China Recognises Need For Compliance

China has benefitted from more than a decade of growth in the vape market. Chinese firms have obtained more than 70% of the world’s atomisation-related patents and are now responsible for over 90% of the world’s vape production capacity.

According to customs statistics, China’s total exports of e-cigarette products reached US$11 billion in 2023, with exports increasing by 12.5% year-on-year. However, data disclosed in the annual reports of listed companies, suggests that this growth rate may not be sustainable, and the industry may face more intense challenges and uncertainties in the future.

The discussion, which also involved Ao Weinuo, the Secretary-General of the Electronic Cigarette Professional Committee of the China Electronics Chamber of Commerce (ECCC), centred on how China’s vape industry can cope with the challenges ahead while continuing to innovate and meet consumer demand.

Mr Everest said technology and innovation would continue to be the main drivers of the industry as they bring together knowledge from diverse fields including industrial design, thermodynamics, chemistry, biology, electronic engineering, materials science, and clinical medicine.

He said: “Only by further improving technology, increasing basic research, and enhancing innovation can companies’ product and brand power keep pace with market demand.

“Currently, the global e-cigarette market is rapidly developing towards intelligence, portability and diversification. Major e-cigarette brands continue to innovate in product design and are committed to developing products that are smaller, more portable, have excellent performance and are of higher quality.

“At the same time, as global environmental awareness increases, many manufacturers have begun to deploy pod systems and focus on developing environmentally-friendly and recyclable solutions such as removable battery designs.”

Mr. Everest added: “Consumers are becoming more mature, rational, professional, and diversified. Avoiding homogeneity and establishing differentiated and unique competitive advantages are what all Chinese brands should do.

“To comply with regulatory policies, we should establish the concept that ‘compliance is the bottom line of business’ because it is a risk when not handled well but an opportunity when taken seriously.

“Business operators must always put compliance at the forefront of all considerations because only by doing so can the industry be made better. It is essential to ensure the quality and safety of products to protect the health of consumers and reduce health risks caused by the use of non-compliant products.

“By complying with regulations, companies can avoid unfair competition and market monopoly and promote the healthy development of the entire industry. Compliance operations require companies to continuously develop and produce products that comply with regulations, which helps promote technological innovation and development.

“Compliance operations require companies to strengthen the protection of minors, ensure that products do not contain elements that attract minors, strengthen supervision of product sales and actively protect the health and future of the next generation.”

Mr Everest said ICCPP would put ‘compliance first, technological innovation first, and consumers first’ and called for all manufacturers to work together to raise standards throughout the industry.

Photo Credit:

• Photo by Christian Lue on Unsplash, cropped and resized

Dave Cross

Journalist at POTV

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Dave is a freelance writer; with articles on music, motorbikes, football, pop-science, vaping and tobacco harm reduction in Sounds, Melody Maker, UBG, AWoL, Bike, When Saturday Comes, Vape News Magazine, and syndicated across the Johnston Press group. He was published in an anthology of “Greatest Football Writing”, but still believes this was a mistake. Dave contributes sketches to comedy shows and used to co-host a radio sketch show. He’s worked with numerous start-ups to develop content for their websites.