The Ministry of Industry and Information Technology of the People’s Republic of China recently publicly solicited opinions on the “Regulations on the Amendment of the ‘Implementation Regulations of the Tobacco Monopoly Law of the People’s Republic of China'”. The opinions put forward that new tobacco products such as e-cigarettes should be implemented in accordance with the “Implementation Regulations” on cigarettes. This move will greatly enhance the effectiveness of e-cigarette supervision, effectively regulate e-cigarette production and operation activities, solve e-cigarette product quality and safety risks, false advertising and other issues, and effectively protect the legitimate rights and interests of consumers.
Different from cigarettes with traditional smoking methods, these e-cigarette products are often exquisitely designed without the process of burning shredded tobacco. The tobacco is heated to about 350 degrees Celsius through a rechargeable heating device to produce smoke containing nicotine and other chemical substances. The user inhales. Merchants often attract consumers with marketing slogans such as “remove tar, no burden on the body”, “no carbon monoxide”, “no heavy metals”, and “replace real smoke”, and prepare a variety of flavors such as original smoke, fruit flavors, and chocolate flavors for such products. It also has a cool and fun appearance.
So why is this seemingly more “cleaner” and “lower-hazard” product about to face the strongest supervision?
- The popularity of electronic cigarettes is growing rapidly in the global market
In recent years, the global e-cigarette industry has developed rapidly. The Euromonitor International report of the International Market Research Center shows that in the seven years from 2011 to 2018, the number of global e-cigarette users has increased by six times. According to data from iiMedia Research, the global e-cigarette industry’s market sales reached 42.4 billion U.S. dollars in 2020, a year-on-year increase of 15.6%.
According to the “Analysis of Global E-cigarette Industry and Market Segment Size and Market Share in 2020” report, the growth rate of the e-cigarette industry is far ahead of cigarettes and other products, and its compound growth rate from 2014 to 2019 reached 24.2%, much higher than The growth rate of cigarettes (3.2%) and other products (5.3%).
- The worries behind the high growth: how to supervise the e-cigarette industry
The rapid growth of the industry has also brought many problems. The quality problems of new tobacco products such as e-cigarettes are frequent, and related disputes continue, which have attracted great attention from the market supervision field and all parties in the society.
(1) The e-cigarette market is growing significantly in China
The e-cigarette industry has shown a development trend that cannot be underestimated globally, and it is also showing an overall upward trend in China. According to data from the professional version of Tianyancha, there are currently more than 47,000 companies in China whose names or business scopes contain “electronic cigarettes and electronic atomizers.” In terms of geographical distribution, Guangdong has the largest number of e-cigarette-related companies, exceeding 11,000. According to previous reports by Jiemian News, 90% of the world’s e-cigarettes are from Bao’an District, Shenzhen, which has become the world’s largest e-cigarette production base, known as the “Global Fog Valley”.
(2) E-cigarettes are not harmless and their long-term health effects are unclear
E-cigarettes seem to be the best low-risk alternative to cigarettes and are very popular in the market, but can e-cigarettes really quit smoking, and is it really harmless to the human body?
The latest report released by the World Health Organization in the “Global Tobacco Epidemic Report 2019” pointed out that the “electronic nicotine delivery system” still poses health risks to smokers and those around them. E-cigarettes are not just “water vapor” as claimed by some manufacturers. They not only contain nicotine, but also other harmful substances. The long-term effects on health are still unclear. Moreover, there is insufficient evidence that such products can help people quit traditional cigarettes.
According to iiMedia Research data, more than half of users believe that e-cigarettes can relieve their dependence on nicotine and smoke, but 39.3% of Internet users still have doubts about the quality of e-cigarette products.
As the development of the e-cigarette industry is still immature, there is a lack of companies with outstanding comprehensive strength in the market, and a brand with a good reputation has not been formed, and consumers still lack confidence in the quality of products. The strengthening of supervision will contribute to the benignness of the industry. development of.
(3) Most of the e-cigarette population is male
According to the “E-cigarette use among Chinese adults: 2015-2016 and 2018-2019 multiple horizontal survey results” released by the China Centers for Disease Control and Prevention, the use rate of e-cigarettes among Chinese adults rose from 1.3% to 1.6 from 2015 to 2019. %, male users account for about 97%.
At the same time, the proportion of young people exposed to e-cigarettes is also increasing. The results of the Chinese Center for Disease Control and Prevention’s 2019 Chinese Middle School Student Tobacco Survey show that in the past five years, the proportion of Chinese middle school students who have heard of e-cigarettes and now use e-cigarettes has increased significantly. At the beginning of 2019, the proportion of middle school students who had heard of e-cigarettes was 69.9%, and the use rate of e-cigarettes was 2.7%, an increase of 24.9 and 1.5 percentage points respectively compared with 2014.
(4) The harm of e-cigarettes has not yet reached a global consensus
In the “Global Tobacco Epidemic Report 2019”, the World Health Organization called on governments and consumers not to trust tobacco companies’ propaganda on e-cigarettes and other products. The report pointed out that the world has not yet reached an agreement on the harm of “heat-not-burn tobacco products”, and some manufacturers have used this to mislead consumers and evade current regulations. It suggested that “heat not burn tobacco products” should be regulated as tobacco products, and consider including “electronic nicotine delivery systems” into this type of regulation.
At present, different countries have different regulatory ideas and attitudes towards e-cigarette sales. For example, the United States, Germany, the United Kingdom and other countries all have strict supervision on e-cigarettes, and countries such as Saudi Arabia prohibit the sale of e-cigarettes.
(5) China’s supervision in the field of e-cigarettes is gradually strengthening
According to the risk data of the professional version of Tianyancha, nearly 3,900 of China’s e-cigarette-related companies have experienced business abnormalities, nearly 800 have been subject to administrative penalties, and more than 50 have committed serious violations. In 2020, there will be more than 1,000 pieces of information on persons subject to the execution of e-cigarette-related companies.
Prior to this, China’s policy and supervision of e-cigarettes have always been the “Sword of Damocles” hanging over the e-cigarette industry. From 2018 to 2020, China has gradually introduced relevant policies for e-cigarettes, especially enhanced protection for minors who are prone to fall into the temptation trap, and began to prohibit online sales, and the regulatory measures for e-cigarettes are gradually being strengthened.
In the future, the e-cigarette market will exist for a long time. The continuously strengthened regulatory policies will also put forward higher requirements for e-cigarette products. Enterprises need to continuously strengthen the research and development of compliant and reliable products. Consumers must also have a correct understanding of the products and health awareness. Both parties work together to create a healthy social environment for the e-cigarette industry.
Source: Xinhuanet