Interview with Arcus Managing Director: Ban Will Lead to Black Market Surge, Manufacturers should Switch to Open Systems

Industry Insight by 2FIRSTS, edited by Sophia
Jan.30.2024
Interview with Arcus Managing Director: Ban Will Lead to Black Market Surge, Manufacturers should Switch to Open Systems
UK government announces complete ban on disposable e-cigarettes and restrictions on flavored and packaged refillable e-cigarettes.

On January 29th, the UK government announced a complete ban on the sale of disposable e-cigarettes, as well as restrictions on the flavors and packaging of refillable e-cigarettes. In light of this prohibition, 2FIRSTS conducted an interview with Robert Sidebottom, the Managing Director of ARCUS COMPLIANCE, a company specializing in assisting e-cigarette businesses with compliance certification in the UK.

 

Firstly, Robert Sidebottom expressed his views on the ban. He stated that the government's implementation of a disposable ban is an irresponsible act as it did not, and will never have any substantive effect anywhere in the world. Moreover, the ban could potentially lead to legal markets being squeezed, while the black market may quickly emerge. In his opinion, the government should adopt a more responsible and comprehensive approach to regulate the e-cigarette market instead of resorting to a simple ban.

 

When discussing which product categories may absorb the lost market share due to the implementation of the disposable ban, Robert Sidebottom mentioned that he sees greater potential in open-system products. At the same time, he also expressed optimism about some innovative products such as Sky Hunter by Happy Vibes, Instafill, among others.

 

Robert has also offered some suggestions to Chinese manufacturers to foster their future growth.

 

He suggested that companies needs to ensure compliance and strategically reposition themselves to expand presence in the open market.

 

Furthermore, he emphasized the importance of prudence in flavor selection and recommended that products adopt straightforward and direct naming methods. For instance, flavors like mint, tobacco, and fruit should be named simply as "Mint," "Tobacco," and "Fruit," respectively. Even when it comes to fruit flavors, it is advisable to choose clear and uncomplicated names such as "Strawberry," "Cherry," "Raspberry," and "Watermelon" for optimal communication.

 

Lastly, he recommended that the product avoids using fancy flavor names and refrain from adopting names that appeal to teenagers, such as avoiding names like "Unicorn Milkshake". Additionally, they should not imitate names from other industries, such as avoiding names like "Skittles" or "Energy", in order to avoid rejection in the UK market.

 

2FIRSTS will continue to monitor the updates on the disposable e-cigarette ban in the UK. Stay tuned for more information.

 


 

"UK Disposable E-Cigarette Ban" Series Report

 

Policy Updates
【1】UK Government Announces Ban on Disposable E-Cigarettes
【2】Original Text of UK Government's Disposable Ban Announcement

 

Market Dynamics
【1】After UK Disposable Ban: Retailers Clearing Stock, Major Distributors Turning to E-liquids and Open-Systems
【2】UK Announces Disposable E-Cigarette Ban: Smoore and Yinghe Technology Stock Prices Decline

 

Various Perspectives
【1】Black Market or Opportunity? Insiders' Perspectives on UK Disposable Ban

【2】Interview with Arcus Managing Director: Ban Will Lead to Black Market Surge, Manufacturers should Switch to Open Systems

 

Business Review

【1】Disposable Ban Impact: Is Smoore's Strategic Layout Empty Again?

 

 

 

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

PMI Expands Colorado Investment to $1.2 Billion to Boost ZYN Nicotine Pouch Production
PMI Expands Colorado Investment to $1.2 Billion to Boost ZYN Nicotine Pouch Production
Philip Morris International (PMI) is expanding its investment in its Golden, Colorado campus, bringing total investment to approximately $1.2 billion to support its smoke-free products business. The investment will strengthen PMI’s research, production and innovation capabilities in smoke-free products. As one of the world’s largest tobacco companies, PMI has continued advancing its “Smoke-Free Future” strategy through heated tobacco, oral nicotine and other reduced-risk product categories.
PMI
Jul.28
Special Report | Russia, Ukraine and Belarus Launch Fresh Push to Rein in Vaping
Special Report | Russia, Ukraine and Belarus Launch Fresh Push to Rein in Vaping
Russia, Ukraine and Belarus are tightening vape regulation through different tools, from Ukraine’s stronger enforcement push and Belarus’s proposed advertising restrictions to Russia’s new GOST standard and regional sales-ban mechanism. As black-market concerns persist, some Russian experts argue that China’s tightly controlled but legalised model — built around licensing, traceability and taxation — may offer a more effective alternative to blanket prohibition.
Jul.15
Virginia Tightens Vape and Tobacco Retail Enforcement, With Fines Up to $15,000 Per Unlisted Product
Virginia Tightens Vape and Tobacco Retail Enforcement, With Fines Up to $15,000 Per Unlisted Product
A new Virginia law that took effect on July 1, 2026, requires retailers to obtain permits to sell liquid nicotine, vape and tobacco products, while directing Virginia ABC to conduct inspections and verify that stores sell only products listed in the state directory.
Jul.20
PMI Global R&D Chief Meets Chinese Tobacco Regulator as China Advances Heated Cigarette Standards
PMI Global R&D Chief Meets Chinese Tobacco Regulator as China Advances Heated Cigarette Standards
Philip Morris International’s global R&D chief Michele Cattoni met Liu Sanjiang, deputy director of China’s State Tobacco Monopoly Administration, in Beijing on Aug. 27. The meeting comes as China advances mandatory standards for heated cigarettes and nicotine pouches, laying groundwork for their domestic introduction. Cattoni has held senior roles in PMI’s heated tobacco development, while China’s draft standard covers multiple heating architectures, including systems similar in principle to PMI’s IQOS ILUMA technology.
Aug.27
UK Sets Oct. 29 Start for New Vape Retail Rules Covering Age Checks, Giveaways and Discounts
UK Sets Oct. 29 Start for New Vape Retail Rules Covering Age Checks, Giveaways and Discounts
The UK Department of Health and Social Care published new guidance on Aug. 11 outlining the next phase of retail rules under the Tobacco and Vapes Act 2026, which will take effect on Oct. 29, 2026. The measures extend the minimum age of sale of 18 to all vaping and consumer nicotine products and restrict proxy purchasing, promotional giveaways and substantial discounts. Relevant offences in England, Wales and Scotland may carry a £200 fixed penalty notice, while persistent offenders can face temporary sales bans.
Aug.12
From Nicotine Salts to Cocrystals: China’s Shenzhen Huabao institute explores a more stable form for sustained nicotine release
From Nicotine Salts to Cocrystals: China’s Shenzhen Huabao institute explores a more stable form for sustained nicotine release
China-based Shenzhen Huabao Collaborative Innovation Technology Research Institute Co., Ltd. has filed a patent application for a nicotine-ascorbic acid cocrystal, exploring a new solid-state form of nicotine. The patent proposes applications across e-liquids, heated tobacco sticks, oral tobacco, chewing tobacco and snuff. In nicotine pouch tests disclosed in the filing, cocrystal formulations showed less than a 6% decline in nicotine content after three months of accelerated storage and a release profile combining early-stage release with sustained delivery over 60 minutes. The filing reflects exploration of nicotine forms beyond conventional nicotine base and nicotine salts.
Aug.13