Tag: news

  • Brazil Agency Upholds Ban on Vaping Product Sales

    Brazil Agency Upholds Ban on Vaping Product Sales

    Credit: Dragon Claws

    The board of directors for the Brazilian Health Surveillance Agency (Anvisa) voted unanimously on April 19 to maintain a ban on the sale of e-cigarettes and other vaping products.

    Manufacturing, selling, importing, and advertising vapes has been banned in the country since 2009, but e-cigarettes are easily found in small shops and online stores across Brazil. And consumption, especially among young people, is on the rise.

    According to a survey by the Brazilian Institute of Geography and Statistics (IBGE), a federal government agency that gathers population data, 16.8 percent of students aged 13 to 17 said they had tried vaping at least once, according to media reports.

    Also, data from Covitel, which carries out surveys related to health matters, reveal that 4 million people have already used electronic cigarettes in Brazil, even though sales have not been authorized for 15 years.

    In 2022, Anvisa approved a technical report that indicated the need to maintain the ban and adopt additional measures to curb irregular e-cigarette sales, including more inspections and educational campaigns about the harms of vaping.

    The agency discussed the case again last week after a public consultation to hear contributions from experts, vape manufacturers, and consumers. Once more, Anvisa took a stance against the sale of vapes and based the decision on four main points.

  • Kazakhstan President Signs Bill Banning Vaping

    Kazakhstan President Signs Bill Banning Vaping

    Credit: Zero Photo

    Kazakhstan’s President Kassym-Jomart Tokayev signed a bill on April 19 that bans the sale and distribution of vaping products, according to the Akorda press service.

    “The law establishes a ban on the sale and distribution of non-smoking tobacco products, vapes, flavors and liquids for them, as well as their advertising,” according to the Akorda.

    Punishment for sale and distribution ranges from fines to arrest. The law will come into force 60 days after publication, according to media reports.

    Astana Akimat (administration) and Kazakh athletes launched a campaign to encourage residents to exchange electronic cigarettes for sports equipment.

    “We want to teach young people through this campaign the importance of engaging in sports and maintaining good health. Together we want to guide them on the right path. We hope that our campaign will motivate many people,” said Kyokushinkan karate athlete Alikhan Asubayev.

    Vaping products collected during the campaign will be disposed of at a specialized plant.

  • Royal College of Physicians Releases New E-cig Report

    Royal College of Physicians Releases New E-cig Report

    Photo: Balint Radu

    E-cigarettes represent a valuable aid in smoking cessation, but more can and should be done to reduce their appeal, availability and affordability to nonsmokers, and reduce environmental harms, according to a new report by the Royal College of Physicians (RCP) in the United Kingdom.

    The results are summarized in over 50 recommendations, which explore trends in combustible tobacco use and vaping products, the differences in health effects of vaping in people who smoke, vape or do neither, ethical dilemmas presented by e-cigarette, environmental damage, and the role of the tobacco industry in the rising use of e-cigarettes.

    The RCP report concludes that:

    • since the 2016 RCP report the evidence of the effectiveness of e-cigarettes as an aid to quitting has become much stronger
    • use of e-cigarettes by young people and nonsmokers has increased substantially in recent years
    • prompt remedial measures are needed to curb youth vaping without undermining use by adult smokers as an aid to quitting
    • the government should commission a series of regular evidence updates on the use and effects of nicotine products to guide policy.

    Regarding the effectiveness of e-cigarettes as a cessation tool, researchers emphasize e-cigarettes should be promoted as an effective means of helping smokers to quit smoking tobacco, particularly focusing on those population groups that could benefit the most, such as patients with mental disorders or those who experience socioeconomic disadvantage and people living in social housing.

    Regarding potential health side effects resulting from vaping product use, researchers carried out a review of biomarkers of exposure to and harm from e-cigarettes using data published between 2021 and 2023 comparing people who vape, people who smoke, people who do both (dual use), and people who do neither.

    Although lower levels of harmful substances were found in vapers compared to smokers for many of the biomarkers analyzed, researchers conclude agreement needs to be reached on the methods for vaping health risks research, including which biomarkers are the most relevant to study regarding the relative and absolute risks of vaping, to draw accurate conclusions. Studies with larger samples are needed both on vapers with a history of smoking and on vapers who have never smoked.

