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.
Tag: South Korea
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Korea to Regulate Synthetic Nicotine as Tobacco
South Korea announced today (Feb. 3) that it will extend full tobacco regulatory controls to synthetic nicotine liquid e-cigarettes from April 24, bringing them in line with conventional tobacco products following amendments to the Tobacco Business Act and National Health Promotion Act. The measures require manufacturers and distributors to include graphic health warnings on packaging and restrict advertising to limited channels, while banning promotional content targeting women or minors or highlighting flavors. The revised framework also prohibits the use of all tobacco and nicotine products, including e-cigarettes and heated tobacco, in designated smoke-free areas, with violations subject to fines of up to 100,000 won ($69). The regulatory expansion, the first major update to the tobacco definition since 1988, aims to close loopholes that previously allowed synthetic nicotine products to be marketed and sold with fewer controls, particularly amid concerns around youth access and public health risks.
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Overseas Seizures Show Korea Used as Tobacco Smuggling Hub
South Korea’s customs agency said millions of packs of smuggled cigarettes were seized overseas last year through joint operations with foreign authorities, underscoring the country’s growing use as a transshipment hub by international smuggling networks. The Korea Customs Service (KCS) said nearly 5.2 million packs, weighing about 103 tons, were confiscated abroad after being routed through South Korea.
According to the KCS, major seizures included roughly 760,000 packs in the United States, 380,000 in Hong Kong, 260,000 in the United Kingdom, and 230,000 in Taiwan. The total far exceeds the 3.6 million packs detected overseas between 2019 and 2021, highlighting a sharp rise in cases linked to Korea-based transit routes.
A KCS official said cigarette smuggling, like drug trafficking, is a key funding source for criminal syndicates. The agency said it will further strengthen international cooperation to prevent South Korea from being exploited as a logistics hub for global illicit trade.
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Korea Tightening Vape Regulations in 2026
South Korea will classify synthetic nicotine e-cigarettes as tobacco under a revised Tobacco Business Act that takes effect on April 24, 2026, marking the first change to the legal definition of tobacco since 1988. The amendment closes a regulatory loophole that previously excluded synthetic nicotine products, bringing them under existing tobacco controls following government studies that found such products contain carcinogens and other harmful substances.
Under the new framework, synthetic nicotine e-cigarettes will be subject to mandatory health warning images and text on packaging, stricter advertising rules, and use bans in smoke-free areas such as schools, hospitals, and government buildings. Flavor-based marketing aimed at young people will be prohibited, and online sales, social media promotion, external store displays, and sponsorships will be banned. Sales will be limited to designated tobacco retail outlets.
Additional measures include tighter controls on vending machines, requiring adult verification systems, and banning machines in educational protection zones from February 2026. Health authorities said compliance monitoring manuals are already in place for manufacturers and importers.
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South Korea to Define All Nicotine Products as ‘Cigarettes’
South Korea’s Cabinet moved to close regulatory and taxation gaps surrounding liquid e-cigarettes, including those using synthetic or nicotine-substitute substances, amid what is says are growing safety concerns. At a Cabinet meeting today (December 16) chaired by President Lee Jae-myung, the government approved the promulgation of amendments to the Tobacco Business Act that legally classify liquid e-cigarettes as tobacco products. The revised law expands the definition of cigarettes from products made from tobacco leaves to all products containing tobacco or nicotine, bringing synthetic-nicotine liquid e-cigarettes under formal regulation.
President Lee highlighted concerns that nicotine substitutes have been distributed without adequate safety verification and called for stronger institutional oversight. Reports of suspected lung damage linked to liquid e-cigarettes were also raised during the meeting.
Deputy Prime Minister and Finance Minister Koo Yoon-cheol said products released four months after the law takes effect will be regulated and taxed as cigarettes. However, he noted regulatory limits regarding so-called “nicotine-free” products manufactured before the law’s implementation, stressing the need for separate management and hazard assessments.
The revision aims to eliminate regulatory and taxation blind spots while gradually strengthening safety management for nicotine substitutes.
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Korean Smoking Rate Drops 1 Percentage Point
The Korea Centers for Disease Control and Prevention released the results from its 2025 Community Health Survey, and found the smoking rate dropped one percentage point from last year to 17.9%, while the use of e-cigarettes rose 0.6% to 9.3%. The overall use of tobacco products dropped 0.5% from last year to 22.1%.
In other health topics, overall drinking and high-risk drinking dropped 1.2% and 0.6% respectively, but the obesity rate went up 1% to 35.4%. Physical activity went down, while hypertension and diabetes increased.
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Cigarette Butts, Winter Months Increase Korean Fire Risk
South Korea’s National Fire Agency reported that fires started by discarded cigarette butts caused 154 billion won ($104.7 million) in property damage over the past five years, highlighting the growing risks as winter fire season begins. From 2020 to 2024, the country recorded 191,510 fires, 743 of which were linked to discarded cigarettes. Nearly 40% of fires with casualties occurred from December to March due to heavy use of heating equipment and dry conditions.
Authorities also said that cigarette-related fires, along with electrical faults, were among the leading causes of large-scale factory and warehouse fires, involving losses of over 10 billion won ($6.8 million).
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KT&G Reports Record Q3 Results, Raises Annual Outlook
KT&G reported record-high third-quarter results, with revenue up 11.6% year-on-year to KRW 1.83 trillion ($1.3 billion) and operating profit rising 11.4% to KRW 465.3 billion ($321 million), the highest in five years. Strong global cigarette sales — up 24.9% — drove growth, while domestic and next-generation product sales remained solid, the company said.
KT&G raised its annual revenue and profit guidance to double-digit growth and reaffirmed shareholder returns, including a KRW 6,000 ($4.14) minimum dividend per share and KRW 260 billion ($179 million) in stock buybacks.
The company continues to move forward with plans to expand its nicotine pouch business through a joint acquisition of Another Snus Factory with Altria by year-end.
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Korea Enforces New Law Regarding Tobacco Ingredients
Starting November 1, South Korea began requiring tobacco companies to test and disclose harmful substances in their products under the new “Act on the Management of Harmfulness of Tobacco.” All manufacturers and importers — including those of cigarettes, heated tobacco, and e-cigarettes — must test products through certified labs every two years and submit results by October 15 annually. Existing products must be tested by January 2026, with public disclosure of results expected in the second half of next year.
Health Minister Chung Eun-kyung said the system will support evidence-based smoking prevention, while Food and Drug Safety Minister Oh Yu-kyoung pledged transparent communication with the industry to ensure smooth rollout.
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South Korea Moving Toward Regulating Vapes Like Cigarettes
South Korea is moving to classify synthetic nicotine as tobacco under the Tobacco Business Act, subjecting e-cigarettes to the same regulations and taxes as traditional cigarettes for the first time. A subcommittee of the National Assembly’s Strategy and Finance Committee approved the revision on Monday, expanding the definition of tobacco from “tobacco leaf” to “tobacco or nicotine.”
If passed in the main session, the measure would generate an estimated 930 billion won ($646 million) annually in new tax revenue, lawmakers said. Synthetic nicotine has until now been treated as an industrial good, free from tobacco levies and restrictions. The bill, which includes a two-year grace period on retail restrictions, marks the first change to the act’s tobacco definition since its enactment in 1988.