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Tag: crackdown

  • Indonesia Looking to Crack Down on Illegal Cigarette Trade

    Indonesia Looking to Crack Down on Illegal Cigarette Trade

    Indonesia’s Finance Minister Purbaya Yudhi Sadewa pledged a crackdown on the country’s illegal cigarette trade, warning that anyone involved—including officials inside Customs or the Finance Ministry—will face consequences. Speaking at a budget briefing in Jakarta today (September 22), he vowed to conduct random checks on distribution channels and ordered e-commerce platforms to block illicit product listings, adding: “Spread the word: wherever illegal cigarettes are being sold, I will come.”

    The announcement comes as Indonesia enforces new 2025 tobacco excise rules. While excise tax rates remain unchanged, the government raised minimum retail prices across categories to deter smuggling and under-the-counter sales. Excise duties range from Rp 1,231 ($0.08) per stick for premium machine-made kretek to Rp 223 ($0.013) per stick for lower-tier hand-rolled kretek, with e-cigarettes taxed up to Rp 6,776 ($4.07) per milliliter. Despite these measures, around 22 billion sticks of illicit cigarettes were sold in 2023, costing the state Rp 15 trillion ($940 million) in lost revenue.

  • Singapore Tightens Border, Seizes 850 Vapes in 5 Days

    Singapore Tightens Border, Seizes 850 Vapes in 5 Days

    Last week, Singapore announced its crackdown on smuggling and that it would treat vape crimes as drug offenses beginning on August 18. In the first five days of that initiative, Singapore’s Immigration and Checkpoints Authority seized over 850 e-cigarettes and related products in 184 cases.

    Enhanced checks now cover air, land, and sea entry points, including Changi Airport, the Singapore Cruise Centre, and Harbourfront Ferry Terminal. At Changi, banners warn travelers “Vaping is banned,” with red bins provided for disposal. Passengers who voluntarily declare vapes face no penalties, but those caught concealing them risk fines or prosecution.

    Under Singapore law, the purchase, possession, and use of vapes are strictly prohibited. Offenders face fines up to S$2,000 ($1,480), while those caught importing, distributing, or selling risk up to S$10,000 ($7,400) fines, six months in jail, or both. Repeat offenders can face penalties that are doubled.

  • USPS Blocks National Vape Distributor

    USPS Blocks National Vape Distributor

    Today (August 11), Reuters reported that the U.S. Postal Service has blocked New York-based vape distributor Demand Vape from using its services after evidence showed the company was shipping unregulated e-cigarettes lacking FDA approval and violating local flavor bans. This crackdown, prompted by New York City’s Law Department, targets unregulated vape shipments and further tightens restrictions on the multi-billion-dollar industry. Only 39 vape products currently have FDA authorization, and USPS is reviewing other distributors’ mailing privileges.

    “Unregulated vapes lack the authorization from the U.S. Food and Drug Administration that is required for them to be legally sold in the United States, the world’s largest market for smoking alternatives,” Emma Rumney wrote for Reuters. “USPS revoked Demand Vape’s mailing exception last month after it received evidence the company shipped vapes lacking FDA authorization and that violated a local flavor ban, a letter from USPS to the company, dated July 15, showed.”

    Demand Vape said it complied with relevant laws and was contesting the revocation, adding the industry operates in a “regulatory grey zone” with only a small number of FDA-authorised products that do not meet consumer demand.

    “We reject any characterization that paints Demand Vape as anything other than a transparent, lawful, and reputable business,” it said in a statement.

    USPS did not respond to a request for comment.

  • Ireland’s Crackdown on Vape Sales to Minors Sees Few Consequences

    Ireland’s Crackdown on Vape Sales to Minors Sees Few Consequences

    Nearly 15% of retailers across Ireland have been caught violating laws banning the sale of vapes to children, with only a fraction facing legal consequences, according to new figures from the Health Service Executive (HSE). Enacted in December 2023, the law makes it illegal to sell nicotine-inhaling products to those under 18 years old. Since then, the HSE’s National Environmental Health Service has carried out 699 test-purchase inspections and found 102 to be non-compliant.

    Of the 52 cases of non-compliance recorded in 2024, just 19 resulted in court proceedings to date. Only 12 led to convictions and fines, while six were resolved under the Probation Act, and one was dismissed.

    Social Democrats TD Aidan Farrelly said the low number of prosecutions undermines the law’s credibility: “A law is only as strong as its enforceability. We have to make sure retailers are complying.”

  • Philippines Cracking Down on Illegal Cigarettes, Criminals

    Philippines Cracking Down on Illegal Cigarettes, Criminals

    The Bureau of Internal Revenue (BIR) in the Philippines filed tax evasion charges totaling nearly ₱797 million ($14.3 million) against individuals involved in the large-scale illegal cigarette trade, intensifying its crackdown on illicit tobacco and vape operations. BIR Commissioner Romeo Lumagui Jr. announced that the charges stemmed from two recent raids.

    In Valenzuela City, authorities seized 600 master cases of untaxed cigarettes from a warehouse, with estimated tax liabilities of ₱200.7 million ($3.6 million). The lessee of the facility now faces criminal charges.

    A separate raid in San Rafael, Bulacan, uncovered an illegal cigarette factory allegedly operated by a Chinese national. The BIR recovered 7,884 master cases of illicit cigarettes and manufacturing equipment, worth ₱596.2 million ($10.7 million). The suspect also faces human trafficking charges after 155 workers were rescued from the facility.

    In a third similar bust, the National Bureau of Investigation (NBI) and the Department of Trade and Industry (DTI) arrested five individuals in Sta. Cruz, Manila, for allegedly selling unregistered vape products online. More than 25,000 vape units worth ₱8.16 million ($147,000) were confiscated in the joint operation, following test-buy and surveillance efforts. The suspects face charges for violating trade and consumer protection laws.

  • China Tackles North Korean Cigarette Bootleggers 

    China Tackles North Korean Cigarette Bootleggers 

    Chinese authorities have intensified their crackdown on smuggled North Korean cigarettes, one of Pyongyang’s primary illicit exports, causing the distribution network to shrink dramatically, Daily NK has learned. Although secretly distributed in China for years and popular among local consumers for their value, the contraband cigarettes now face serious challenges as distributors and sellers are being arrested or fined.

    “This month alone, three Chinese dealers handling North Korean cigarettes were arrested for smuggling,” a Daily NK source in North Pyongan province said recently. “Distribution has virtually stopped as Chinese authorities target mail and parcel services in Liaoning and Jilin provinces.”

    About 20 cigarette brands from North Korea’s major tobacco factories—including Yalu River Cigarette Company, Pyongyang Unha Tobacco Factory, and Naegohyang Tobacco Factory—were being sold secretly in Chinese markets.

    North Korean cigarettes match Chinese luxury brands in quality but cost less, making them consistently popular among Chinese smokers. Despite prices nearly doubling since pre-COVID times, they remain cheaper than local alternatives, maintaining steady demand. The situation changed abruptly when China’s State Tobacco Monopoly Administration partnered with police to intensify operations against illicit North Korean cigarette imports and distribution. Those caught distributing or selling the contraband now face substantial fines or prison sentences. 

    “Chinese traders now avoid cigarettes as police raid warehouses and seize stores based on tip-offs,” the source explained. “With 200,000 yuan  ($28,000) fines and threats of being treated like drug dealers, traders are either complaining or quitting the business.”