    The RCP report insists on finding a balance between preventing these categories from accessing vaping while not demonizing such products in the eyes of those who use them to quit smoking.

    Regarding youth addiction specifically, RCP researchers concluded that standardized plain packaging combined with reduced flavor and brand descriptions together with retail display bans should be introduced to decrease youth interest in trying vaping.

    E-cigarette price and taxation strategies should reduce the affordability of the cheapest products most commonly used by youth vapers (i.e. disposable e-cigarettes), while ensuring that the products most likely to be used by adults who smoke/quitters (i.e. rechargeable and refillable products), which are also less damaging to the environment, remain affordable.

    The report also proposed to increase prices through the introduction of a consumption tax and a minimum unit price, prohibiting multiple purchases but ensuring that they remain a less expensive option for adults who use them to quit smoking, and limiting promotional materials in retail stores and product visibility, and restricting promotion on social media.

    The authors of the report also urge regulators to prevent cigarette manufacturers from playing a role in the development of national policies.

  • Insider Info Allegations Lead Chill Brands to Suspend CEO

    Insider Info Allegations Lead Chill Brands to Suspend CEO

    The UK-based vape maker Chill Brands said on Monday that Callum Sommerton had been suspended as its CEO after allegations were raised around the company’s use of inside information.

    The company said law firm Fieldfisher had been appointed to investigate the allegations, but it added that Sommerton’s suspension did not imply that he was guilty of misconduct.

    Chill Brands’ share price plunged as much as 31 percent in Monday morning trading after the announcement, according to media reports.

    “This suspension does not constitute disciplinary action or a disciplinary penalty and does not imply any assumption that Mr Sommerton is guilty of any misconduct or that any decision has been made,” Chill Brands stated in a release.

    The company added that it will engage with the Financial Conduct Authority over the investigation, and the findings will be reported “in due course.”

  • Elfbar ‘Equipped to Pivot’ Around UK Disposable Ban

    Elfbar ‘Equipped to Pivot’ Around UK Disposable Ban

    Credit: Profit Image

    The company behind two of the UK’s most popular vape brands says new reusable versions leave it “well-equipped” to deal with the upcoming ban on disposables, despite concerns over producers exploiting “loopholes.”

    Elfbar and Lost Mary have already launched reusable versions of their popular disposable vapes.

    Elfbar said it was “addressing demand” for a tool to help smokers quit.

    But critics say the vapes will not achieve the ban’s environmental aims, reports the BBC.

    Councils have also warned that the UK government should not let producers exploit “loopholes” in the ban.

    Green Fun Alliance is one of the main distributors in the UK of Elfbar and Lost Mary, which account for nearly half of the British market.

    It is owned by low-profile Chinese entrepreneur Shengwei Zhang, 51, who also controls the companies that make Elfbar and Lost Mary vapes.

    The latest accounts for Green Fun Alliance show that its sales have skyrocketed as disposable vapes gained popularity—almost tripling to £117.3m for the year ending January 31, 2023.

    In a filing with Companies House, Green Fun Alliance noted the government’s plans to ban them from next April “will have a detrimental effect on sales and profitability.”

    “However, management have been preparing for this and are well equipped to pivot their business to the exclusive sale of non-disposable vapes and related products,” it said.

  • Vaping in Malaysia: Taxes Likely Coming Soon

    Vaping in Malaysia: Taxes Likely Coming Soon

    It remains to be seen whether Malaysia will remain as tolerant of vaping as it is today.

    By Norm Bour

    Over the past four months, I have been in four different Asian countries. Each has its own currency, language, food and culture. They also all have their own vape markets, which differ based on regulations, cost of purchase (compared to income) and, in many cases, religious restrictions.

    In Malaysia, my current homestay, the dominant religion is Islam, and I have seen more women wearing hajibs than in previously visited countries. What is fascinating is the exceptionally high number of young female vapers walking in the malls and on the streets. In a country so devout, I asked a vape shop clerks how religious leaders feel about vaping, especially among women.

    “Cigarette and tobacco usage is very high within the Muslim community,” said one of the counter girls from Vape VG, which is located in a mall. “And even though most of us realize it’s an unhealthy habit, there is no opinion on it from our religious leaders.” She did not address the female perspective.

