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Tag: South Korea

  • S. Korean Retailers Brace as Vapes Get Reclassified as Tobacco

    S. Korean Retailers Brace as Vapes Get Reclassified as Tobacco

    Vape shop owners across South Korea say upcoming changes to the Tobacco Business Act could force many of them out of business as synthetic nicotine liquids are reclassified as cigarettes starting April 24. Stores that operated for years outside the tobacco retail system must now qualify as designated tobacco sellers, a process retailers describe as nearly impossible due to strict location and licensing limits already filled by convenience stores and established outlets.

    Trade groups, including the Korea Electronic Tobacco Industry Association, say numerous specialty vape shops are preparing to close rather than attempt to register, as they are unlikely to obtain authorization. Retailers also warn that cigarette-level taxes on synthetic nicotine products will drive up prices and shrink demand, while pushing consumers toward unregulated nicotine-free or pseudo-nicotine liquids sold online. Many shop owners argue that the law corrects a past regulatory gap but does so in a way that sidelines small businesses that grew under the previous framework, leaving them with little path to remain in the legal market.

  • Seoul Expands No-Smoking Enforcement to Vaping

    Seoul Expands No-Smoking Enforcement to Vaping

    The city of Seoul will begin business inspections and public outreach ahead of April 24, when revisions to the Tobacco Business Act take effect, classifying all nicotine-using e-cigarettes and vaping devices as tobacco products. The change means vaping will be subject to the same restrictions as combustible cigarettes, including bans in designated no-smoking zones. Officials said the revision closes a legal gap dating to 1988, which previously allowed some vaping-related fines to be overturned because e-cigarettes were not explicitly covered by the law.

    From April 14 to May 15, Seoul will conduct city-wide inspections of retailers, including unmanned shops, while running public awareness efforts from April 13–23.

  • South Korea to Regulate Vapes as Conventional Tobacco

    South Korea to Regulate Vapes as Conventional Tobacco

    South Korea announced it will regulate synthetic nicotine e-cigarettes under conventional tobacco laws starting April 24, closing a loophole that previously exempted these products from oversight. Under the revised Tobacco Business Act, synthetic nicotine is treated like traditional tobacco, banning its use in smoke-free zones with fines up to 100,000 won ($69), requiring sellers to register as authorized retailers, and prohibiting online sales. The law also targets youth-focused marketing, limiting flavor descriptors and packaging imagery, with violations carrying fines up to 5 million won ($3,472).

    The Korea Disease Control and Prevention Agency reported a youth vaping rate of 2.9% in 2025, close to 3.3% for conventional cigarettes, with 61.4% of youth smokers using both. Health officials said the revision establishes a youth smoking prevention network aligned with WHO FCTC standards.  

  • South Korean Ring Smuggling to ‘High-Priced’ Markets

    South Korean Ring Smuggling to ‘High-Priced’ Markets

    Authorities in South Korea referred 11 people to prosecutors after uncovering a smuggling ring that shipped 900,000 packs of genuine and counterfeit cigarettes to high-price markets, including Australia and New Zealand. According to Incheon Regional Customs, the group exploited price gaps between countries, buying cigarettes domestically for around 4,500 won ($3.06) per pack and reselling them abroad, where prices can exceed 41,000 won ($27.88). The operation allegedly generated about ₩1 billion ($680,000) in profit from more than 70 shipments between March 2024 and March 2025. Investigators say the ring recruited convenience store owners to source legitimate cigarettes and also purchased large quantities of counterfeit products through illegal channels, disguising shipments as items such as rubber mats before sending them overseas by courier.

  • KMI Study Examines Lung Risks and Smoking Habits

    KMI Study Examines Lung Risks and Smoking Habits

    A large health data analysis by the Korea Medical Institute (KMI) examined the effects of traditional cigarettes, e-cigarettes, and dual use and their impact on higher rates of metabolic syndrome and declining lung function. The study, part of KMI’s “Health Big Data Series,” analyzed medical check-up data from about 3 million individuals screened at eight centers across South Korea and compared health outcomes by smoking type and cumulative exposure measured in pack-years, a metric defined by the National Cancer Institute.

    Among men, metabolic syndrome prevalence increased from 21.5% in non-smokers to 29.9% in current smokers, reaching 31.2% among conventional cigarette users and 30.8% among dual users. Among women, overall prevalence was 10.7% among non-smokers and 12.6% among current smokers. By smoking type, the rate reached 15.8% among conventional cigarette users and 12.1% among dual users.

