9 thoughts after visiting IECIE

IECIE has been held in the past few days. And we came up with 9 thoughts on the vape industry.

IECIE 2019 Shenzhen Station starts the show officially on 14th April, 2019 – Official photos

First of all, electronic cigarettes are obviously in a gray area. The government has no idea about the future of the vape industry at present. And the wild growth of vape industry in China will raise the attention and restriction from the government.

The above two-dimensional code is said to be the registration two-dimensional code for the May product launch of Xiaomi and Jinjia Group.

Secondly, it is said that China Tobacco and the regulatory authorities have also visited Shenzhen IECIE for research. In such a prosperous situation, the industry growth is irresistible, blocking is not as good as lead it. Several major tobacco companies in Europe and the United States have layout one after another. As the volume of the four major tobacco companies in Europe and the United States, China Tobacco probably has to follow up. In fact, we also see that some of the branches of China Tobacco have already layout and established centimeters. The state-owned company worked as joint ventures with other companies, and also exhibitions. Although these companies are not in high-profile, and their exhibition booth size is far smaller than some private companies, but it is expected that next year may be different, not impossible, but the time is not yet. If the legal status of e-cigarettes is established, the status of China state-owned tabacco companies will completely crush other companies with any doubt. Next year, they may has bigger the booth.

Thirdly, we ask every booth when the electronic cigarette industry standards or regulatory policies will be issued, but unfortunately, most of them have not responded, but there are some scattered information that said, probably not too far, the original article we posted a map, industry standards schedule, all processes have been completed, just wait for the announcement, and the regulatory policy of electronic cigarette monopoly is likely to be carried out. Beyond market expectations, the pilot work will be started. The e-cigarette practitioners or investors will have to wait patiently for the release of this document which can change the whole industry pattern. I believe it will not be far off.

Fourthly, a bigger discovery of this exhibition is how to monopolize the vape industry. Will it belong to the tobacco monopoly? It is clear that the vape device monopoly is very difficult. If the tobacco can not be regulated, how can the electronic cigarette be regulated? Maybe it is to monopolize or regulate the e juice or nicotine, and to control or impose heavy taxes on the raw materials of these two electronic cigarettes, so that the national tobacco tax will not be lost, and some companies that have nothing to do with cigarettes will face the disaster of extinction because they can not get the raw materials such as nicotine. In fact, it is also said at the exhibition that a relatively large e-cigarette company with hundreds of millions of dollars in revenue in China is facing the fate of shutdown due to the absence of nicotine or e liquids. Therefore, it is the right position for small companies to rely on China Tobacco, and the only way to share the 200 billion-dollar cake with the smallest risk is for investors to invest in companies cooperating with China Tobacco.

Fifth, nicotine is a highly toxic chemical product. One drop of nicotine is lethal enough. Without nicotine, some people try to smuggle nicotine to solve the problem. But how can smuggling nicotine make its electronic cigarette company bigger? Violations of the law, once checked, the company is in the disaster of extinction, how to deal with the angel investors, A, B rounds of investors? Enterprises like Feelm and ALD have ask the customers to find the e juice themselves.

Sixth, it is said that there is another way without nicotine. Artificial synthesis is also said to work, but the cost is five times that of tobacco extraction. How to compete? Even if the cost of technological progress comes down in the future, how can China Tobacco say that the synthesis is also included in the regulation?

Seventh, in the exhibition we also found that the so-called electronic cigarettes were not cigarettes at all. Exhibitors said that we did not contain vape juice or nicotine. These companies used to produce a variety of taste toys in the name of electronic cigarettes for young people to play cool and smoke cigarettes, but there are markets, but they just can not relieve the addiction to tobacco.

Eighth, the progress of China’s electronic cigarette technology is impacting the dominant position of Philip Morris International Company. Some companies have launched a strong impact on these giants. In the cigarette technology, they boast that their technology far exceeds iqos. I believe that the wisdom of the Chinese people, there is no fortress that can not be attacked.

Ninth, in addition, in the end, who wins the vape or HNB products the final victory, there is no conclusion yet, the market is too big enough for lots of battels.


Vice editor at Vape HK DISCLAIMER
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