Supply Chain Exhibition Insights: E-Cigarette Battery Profits Keep Shrinking, Demand for Pouch Cells Remains Strong

Events by 2FIRSTS
Aug.29.2024
Supply Chain Exhibition Insights: E-Cigarette Battery Profits Keep Shrinking, Demand for Pouch Cells Remains Strong
During the 5th Aerosol Industry Chain Exhibition on August 29th, 2FIRSTS explores the current state of the e-cigarette battery supply industry.

On August 29th, at the Fifth Aerosol Industry Chain Exhibition, 2FIRSTS had discussions with several e-cigarette battery suppliers to better understand the current situation of the industry.

Supply Chain Exhibition Insights: E-Cigarette Battery Profits Keep Shrinking, Demand for Pouch Cells Remains Strong
A soft pack battery brought by a battery exhibitor | Image source: 2Firsts


A company with over twenty years of experience in the battery industry told 2FIRSTS that despite intensifying competition in the industry, there is still a certain profit margin in the e-cigarette business, allowing the company to continue investing resources in industry layout and technological research.


At the exhibition site, the company's exhibition booth was filled with soft pack batteries and cylindrical batteries of different specifications. The company's relevant person in charge stated that although the cost of soft pack batteries is slightly higher than cylindrical batteries, their design is more suitable for the current popular screen e-cigarette, so the demand for them is showing continuous growth.


Faced with the recent changes in the e-cigarette industry, the person in charge described it as a "booming and volatile industry." The demand for e-cigarette batteries is like a "roller-coaster," and with intensifying competition in the supply chain, the future profit margins may be further squeezed.


Meanwhile, the company is considering expanding into other industries to adapt to market changes and challenges. However, he believes that the battery industry still has plenty of room for growth, with e-cigarette applications being just one branch of it.


Another battery company participating in the exhibition for the first time told 2FIRSTS that, despite having established partnerships with leading companies in the industry, the battery industry is currently facing fierce market competition and challenges of shrinking profit margins. As a strategic move, the company is looking into e-cigarette batteries as a new avenue for business development, while still keeping a focus on the small power battery sector.


Therefore, the company did not showcase soft-pack battery products at the exhibition, with the most important consideration being the financial cost of introducing a production line. According to him, the cost of introducing a battery production line now ranges from 10 to 20 million, which makes the company more cautious in its product strategy.


2Firsts noticed that compared to last year's exhibition, there has been a decrease in the number of battery manufacturers participating this year. With intensifying market competition, many battery companies have stated that they are focusing on cost control and product innovation to address the challenges of the industry's future.


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

 RFK Jr. Spokesman Resigns Over FDA Authorization of Fruit-Flavored Vapes
RFK Jr. Spokesman Resigns Over FDA Authorization of Fruit-Flavored Vapes
Richard Danker, a senior public affairs official in Health Secretary Robert F. Kennedy Jr.’s team, resigned from his role at HHS over the FDA’s recent authorization of fruit-flavored vaping products. In a resignation letter addressed to President Donald Trump, Danker argued that the products could expose minors to nicotine addiction, lung damage, and increased cancer risks, while also conflicting with recent HHS guidance on youth risks associated with flavored nicotine products.
News
May.15
Reuters: Big Tobacco Emerges as Winner After FDA Regulatory Shift
Reuters: Big Tobacco Emerges as Winner After FDA Regulatory Shift
According to Reuters, major tobacco companies may emerge as key beneficiaries after the U.S. FDA loosened regulations on vaping and nicotine pouch products, a shift that has sparked debate over public health risks.
Industry Insight
May.26
South Korea’s Cigarette Smoking Rate Falls to 17.9%, E-Cigarette Use Continues to Rise
South Korea’s Cigarette Smoking Rate Falls to 17.9%, E-Cigarette Use Continues to Rise
Data released by the Korea Disease Control and Prevention Agency (KDCA) showed South Korea’s conventional cigarette smoking rate fell to 17.9% in 2025, while heated tobacco and liquid e-cigarette use continued to rise, particularly among young adults and women.
Jun.01
Kentucky Governor Signs Tobacco, Nicotine, and Vapor Product Licensing Bill Into Law
Kentucky Governor Signs Tobacco, Nicotine, and Vapor Product Licensing Bill Into Law
A Kentucky bill relating to tobacco, nicotine, and vapor product licensing was signed by the governor on April 10, 2026, and enacted as Acts Chapter 70. The measure sets application requirements for tobacco, nicotine, and vapor product licenses, governs batch licensing, renewals, ownership changes, and denial grounds, and requires the Department of Alcoholic Beverage Control to publish application forms and related regulations within 30 days of the law’s effective date.
Apr.14 by 2FIRSTS.ai
Reuters: More “Made in America” Vape Products Appear in the U.S. Amid Trump Tariffs and Crackdown
Reuters: More “Made in America” Vape Products Appear in the U.S. Amid Trump Tariffs and Crackdown
According to Reuters, the U.S. vaping market has recently seen an increase in products marketed as “Made in America” amid the Trump administration’s stronger enforcement against unauthorized vape brands and increased trade tariff pressure on Chinese goods. Since October 2025, at least eight new vape brands highlighting American credentials have entered the U.S. market, and none of them has authorization for sale. Brands mentioned by Reuters include Maxus Star and OneTank.
Apr.08
Jeju Health Center to Apply Conventional Tobacco Rules to Liquid E-Cigarettes From April 24
Jeju Health Center to Apply Conventional Tobacco Rules to Liquid E-Cigarettes From April 24
Jeju Health Center said it will apply the same regulations used for conventional tobacco products to all tobacco products, including liquid e-cigarettes, from April 24, while also strengthening public guidance and smoke-free zone management.
Apr.21 by 2FIRSTS.ai