    Risks also rose with cumulative exposure, climbing to 36% among men with more than 20 pack-years of smoking and 22% for women. Lung function impairment was recorded in 23.4% of men and 21.5% of women, rising sharply among heavy smokers. The study also found smoking patterns shifting, with the share of male lifetime non-smokers rising from 36.7% in 2022 to 39.7% in 2025, while e-cigarette-only use increased from 7.8% to 10%. Researchers noted the findings are based on anonymized screening data and may not fully represent the national population.

  • KT&G to Launch ‘Reel Able 3.0’ in Seoul

    KT&G to Launch ‘Reel Able 3.0’ in Seoul

    KT&G said it will introduce its latest cigarette-type heated tobacco device, the Reel Able 3.0, tomorrow (Feb. 28) at four locations in the Seoul metropolitan area. The new model features significantly reduced charging and preheating times, with a full charge completed in about one hour — half the time of its predecessor — and a preheating time shortened by 10 seconds.

    The device retains key Reel Able functions such as pause during use, selectable usage modes and support for three consecutive sessions. For the first time in the series, KT&G has applied metal materials and curved edges to enhance grip and design, alongside an AMOLED display showing remaining usage counts and mode settings. Reel Able 3.0 will debut in four colors, with Oud Gray and Platinum Silver released first at a retail price of 68,000 won ($47). The company said the launch supports its strategy to reinforce leadership in the heated tobacco segment through differentiated product upgrades.

  • KT&G First to Cancel Shares Under Revised Act

    KT&G First to Cancel Shares Under Revised Act

    KT&G said it will cancel 10.9 million treasury shares worth approximately 2 trillion won ($1.4 billion), becoming the first company to act under South Korea’s newly revised Commercial Act requiring the retirement of treasury stock within set deadlines. The board-approved cancellation, equal to about 9.5% of outstanding shares, will be put to shareholders on March 26 alongside bylaw amendments to strengthen governance, including provisions for electronic shareholder meetings and expanded audit committee representation. The move builds on KT&G’s 3.7 trillion won ($2.6 billion) shareholder return program launched in 2024, under which the company has already retired 19.2 million shares and returned more than 2.3 trillion won ($1.6 billion) through dividends and buybacks.

  • Foreign Expansion Driving KT&G’s Success

    Foreign Expansion Driving KT&G’s Success

    In an interview with The Korea Times, KT&G credited expanding overseas operations with its recent financial success, with foreign sales passing domestic for the first time in the company’s history. The South Korean company has seen rapid international growth, with foreign subsidiary revenue rising 245% since 2020 and overseas cigarette volumes more than doubling. KT&G reported record annual sales of 6.5 trillion won ($4.5 billion) and operating profit of 1.35 trillion won in 2025.

    Supported by 16 marketing and manufacturing hubs and five global production plants, KT&G said it plans to continue strengthening its global footprint and product portfolio, as investor interest grows and the company’s market value climbs.

    “Our overseas bases were not established for short-term sales gains,” a KT&G official said. “They were built to create a sustainable global business structure for the long term, taking into account specific consumer demands across different regions.”

  • South Korea Uses Post Office to Recycle Vapes

    South Korea Uses Post Office to Recycle Vapes

    South Korea’s Postal Service launched a nationwide e-cigarette recycling program in partnership with Philip Morris Korea, the Ministry of Climate, Energy and Environment, and the Environment Foundation. Consumers can place used e-cigarette devices in special postal collection bags and drop them at post office counters or mailboxes, after which the devices are sent to recycling companies for safe processing. The initiative, which also collects waste medicines and disposable coffee capsules, aims to reduce environmental pollution, improve recycling rates, and leverage the postal network to provide an accessible, nationwide resource recovery system.

  • Korean Insurer Appeals to Supreme Court in Tobacco Fight

    Korean Insurer Appeals to Supreme Court in Tobacco Fight

    South Korea’s National Health Insurance Service (NHIS) appealed to the Supreme Court in its ongoing lawsuit seeking to hold cigarette manufacturers liable for smoking-related healthcare costs, challenging an appellate ruling that rejected key liability claims. The NHIS argues the lower court erred in concluding that the health risks and addictive nature of smoking were widely understood in the 1960s and 1970s, contending that tobacco companies concealed scientific evidence and operated in a period of limited regulatory oversight. The case focuses on recovering medical expenses tied to smoking-related cancers, including lung and laryngeal cancers, with the insurer asserting that cigarette manufacturers knowingly sold harmful and addictive products without adequately disclosing risks. The NHIS is requesting a full Supreme Court bench review and public hearing, citing the case’s broad public health and financial implications.