke-free air.”
November 15, 2022
Korea Cracks Down on E-Cigarette Tax Evaders
A plan to strengthen the crackdown on people evading taxes on imports of tobacco-derived e-cigarette products by claiming the nicotine is synthetic, according to South Korea’s customs agency.
The Korea Customs Service said it had developed a high-precision analysis method to identify whether the nicotine contained in an e-liquid is extracted from natural tobacco or created in a lab.
This method uses a sample preparation technology called derivatization to increase the detection sensitivity of a specific ingredient contained in tobacco leaves by a factor of 30, according to The Korea Biz Wire.
E-liquids in South Korea that use natural nicotine are classified as cigarettes under tax laws, and are therefore being levied an inland duty of 1,799 won ($1.32) per 1 milliliter.
Synthetic nicotine-based e-liquids, however, that are produced with chemical materials are not classified as tobacco cigarettes but as manufactured goods, and are therefore exempt from cigarette consumption taxes.
Accordingly, there are some cases where e-cigarettes using tobacco-derived nicotine are falsely being reported as synthetic nicotine e-cigarettes to avoid taxes.
November 14, 2022
CDC: Teen Tobacco use Down Over 50% From 2019

Credit: Naypong Studio
The numbers are in and teen tobacco use is dropping. According to government data released last week, an estimated 3.08 million U.S. middle and high school students reported using a tobacco product in the last 30 days in 2022. That figure is down from 4.47 million in 2020 and 6.20 million in 2019.
E-cigarettes were the most commonly used tobacco product among teens for the ninth consecutive year, according to the study published in the U.S. Centers for Disease Control and Prevention (CDC) Morbidity and Mortality Weekly Report.
The survey found cigars to be second most popular with 500,000 reporting use, followed by 440,000 cigarette smokers.
Nearly 31 percent of the students surveyed reported using multiple products, which the CDC called “particularly concerning” as that has been linked to nicotine dependence and sustained use in adulthood, according to Reuters.
Cigarette smoking among U.S. youths has been steadily declining in the last two decades, although the CDC cautioned against comparing the results to previous years due to a change in the method of data collection related to the COVID-19 pandemic.
The study was based on an annual national survey that took place from January to May this year, which showed that nearly 11.3 percent of all students had used a tobacco product in the last 30 days.
November 14, 2022
Elfbar Brings Back the ‘Cigalike’ Disposable Vape
The classic cigalike vape stick is back. Elfbar launched its version of the iconic vape device last month in the UK after it was approved by the sovereign state’s Medicines Healthcare Products Regulatory Agency (MHRA).
The Elfbar Cigalike provides vapers with an estimated 400 puffs, and is designed for heavy smokers looking to quit combustible cigarettes.
“According to the NHS, vaping is one of the best ways to quit smoking,” Victor Xiao, chief executive of Elfbar, said. “Brands and the retail sector have an important role to play in getting this message out there to adult smokers by working closer together.”
A cigalike pen more closely replicates the feel and look of a traditional cigarette. The devices fell out of favor as pod-style devices took over the market during the past few years, according to Better Retailing.
The disposable Elfbar Cigalike pen features a compact design with a diameter of 9mm.
The product also includes an upgraded coil, and is described as a “modern version of the original cigalike vapes with more power, longer lasting battery, and improved taste due to the nic salts and better coils,” according to Better Retailing. The range comes in 20 flavor varieties.
November 14, 2022