South Korean Customs Cracks Down on Tax-Evading E-Cigarette Sellers

Nov.16.2022
South Korean Customs Cracks Down on Tax-Evading E-Cigarette Sellers
South Korean customs cracks down on illegal e-cigarette sellers trying to avoid import taxes by falsely labeling natural nicotine as synthetic.

A photo of an electronic cigarette store in Seoul sourced from Korea Bizwire.


A report in the Korean Business News has revealed that sellers attempting to evade taxes by passing off naturally extracted nicotine from tobacco as synthetic nicotine have been targeted by officials from the South Korean Customs Department.


The South Korean customs agency has announced a plan to increase its crackdown on sellers who falsely report natural nicotine as synthetic nicotine in e-cigarette liquids in order to avoid paying import taxes on such products.


The General Administration of Customs announced on Thursday that they have developed a high-precision analytical method to determine whether the nicotine in e-cigarette oils is extracted from tobacco leaves or synthetic.


This technique utilizes a sample preparation method called "derivation" to increase the detection sensitivity of specific components in tobacco by 30 times.


According to tax laws, electronic cigarette liquid made from natural nicotine is classified as cigarettes and is subject to an inland tariff of 1,799 Korean won (approximately $1.32 USD) per 1 milliliter.


In contrast, electronic cigarettes made from chemical materials synthetically produced nicotine are not classified as cigarettes but as manufactured products, and therefore exempt from cigarette consumption tax.


In certain instances, to avoid taxes, importers falsely declare natural nicotine in e-cigarette fluid as synthetic nicotine.


Statement:


This article is compiled from third-party information and is intended for industry communication and learning purposes.


This article does not represent the views of 2FIRSTS and 2FIRSTS cannot confirm the authenticity and accuracy of the article's content. The translation of this article is only for industry exchange and research purposes.


Due to limitations in the translation process, the translated article may not fully reflect the original text. Please refer to the original article for accuracy.


2FIRSTS maintains complete alignment with the Chinese government on any domestic, Hong Kong, Macau, Taiwan, and foreign-related statements and positions.


All compiled information is the property of the original media and author. If there is any infringement, please contact us for deletion.


This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

Smoking Rates Rise in Australia After Vape Ban, Driven by 18–24 Age Group
Smoking Rates Rise in Australia After Vape Ban, Driven by 18–24 Age Group
According to Roy Morgan data, smoking rates in Australia have increased following the mid-2024 vape ban. Usage of factory-made cigarettes and e-cigarettes rose significantly among the 18–24 age group, offsetting improvements seen in other age groups.
Jul.01 by 2FIRSTS.ai
Altria Q2 2025: E-cigarette Unit Posts $108M Operating Loss; Nicotine Pouch on! Grows 26.5%
Altria Q2 2025: E-cigarette Unit Posts $108M Operating Loss; Nicotine Pouch on! Grows 26.5%
OCHA Group 2025 disclosed on July 30, 2025, Q2 net income of $6.102 billion, down 1.7% year-over-year, and adjusted diluted EPS of $1.44, up 8.3% year-over-year, while first-half net income of $11.361 billion was down 3.6% year-over-year, and adjusted diluted EPS of $2.67, up 7.2% year-over-year.
Jul.31 by 2FIRSTS.ai
BAT Plans to Appoint New Chairman, Successor Expected by 2026
BAT Plans to Appoint New Chairman, Successor Expected by 2026
British American Tobacco is seeking a successor for chairman Luc Jobin, who will step down in 2026 due to governance rules.
Jun.10 by 2FIRSTS.ai
Caixin Reports: Yiling’s Atomizer Sparks Public Concern as Experts Call for Stronger Oversight
Caixin Reports: Yiling’s Atomizer Sparks Public Concern as Experts Call for Stronger Oversight
Caixin reports that a Yiling Pharmaceutical subsidiary’s atomizer, resembling an e-cigarette, has sparked public concern. Experts classify herbal atomizers as e-cigarettes and call for stricter oversight. China’s tobacco regulator has confirmed such products fall under e-cigarette rules and pledged to maintain strict enforcement.
Jul.31
PMI Urges Africa to Remove Tobacco Control Barriers, Calls for Science-Driven Policy
PMI Urges Africa to Remove Tobacco Control Barriers, Calls for Science-Driven Policy
At the 2025 Innovation Conference in Cape Town, Philip Morris International (PMI) urged African countries to remove barriers to tobacco harm reduction. It cited inefficient policies, resistance to innovation, and poor communication as key challenges, and called for science-based regulations to provide adult smokers with better alternatives.
Jun.17 by 2FIRSTS.ai
From Glo Hyper Pro to Industry Realignment: A Defining Move by BAT’s Former Design Head——For Jonathon Lister, good design starts not with form or flair—but with trust, ethics, and regulatory clarity
From Glo Hyper Pro to Industry Realignment: A Defining Move by BAT’s Former Design Head——For Jonathon Lister, good design starts not with form or flair—but with trust, ethics, and regulatory clarity
In an exclusive interview with 2Firsts, former BAT Design Director Jonathon Lister offers an in-depth analysis of the design philosophy and strategic thinking behind glo Hyper Pro. He advocates for design that builds trust, responds to regulation, and conveys values—arguing that the future of novel tobacco products lies not in manufacturing capability, but in cultural judgment and ethical awareness. This is not just the story of a product, but an attempt to reshape the industry's way of thinking
Jun.11