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Tag: illicit vapes

  • Philippines Flagged ‘Elevated Risk’ for Illicit Cigarettes as Price Gaps Grow

    Philippines Flagged ‘Elevated Risk’ for Illicit Cigarettes as Price Gaps Grow

    The Philippines has been identified as an “elevated risk” market for illicit cigarettes, with illegal products accounting for 25.3% of total sales last year and projected to rise to 28.9% by 2028, according to a Euromonitor International study commissioned by the EU-ASEAN Business Council. The report estimates the government lost nearly $980 million in 2024 and about $1.1 billion last year due to the illicit cigarette trade, while illegal e-vapes, which make up 86% of the market, caused an additional P23 billion ($400 million) in losses from 2024 to 2025.

    Researchers cited price-sensitive consumers, porous maritime borders, established regional smuggling routes, annual excise tax hikes of 5%, and enforcement challenges as key drivers, with illicit products increasingly imported from neighboring ASEAN states and China. The study also highlighted the growing role of digital platforms such as Telegram, WhatsApp, and Facebook Marketplace in distributing illegal tobacco, alongside traditional sari-sari stores and street vendors, and warned that paper-based tax stamps are easily counterfeited, recommending a shift toward digital tax verification systems to better protect revenues and track the trade.

  • CBP Seizes $175M in Illicit Vapes from Maritime Cargo

    CBP Seizes $175M in Illicit Vapes from Maritime Cargo

    The U.S. Customs and Border Protection, working with the U.S. Coast Guard and the U.S. Food and Drug Administration, announced that it has seized more than 18 million vape units valued at over $175 million over the last few weeks under a targeted initiative known as Operation Red Mist. The ongoing operation focuses primarily on maritime cargo shipments originating from the People’s Republic of China and is aimed at disrupting the illicit importation, transport, and distribution of unauthorized vape products and related hazardous components.

    According to CBP, inspection teams identified shipments that were misclassified or improperly labeled to evade detection, duties, and regulatory scrutiny, and that failed to meet U.S. import requirements for tobacco products, electronics, and hazardous materials transport. Officials said all e-cigarette products seized lacked the required FDA premarket authorization, making them illegal for sale in the United States. CBP said the operation reflects a broader, government-wide effort to keep noncompliant and potentially dangerous vaping products out of U.S. commerce and away from youth, while disrupting the revenue streams that often support broader criminal activity.

    Source: U.S. Customs and Border Protection

  • Tasmania Passes Bill to Strengthen Crackdown on Illicit Tobacco and Vapes

    Tasmania Passes Bill to Strengthen Crackdown on Illicit Tobacco and Vapes

    Tasmania’s House of Assembly passed the Public Health Amendment (Prohibited Tobacco and Other Products) Bill 2026, introducing new offences, higher penalties, and expanded powers to shut down businesses involved in the illegal sale of tobacco and vaping products. The legislation targets illicit trade and aims to strengthen enforcement against unauthorized products.

    Health Minister Bridget Archer said the measures are intended to reduce smoking and prevent youth access, while Police Minister Felix Ellis linked the illicit market to organized crime, warning against the spread of related criminal activity. The bill will now move to the Legislative Council for further consideration.

  • 13 State AGs Urge Credit Cards to Block Illicit Vape Sales

    13 State AGs Urge Credit Cards to Block Illicit Vape Sales

    A coalition of 13 U.S. attorneys general has called on major credit card companies to stop facilitating sales of illegal vaping products through their payment networks. The group warned that unauthorized e-cigarettes, largely manufactured in China, now account for more than 80% of the U.S. vape market, generating over $11 billion in annual sales despite violating federal and state laws.

    The officials are asking Visa, Mastercard, American Express, and Discover to identify and remove merchants selling illicit products and to increase transparency on enforcement actions. The move draws on past cooperation between regulators and payment processors to curb illegal online cigarette sales, as states look to disrupt distribution channels for unauthorized vaping products.

  • NACS Urges Action Against Illicit Chinese Vapes

    NACS Urges Action Against Illicit Chinese Vapes

    The National Association of Convenience Stores (NACS) called on U.S. trade officials to address the surge of illicit e-cigarettes entering the country from China, warning that unauthorized products now account for an estimated 80% of the ENDS market. In a submission to the U.S. Trade Representative, NACS said these imports, which often lack FDA authorization, pose health risks, particularly to youth, while undermining compliant retailers and legitimate supply chains.

    NACS is urging a coordinated government response, including enforceable commitments from China to restrict exports that violate U.S. regulations, improve product classification and oversight, and strengthen enforcement mechanisms. The group said curbing illicit flows is critical to protecting public health, ensuring fair competition, and safeguarding the economic viability of regulated businesses.

  • 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.