    When I followed up and asked her which were the most popular products, she said (as many shopkeepers globally do), “flavors of all kinds, especially fruity [ones].”

    I asked a group of several female vapers if they felt out of place or self-conscious about vaping in public or even in private. They said they had no problem doing it on the streets, but some felt uncomfortable doing it in their parents’ presence—even if their parents smoked.

    Regardless, there is still a strong motivation in the country to increase tobacco taxation. In its February 2024 budget meeting, the government proposed to impose an excise duty on liquids or gels containing nicotine used for e-cigarettes or vaping devices—but that is as far as it got.

    And Malaysia’s current excise duty on e-cigs and liquids with nicotine applies to just a few manufacturers. Meanwhile, the taxation on traditional cigarettes has not changed since 2017.

    So far, the vape market in Malaysia is prolific and in the open. You don’t need to go very far to find a vape shop. Ironically, we saw more vape shops than tobacco stores, as my wife had difficulty finding the clove cigarettes she enjoys sometimes. The vape stores range from tiny kiosks, like Action Vape, within the walkways connecting buildings to small units of just a few square feet to the larger outlets, like Brain Freeze Vape, which claims to be the largest in the country.

    With a population of just under 2 million, Malaysia’s capital, Kuala Lumpur, provides valuable insights into the country’s vaping market.

    Considering that vaping is banned in neighboring Thailand, Singapore and Brunei, plus nearby Cambodia and Laos, it’s refreshing to see an open market. One shop owner confirmed that his store gets a lot of tourists from abroad, especially from countries where vaping is outlawed.

    Malaysia, too, came close to banning vapes under its “Generational Endgame” bill. Proposed in 2022, this legislation would have prohibited anyone born in 2007 or later from buying and using cigarettes or vaping products in Malaysia, in effect gradually raising the legal age until it covered the entire population. The bill never passed, however; it was abandoned in November 2023, officially due to concerns about its constitutionality. Critics, however, blamed the U-turn on industry lobbying.

    With that said, Malaysia still restricts underage sales. The law prohibits sales to those under the age of 18, but loopholes make that restriction toothless, according to critics. Health advocates complain that leading tobacco companies such Philip Morris International, BAT and Japan Tobacco International wield considerable influence in Malaysia.

    Last year, the government exempted liquid nicotine and gels from its Poisons Act, effectively legalizing vaping as of last April. The move angered many people. Currently, the Control of Smoking Products for Public Health Bill 2023 prohibits the advertising and sponsorship of e-cigarettes or vape products.

    Many businesses see potential in the Malaysian vaping market. At the end of March, Airscream U.K. announced plans to invest myr100 million ($21.12 million) in its operations over the next five years and move its headquarters to Malaysia, according to media reports. The company has already established administrative, sales and marketing operations and a showroom in Shah Alam. It has close to 40 employees locally and 100 globally.

    Airscream founder and CEO Sam Ong cited a robust market and vaping industry ecosystem as reasons for the company’s decision. Over the past decade, Malaysia’s vaping industry has grown into a myr3 billion business, employing more than 30,000 Malaysians, according to the Malaysian Vape Chamber of Commerce.

    Ong believes the market is poised for further growth, potentially driving more foreign direct investments into the country and bolstering job creation. “We are also encouraged by the passing of the Control of Smoking Products for Public Health Bill 2023, which brings Malaysia on par with other countries around the world, including the U.K., Australia, Thailand and Singapore, which have standalone legislation on tobacco and vape,” Ong said.

    Additionally, China-based Ispire Technology received ISO9001: 2015 Quality Management System, ISO14001: 2015 Environmental Management System and ISO13485: 2016 Quality Management System Medical Device certifications for its 31,000-square-foot manufacturing facility in Malaysia earlier this year. Company leadership announced previously that Malaysia offers more business-friendly tariff rules than some other Asian countries.

    “Earning three ISO certifications at our Malaysian manufacturing facility is a testament to our team’s ability to quickly bring the facility up to some of the highest standards in the industry, allowing us to expand our gross margins, geopolitically de-risk our production and service other businesses who need manufacturing for their vape hardware,” said Ispire’s Co-CEO, Michael Wang. “As the facility ramps up production, our gross margin is expected to increase due to the lack of a tariff when assembling products in Malaysia and then shipping them to the U.S.

