E-cigarette stores sell more than 10,000 boxes of cigarette bombs a day: crazy hoarding before the user ban takes effect

Blue Hole New Consumer reported that on March 22, according to foreign news, China's e-cigarette users have recently been hoarding flavored e-cigarette products to wait for the seasoning ban that will take effect after May 1.

A staff member at a Yueke store in Shanghai said that since the announcement of the ban, his store has found an increase in demand for flavored cigarette bombs, with grape and cola-flavored varieties selling out almost immediately.

While many Shanghai residents were buying groceries and other necessities, fearing a sudden lockdown of the coronavirus community, e-cigarette user Wu hoarded what he thought was more important on Thursday afternoon: grape-flavored e-cigarette bombs.

Wu, who only revealed his surname for privacy reasons, told the media that he did not want to take any risks until China's new e-cigarette regulations took effect on May 1. Last week, the National Tobacco Monopoly Administration announced the news that it will ban the sale of flavored e-cigarettes other than tobacco flavors, as well as e-cigarettes that users can add their own atomized substances.

Industry insiders said that the new regulations will mark the domestic e-cigarette industry into an era of strong supervision, and strengthen the supervision of products that have been popular among smokers in recent years. The new rules unify the rules for the sale of e-cigarettes and other new tobacco products with those for ordinary cigarettes, requiring manufacturers and sellers to obtain licenses.

Although Wu read about the rule earlier last week, the 30-something said he was isolated in his apartment due to a surge in coronavirus cases in the city and could not leave the house until Thursday. When he arrived at the regular store of Yueke, the country's leading e-cigarette brand in Huangpu District, the grape-flavored smoke bomb was already sold out.

"I knew they might run out of stock, but I didn't expect it to be so fast." Wu said, and then quickly ventured to other shops.

In recent years, e-cigarettes have become an alternative to young smokers, with many claiming that e-cigarettes are less harmful than smoking — despite growing evidence that it also poses health risks.

Wu said he switched cigarettes to an e-cigarette three years ago because he thought it was less harmful and more convenient to smoke indoors.

The popularity of young users and the idea that e-cigarettes are less toxic than cigarettes have made e-cigarettes a lucrative industry at home and abroad. China is now the world's largest producer of e-cigarettes, with Shenzhen, a major manufacturing hub in the south, accounting for about 90% of the global market share.

According to the Prospective Industry Research Institute, a market research institute, China currently has more than 1,500 e-cigarette manufacturers and brand enterprises, more than 100,000 e-cigarette supply chain and related service enterprises, and provides employment opportunities for nearly 5.5 million people. In 2021, domestic e-cigarette sales totaled about 19.7 billion yuan (US$3 billion), an annual increase of 36%.

But the growth in demand and supply of e-cigarettes has also drawn close attention from regulators, whose task is to curb e-cigarettes in the country. Drastic measures have been taken in recent years to tighten controls on the industry. These include banning the sale of e-cigarettes online, fining stores that don't show anti-smoking warnings, and penalties for selling products to minors, and some cities even banning the use of e-cigarettes in public places.

Other governments around the world have also been taking steps to curb the use of e-cigarettes by young users, with the United States banning the sale of flavored e-cigarettes in 2020. However, a 2021 study from the Yale School of Public Health found that the regulation could have the opposite effect, as it could turn teens to traditional cigarettes.

At the same time, before the new regulations came into effect, Chinese users had already poured into e-cigarette stores.

A staff member of Shanghai Yueke told that since the government's announcement, they have seen an increase in demand for flavored smoke bombs, and grape and cola-flavored varieties are sold out almost immediately. Amid soaring demand, the store raised product prices, though the company said they wouldn't ask for it.

"On March 11, the first day the details of the new rules were released, we sold more than 10,000 boxes of flavored cigarette cartridges." Staff said, adding that each box contained three cigarette bombs.

But for Wu, the search for this favorite flavored e-cigarette continues. When he went to another store, he said he wouldn't consider buying tobacco flavor.

"It tastes disgusting." He said. "When I run out of flavored cartridges, I might consider switching to traditional cigarettes."

On March 11, the State Tobacco Monopoly Administration announced the final Administrative Measures for Electronic Cigarettes, which includes a ban on the sale of non-smoky e-cigarettes in China. The rule is scheduled to take effect on May 1.

The move was welcomed by anti-e-cigarette groups, such as the Smoke-Free Kids Campaign, which said the rule would help prevent children from becoming smokers.

"According to the World Health Organization, children who use e-cigarettes are more than twice as likely to use cigarettes in the future." Yolonda Richardson, executive vice president of smoke-free children's sports, said in a statement. "China's new policy is the right move to protect Chinese children from these addictive products."

The flavor ban is part of a long list of new requirements for the e-cigarette business. The new regulations also prohibit refillable products and synthetic nicotine, while limiting the concentration of e-cigarette oil to 20 mg/ml.

Manufacturers, wholesalers and Chinese retailers will be required to conduct all operations on a unified national e-cigarette trading management platform, and exports will be limited to e-cigarette products permitted in the destination country.

The new rules will force e-cigarette sellers like RELX to sell rival brands in their Chinese stores — something they don't currently do.

According to the Global Times, the domestic e-cigarette market has grown at an annual rate of 70% since 2013, worth about $1.3 billion. China exports $15.6 billion worth of e-cigarette products each year.