Major Crackdown on Production and Sale of Counterfeit E-Cigarettes

Regulations by 2FIRSTS.ai
Nov.24.2023
Major Crackdown on Production and Sale of Counterfeit E-Cigarettes
Police in Shiyan, Hubei province, China, have busted a major e-cigarette production and sales case, arresting 20 suspects and seizing over CNY 100 million worth of counterfeit products.

According to a statement released by the Dongyue Sub-bureau of the Public Security Bureau (PSB) in Shiyan, Hubei Province on November 23rd, a major case involving the production and sale of counterfeit e-cigarettes across multiple provinces and cities has been successfully cracked. The authorities have apprehended 20 suspects involved in the case, with the total value of the products involved exceeding 100 million yuan.

Major Crackdown on Production and Sale of Counterfeit E-Cigarettes
Translation: Production site of e-cigarettes. Image provided by the Shiyan police.

 

In March 2023, staff members of the Tenyan Tobacco Sales Bureau discovered the sale of fruit-flavored e-cigarettes (pods) within the urban area. They immediately launched an investigation and identified Liu as a suspect for selling tobacco products without a license. Subsequently, they reported the matter to the police.

 

After receiving a report, the Economic Investigation Brigade of Dongyue Sub-bureau proceeded to initiate a formal investigation into Liu's case. On April 20th, the specialized police officers apprehended Liu and his superior, Xiang, inside a residential property in Wuhan, where they were engaged in a transaction. A total of over 40,000 counterfeit e-cigarette pods and 136 smoking accessories were seized at the scene.

 

After the arrest of two individuals, the police successfully identified two subordinate distributors and their superior, Wu Mou, located in Wuxi, Jiangsu Province through interrogations and investigative analysis. In order to gather further evidence against Wu Mou, the specialized police team conducted on-site investigations in Wuxi. Ultimately, six suspects involved in illegal business activities, with Wu Mou as the leader, were apprehended. Additionally, three shops and three storage locations under their names were searched, resulting in the seizure of over 20,000 counterfeit e-cigarette pods and one transportation vehicle.

 

In a situation where Wu was extremely uncooperative, the investigating police analyzed and assessed the logistics and financial flows they had already obtained. As the evidence chain became clearer, Wu's psychological defenses were gradually breached, and he confessed to the process of contacting Feng and Qiu to obtain goods.

 

As a result, the task force immediately traveled to Dongguan to carry out an investigation, successfully identifying several suspected criminals, including Feng and Qiu. However, no finished fruit-flavored e-cigarette (pod) products were found at the production site. After more than two months of investigation, the police gradually unraveled information regarding the organization structure and production patterns of the criminal gang.

 

On July 26th, under the careful coordination of the public security authorities and tobacco department in multiple locations, the special task force of the Dongyue Sub-bureau and staff from the tobacco department carried out simultaneous operations in Dongguan, Zhongshan, and Zhanjiang, Guangdong. They successfully arrested two suspects involved in the case, dismantled three e-cigarette manufacturing sites, and shut down two storage and distribution centers. This operation effectively disrupted the entire supply chain of e-cigarette production, sales, and raw material processing related to this case.

 

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

Australian State Targets Illegal Tobacco Retailers With Tougher Closure Powers
Australian State Targets Illegal Tobacco Retailers With Tougher Closure Powers
According to Reuters, Australia’s state of Victoria introduced legislation to give police and the state tobacco licensing regulator stronger powers to shut businesses selling illegal tobacco, with non-compliant operators facing fines of more than A$2.4 million and up to 20 years in prison.
Jun.05
Data|China’s January-May 2026 Device Exports Rise 13% While Nicotine Product Exports Decline 6.9%
Data|China’s January-May 2026 Device Exports Rise 13% While Nicotine Product Exports Decline 6.9%
According to China Customs export data analyzed by 2Firsts, China’s vape export mix continued to evolve during January-May 2026. Exports of electronic vaporisation devices (HS 85434000) increased 13.00% year on year, supported by growth in both shipment volume and average export prices. Meanwhile, exports of nicotine-containing non-combustible products (HS 24041200) declined 6.89%, with lower shipment volumes partly offset by higher average export prices.
Special Report
Jun.30
South Korea’s New Vape Rules Raise Bar for E-Liquid Makers and China-Linked Supply Chains, Expert Says
South Korea’s New Vape Rules Raise Bar for E-Liquid Makers and China-Linked Supply Chains, Expert Says
South Korea’s new vape regulations are reshaping the e-liquid market, raising compliance requirements for manufacturers, retailers and overseas suppliers. In an interview with 2Firsts, Korean nicotine products specialist Sam Kim discusses licensing barriers, inventory impacts, China-linked supply chains, and emerging regulatory challenges around nicotine analogues, nicotine-free products and DIY mixing. The Korean case may offer broader insights as governments worldwide adapt to rapidly evolving nicotine products.
Jul.16
PMI Partners With Italian Tenor Andrea Bocelli to Launch “Believe. Further” Platform
PMI Partners With Italian Tenor Andrea Bocelli to Launch “Believe. Further” Platform
Philip Morris International (PMI) and Italian tenor Andrea Bocelli have launched “Believe. Further,” a multi-year communications platform targeting cultural, institutional and business audiences in Europe, as PMI says smoke-free products accounted for 43% of its net revenues as of the first quarter of 2026.
Jul.01
PMI Highlights 43 Million Smoke-Free Users at Stockholm Summit
PMI Highlights 43 Million Smoke-Free Users at Stockholm Summit
Philip Morris International says about 43 million adults worldwide now use its smoke-free products, with nearly 70% having stopped using cigarettes and smoke-free products accounting for about 43% of its net revenues.
Jun.18
FDA Foreign Tobacco Registration Proposal Could Strengthen ENDS Import Oversight, Azim Chowdhury Says
FDA Foreign Tobacco Registration Proposal Could Strengthen ENDS Import Oversight, Azim Chowdhury Says
FDA’s proposed rule requiring foreign tobacco manufacturers to register establishments and list products is more than routine paperwork, Keller and Heckman LLP partner Azim Chowdhury told 2Firsts. He said it could strengthen FDA’s import enforcement, inspections and market surveillance. Chinese e-cigarette OEM/ODM manufacturers, specification developers, brand owners and component suppliers may need to review their roles, product data and U.S. market authorization status.
Special Report
Jun.29