    “This is in contrast to the 25 percent tariff incurred when shipping finished products from China.”

    The vaping and smoking trends in Malaysia seem contrary to those in many other countries. E-cigarette use among Malaysian youths aged 13–17 rose from 9.8 percent in 2017 to 14.9 percent in 2022, according to the National Health and Morbidity Survey. During the same period, cigarette smoking rates dropped from 13.8 percent to 6.2 percent.

    With organizations such as the Southeast Asia Tobacco Control Alliance pressuring countries in the region to crack down on vaping, it remains to be seen whether Malaysia will remain as tolerant of vaping as it is today.

    Norm Bour is the founder of VapeMentors and works with vape businesses worldwide. He can be reached at norm@VapeMentors.com.

  • County Judge Halts Ohio Ban on Local Tobacco Laws

    County Judge Halts Ohio Ban on Local Tobacco Laws

    Credit: Promesa Art Studio

    A county judge in Ohio issued a temporary restraining order late Friday afternoon, stopping a state law from taking effect next week that would prevent Columbus, several Franklin County suburbs, Cincinnati, and other Ohio cities from regulating tobacco products, including enacting flavor bans.

    The ruling means the local cities’ bans on selling flavored vaping and other tobacco products will remain in effect for now, according to media reports. However, the move indicates that Franklin County Common Pleas Judge Mark Serrott believes the cities’ case will likely succeed.

    Serrott scheduled a preliminary injunction hearing in the case for May 17.

    Columbus, Cincinnati, and several other Ohio cities filed a lawsuit Tuesday challenging the law created by the Republican-controlled Ohio General Assembly. The cities argue the legislature violated an Ohio constitutional amendment giving cities “home rule” to set their own laws for the good of their residents on certain matters, including on issues of public safety.

    The cities argue the new Ohio law allowing flavored tobacco sales negatively affects the health of Ohioans, particularly of teens increasingly turning to vaping.

    Serrott also noted that while one state law prohibits municipalities from regulating tobacco, another requires a plan to reduce tobacco use by Ohioans. That code emphasizes reducing the use of tobacco by “youth, minority and regional populations, pregnant women, Medicaid recipients, and others who may be disproportionately affected by the use of tobacco.”

    In granting the restraining order, Serrott concluded the cities’ challenge to the constitutionality of the state law is likely to succeed ultimately — although he also acknowledged the state is expected to appeal his final ruling.

  • Vape Shop Owners Vow to Challenge Utah Flavor Ban

    Vape Shop Owners Vow to Challenge Utah Flavor Ban

    Credit: Jovannig

    A new Utah law that will prohibit the sale of flavored e-cigarettes has supporters of the law arguing that flavored e-cigarettes are making children addicted to nicotine. However, implementing the law won’t only have a severe impact on Utah’s almost 200 vape shops; it will devastate them, according to an industry representative who has expressed their intention to challenge the law in court.

    The sponsor of that law, pediatrician and Salt Lake Democratic Sen. Jen Plumb, said she has seen kids in the emergency room going through withdrawal because they can’t vape in the hospital and friends whose children are anxious about going without their nicotine on long flights, according to media reports.

    Plumb’s bill, signed into law last month by Gov. Spencer Cox, goes further than just banning flavors — aside from tobacco or menthol. It also bans the sale of any vape product with a nicotine concentration above 4 percent. And it only allows the sale of products that have either been approved by the U.S. Food and Drug Administration or have submitted an application for approval prior to September 2020.

    Nobody knows how many products will have to be removed from shelves. To date, there are only 17 FDA-approved products from three manufacturers that meet the criteria, and an FDA spokeswoman said they don’t know how many pre-2020 applications are still pending.

    According to Beau Maxon, vice president of the Utah Vapor Business Association and owner of Park City Vapor Company, one thing is certain: It will be a death sentence for many vape shop owners.

    “There’s no question about it,” Maxon said in an interview, “it is going to put the retail tobacco specialty industry in jeopardy and you’re going to see a lot of them not able to stay open.”

    That’s because in a vape shop like his, Maxon said, 99.9 percent of the products they sell are flavored — not because they’re targeting kids, but because it’s what his adult customers want.

