Trends and Regulations in the UK and EU Electronic Cigarette Industry

Jun.15.2022
Trends and Regulations in the UK and EU Electronic Cigarette Industry
The 6th Normative Development Summit for the Electronic Cigarette Industry was held in Shenzhen on June 15th, 2022. The summit featured discussions on industry trends and market regulation policies.

On June 15th, 2022, the "6th standardized development promotion conference of the electronic cigarette industry and the first export service development conference" was held in Bao'an, Shenzhen. John Dunne, Chairman of the Board of Directors of the UK Vaping Industry Association (UKVIA), and Dustin Dahlmann, President of the European Electronic Cigarette Association (IEVA), were invited by the E-cigarette Professional Committee of the China Electronic Commerce Association (ECCC) to share recent industry trends and market regulation policies in the UK and Europe.

 

The British market is currently experiencing a rebound, but there may be a possibility of tighter policies in the future.

 

At present, the UK remains the second largest market for electronic vaporizers globally, with relatively favorable regulatory policies and no additional taxation on vapor products.

 

The electronic vaporizer industry in the UK is experiencing a rapid rebound in growth. Following an 11% decrease in market size in 2020, there has been a 20% growth in 2021, with a projected further increase of 11% in 2022. The disposable products sector has seen significant growth. The UK aims to achieve a smoke-free target by 2030, leading to an increasing number of people turning to vapor devices and new tobacco products.

 

Due to market saturation, prices have dropped. According to data from the global e-cigarette database ECigIntelligence tracking UK brand data, the average price of e-cigarettes has fallen from £5.79 per device to £4.95, putting pressure on wholesale profits. Additionally, with new logistics delivery companies offering late-night delivery services, traditional market channels are also under pressure. However, in this situation, how to ensure age restrictions is a problem that these new services are facing.

 

There are still public concerns as some disposable brands are using inappropriate marketing strategies to target children. The UK Vaping Industry Association is working with the UK Medicines and Healthcare products Regulatory Agency and law enforcement agencies to identify illegal sellers. Trade regulation officials across the country are taking action, conducting surprise inspections on shops and wholesalers, seizing illegal products and imposing fines on sellers.

 

The UK's Medicines and Healthcare Products Regulatory Agency (MHRA) may tighten its policies and take a tougher stance against companies that submit fake materials or products that do not meet regulations. This has led to many products being refused approval or requiring longer approval times. The UK group Action on Smoking and Health (ASH) will release a report in June, which could prompt increased scrutiny from regulatory authorities if it shows a significant increase in youth vaping.

 

The UK Vaping Industry Association has been actively working with numerous Chinese partners, such as Geek Bar and Elf Bar, to shut down counterfeit factories.

 

Ieva predicts that the revenue of the EU's electronic vaping industry will increase by approximately 20% in 2022.

 

IEVA is closely monitoring regulatory laws and guidelines in various countries such as Denmark, the Netherlands, and Baltic states where there are bans on flavorings, plain packaging, and advertising. The TPD will undergo at least three more years of revision, and IEVA will continue to keep a close eye on the developments.

 

By the end of 2023 or early 2024, the European Union will introduce battery regulations. The "New Battery Regulation" aims to achieve sustainability in electronic products, including e-cigarettes. IEVA expects the following changes: batteries will no longer be permitted to be glued to the housing; batteries must be detachable; when a device can still function properly after replacing the battery, the new battery must also be replaceable, and environmentally friendly and reusable devices will become more important in the future.

 

Another upcoming legislative framework is the revision of the Tobacco Excise Duty Directive. Currently, the EU's excise duty framework does not include electronic cigarettes or e-liquids. However, the review process is underway and IEVA anticipates that the European Commission will announce their position and impact assessment on e-cigarette taxation by the end of this year or early next year at the latest. IEVA is working diligently to minimize the consumer tax burden within the EU.

 

According to IEVA predictions, the industry revenue in the European Union market is expected to grow by approximately 20% by 2022. Product trends suggest that consumers will seek high-quality and easy-to-use portable devices. Taste and power will be important trends, thus refillable and rechargeable cartridge systems are likely to be the products that best fulfill this demand. On the other hand, disposable products may be a current trend, but they may not keep up with future trends or the emphasis on sustainability in the legal environment.

 

The ECCC has maintained a strong relationship with UKVIA and IEVA over the years. Going forward, the ECCC will remain in close contact with the world's leading e-cigarette trade associations, deepening exchanges and cooperation in the areas of technology, compliance, market information, and protection for minors. These efforts aim to create a more compliant and favorable development environment for the members of each association.

 

(Editor: Wang Siyu)

 


Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

Sesh touts independence, 8VC backing and retail reach as it challenges tobacco-owned pouch brands
Sesh touts independence, 8VC backing and retail reach as it challenges tobacco-owned pouch brands
U.S. nicotine pouch brand Sesh has emphasized its independence from Altria, Philip Morris International and British American Tobacco, along with backing from investors including 8VC, celebrity supporters and a retail footprint of more than 7,500 stores, as it seeks to differentiate itself in a market where major pouch brands are owned by large tobacco companies.
Regulations
Jul.07 by 2Firsts Perspectives
Illicit Vape and Nicotine Pouch Seizures Concentrated in UK Hotspots, New Data Shows
Illicit Vape and Nicotine Pouch Seizures Concentrated in UK Hotspots, New Data Shows
Freedom of Information (FOI) data from the UK shows that more than 3,000 seizures of illegal nicotine products were recorded in the 2024/25 financial year, with Hull, Liverpool and Bolton emerging as the most active enforcement hotspots — highlighting that the problem of illicit vapes, nicotine pouches and smokeless tobacco products persists across many parts of the country.
Jun.16
 Philip Morris Lowers Profit Outlook as Zyn Faces Competition and FDA Delays
Philip Morris Lowers Profit Outlook as Zyn Faces Competition and FDA Delays
According to Reuters, Philip Morris International (PMI) lowered its 2026 adjusted earnings-per-share forecast amid regulatory uncertainty around Zyn nicotine pouches, rising competition and shipment pressure in the U.S. market.
PMI
Jun.02
Product|PMI Expands High-Strength Nicotine Pouch Portfolio With Zyn 16.5mg
Product|PMI Expands High-Strength Nicotine Pouch Portfolio With Zyn 16.5mg
According to Better Retailing, Philip Morris International (PMI) has launched Zyn Menthol Ice 16.5mg in the UK, marking the highest-strength nicotine pouch in the Zyn range to date. The eucalyptus- and menthol-flavored product is now available through PMI Open and will begin rolling out to wholesale channels from the end of May.
PMI
May.28
From Brands to Supply Chains: 2Firsts Builds a PMTA Compliance Service System for the U.S. Market
From Brands to Supply Chains: 2Firsts Builds a PMTA Compliance Service System for the U.S. Market
2Firsts supports new tobacco and nicotine companies entering the U.S. market with full-chain PMTA compliance services.
Jun.04
Reuters: Shopify May Ban All Vape Sales This Week Amid Illegal Market Crackdown
Reuters: Shopify May Ban All Vape Sales This Week Amid Illegal Market Crackdown
Reuters reported that Shopify may ban all vape products from its platform as soon as this week, signaling that U.S. enforcement against the illegal vape market is expanding from retailers and importers to e-commerce platforms and payment networks.
MarketBAT
Jun.23 by 2Firsts Perspectives