The impact of illegal vapes on the Chinese vape market in the United States
The vapeindustry is booming, and China has become one of the major manufacturers and exporters of vape. However, the rise of illegal vape has raised concerns about their impact on the Chinese vapemarket, especially in the US market. This article will explore the impact of illegal vape on the Chinese vapemarket in the United States.
Illegal vape refer to unauthorized or illegal production and sales of counterfeit or uncertified vape products, according to the BBC (BBC), the latest test found that illegal vape have serious heavy metals and formaldehyde excessive problems, not only damage brain development, but also induce a variety of blood diseases and cancer. Regulated, legal vape do not have this problem.
The test was conducted by Inter Scientific, an independent scientific laboratory in the UK, and collected a total of 18 “three noes” products that were marketed without regulatory approval. The results showed that the content of heavy metals in these products generally exceeded the standard, and the content of carcinogens lead, nickel and chromium were 2.4 times, 6.6 times and 9.6 times of the safety standard, respectively. Illegal vape can release up to 10 times the permissible level of formaldehyde.
In fact, the regulatory policies of many countries have extremely detailed regulations on the heavy metal content of vape, as long as it is a legal product, there is no problem of exceeding the standard. But because they do not know the relevant standards, some smokers always choose illegal products without discrimination.
“There are many benefits for smokers to switch to vape, but only if they choose a legal product.” Helen Stokes-Lampard, president of the Royal College of Physicians.
The emergence of illegal vape has an impact on Chinese vape in the US market mainly in the following aspects:
- To damage China’s national image.
The popularity and sale of illegal vape has brought an improper business image to China. Since illegal vape are regarded as a new tobacco product, their sale and use do not comply with the regulations of the Chinese government, which raises questions about the standardization and legitimacy of China’s business environment.
Second, the prevalence of illegal vape has also affected the public health image of the Chinese government. Making many of the public concerned about the safety and long-term effects of vape. Such concerns have put pressure on the Chinese government to control and manage vape, and have also affected China’s image in public health.
- Affect vapesales in China. According to the Report on User Characteristics and Public Health Impact in China (2023) released by the research team of the School of Public Health of Shanghai Jiao Tong University, illegal vapehave excessive heavy metals and the use of illegal additives, which pose a serious threat to the sales of China’s vapein the US market. The failure of these illegal vapeproducts to be recognized in the US market will directly affect the overall sales volume of Chinese vapebrands. These unauthorized products are often sold at lower prices, attracting price-sensitive consumers. The existence of cheap counterfeit alternatives shifts market share from legitimate Chinese vapemanufacturers,
Damage to the reputation of Chinese vapebrands. The existence of illegal vape risks damaging Chinese vapebrands. Although Chinese vapecompanies mostly use OEM / ODM model for international brands, accumulated technology and supply chain experience, which will help to build their own brands, users of illegal vape will think that there are quality problems in Chinese vapebrands, which will damage the brand reputation of Chinese vape in the US market.
The existence of illegal vape has tainted the reputation of the entire vapeindustry, including legitimate Chinese manufacturers. Reports of counterfeit products, safety issues, and negative incidents related to illegal vape undermine consumer trust in the industry as a whole
- Increase the risk of China’s vapepolicy. The proliferation of illegal vapewill cause US policymakers to impose stricter regulations on the Chinese vapeindustry, which may adversely affect the development of Chinese vapein the US market.
The presence of illegal vape has intensified regulatory scrutiny of the entire vapeindustry. Governments and regulators tend to strengthen regulations and enforcement measures to address the risks posed by counterfeit and unauthorized products. Increased regulatory oversight could place additional compliance burdens on Chinese vapemanufacturers and impact their ability to effectively operate in the U.S. market.
- Consumer trust crisis:
Illegal vape pose significant health risks to consumers due to their unregulated nature. These products lack quality control and unknown ingredients, increasing the likelihood of adverse health effects. Safety issues or health complications associated with illegal vape have further damaged consumer confidence and led to a more skeptical attitude toward the entire Chinese vapemarket.
Illegal vape have had a significant impact on the Chinese vapemarket in the United States. Illegal vape products are mixed, product quality and safety can not be guaranteed, and there are tax, trade and other problems, which may become one of the focuses of Sino-US economic and trade frictions.