    Without other options, shop owners will challenge the law in court over the businesses that will be forced to close, the creation of a monopoly for convenience stores and Big Tobacco products, and potentially other grounds.

    “There’s no question about it,” Maxon said. “We will be litigating it.”

  • Vietnam to Regulate Vape, H-n-B as Tobacco Products

    Vietnam to Regulate Vape, H-n-B as Tobacco Products

    Credit: Serenity H

    Several government agencies have confirmed that Vietnam will regulate e-cigarettes and heated tobacco products (heat-not-burn) the same as traditional tobacco products under the country’s Law on Prevention and Control of Harmful Effects of Tobacco, which has been in effect since 2012.

    The Ministry of Industry and Trade has been assigned the task of presiding and coordinating with ministries and ministerial-level agencies to develop appropriate regulations to manage these products.

    To effectively manage tobacco products, the parties are analyzing the Law on Prevention and Control of Harmful Effects of Tobacco to evaluate its correlation with each type of product, specifically electronic and heated cigarettes, according to media reports.

    The law’s Article 2.1 states: “Tobacco is a product produced from all or part of tobacco ingredients, processed in the form of cigarettes, cigars, tobacco, pipe tobacco or other forms.”

    Article 2.3 adds: “Tobacco raw materials are tobacco leaves in loose form, sheets that have been pre-processed and separated from stems, tobacco fibers, tobacco stems and other substitute materials used to produce cigarettes.”

    Thus, the law stipulates that only the ingredients of a product should be considered to determine it as a “cigarette,” not the production process or usage of different types of products, whether cigarettes, cigars, pipe tobacco, or other forms such as heated tobacco.

    Thus, heated tobacco and e-cigarettes fall under the scope of the Law on Prevention and Control of Harmful Effects of Tobacco, similar to cigarettes, cigars and pipe tobacco. Essentially, if it contains nicotine it is a tobacco product.

    In a seminar on new types of cigarettes, Le Dai Hai, vice director of civil and economic law department (Ministry of Justice) said: “For heated tobacco, we confirmed that it is a tobacco product because it is made from tobacco ingredients, then inserted into the device for smoking.”

  • U.S. Market Poised for Disruption With IQOS Debut

    U.S. Market Poised for Disruption With IQOS Debut

    Photo: vfhnb12

    The American tobacco market is poised for disruption as Altria Group’s exclusive U.S. distribution rights to Philip Morris International’s IQOS heat-not-burn product expires on April 30, reports The Wall Street Journal. After this date, PMI will be free to compete in the U.S. with its top noncigarette brand.

    PMI hopes IQOS can help it grab a 10 percent share of the lucrative U.S. cigarette and heated-tobacco market by roughly 2030, representing an additional $2.2 billion in annual earnings before interest, taxes, depreciation and amortization, according to Stifel analysts.

    Altria, with its 50 percent share of the American cigarette market, has a lot to lose if PMI can persuade more smokers to switch to noncombustible alternatives.

    In recent years, U.S. smokers have become more receptive to alternative nicotine delivery methods. Last year, 40 percent of all nicotine products sold in the U.S. were smoke-free offerings such as e-cigarettes and oral nicotine pouches. The share of traditional cigarettes, meanwhile, declined to 60 percent last year from 80 percent in 2018.

    If the trend continues, Americans will be more likely to reach for a vape or nicotine pouch than a cigarette within three years.

    Already earning some 40 percent of its net revenue from smoke-free products, PMI needs not worry about the dwindling number of U.S. smokers because it doesn’t sell cigarettes in America.

    Altria, by contrast, still relies heavily on combustible cigarettes, which currently account for 85 percent of its sales. Its comparatively low exposure to the smokefree market includes brands such as On! oral nicotine pouches and Njoy e-cigarettes. The company also has a joint venture with Japan Tobacco to launch Ploom heated tobacco sticks in the U.S. and is working on its own heat-not-burn brand.

    A badly timed bet on Juul Labs saddled the company with a $12.5 billion loss.

    On the flipside, Altria has a strong U.S. distribution network, which it can leverage to promote its brands—a considerable advantage as the point of sale is one of the few places where tobacco companies are still allowed to advertise their products.

    Altria can also harness data to defend its patch. The tobacco giant is integrated into many retailers’ loyalty programs, allowing it to monitor what shoppers are buying.