HS Code:
Electronic cigarettes and similar personal electric vaporizing devices, classified under HS Code 8543.40, include devices designed to vaporize nicotine or other substances for inhalation. This category encompasses e-cigarettes, vape pens, and related accessories such as cartridges and e-liquids (when bundled with devices). These products have gained significant popularity as alternatives to traditional tobacco products, driven by perceptions of reduced harm and smoking cessation potential. The global trade of these devices has seen rapid growth due to increasing demand in developed and emerging markets, though it faces regulatory scrutiny over health concerns and youth access.
Total Trade Volume
USD 27.3 billion
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
USD 18.5 billion
67.8% of total trade of total trade
Increasing
USD 3.2 billion
11.7% of total trade of total trade
Stable
USD 1.8 billion
6.6% of total trade of total trade
Increasing
USD 1.1 billion
4.0% of total trade of total trade
Stable
USD 0.9 billion
3.3% of total trade of total trade
Increasing
Average Rate
6.5% ad valorem
Highest Rate
35% (imposed by certain developing countries with strict tobacco control policies)
Lowest Rate
0% (under free trade agreements or in countries with liberal vaping policies)
Rising demand in North America and Europe
Increased exports from manufacturing hubs like China to meet consumer demand for innovative and flavored vaping products
2021-2022
Regulatory tightening in key markets
Stricter regulations, such as flavor bans in the US and EU, have slowed growth in certain segments, pushing manufacturers to adapt with compliant products
2020-2022
Shift towards disposable vaping devices
Growth in trade of single-use e-cigarettes due to convenience, particularly among younger demographics, despite environmental concerns
2022
The US Food and Drug Administration (FDA) intensified enforcement against unapproved e-cigarette products, issuing marketing denial orders to several manufacturers and importers.
June 2022
Reduced market access for non-compliant products, affecting imports from countries with less stringent manufacturing standards; increased demand for FDA-authorized devices.
The European Union updated its Tobacco Products Directive to include stricter rules on e-cigarette advertising, packaging, and nicotine limits.
January 2023
Exporters to the EU must adapt to new compliance requirements, potentially increasing production costs but ensuring market access in a key region.
China, the largest exporter of vaping devices, introduced new export licensing requirements to regulate quality and prevent sales to markets with import bans.
October 2022
Temporary disruptions in supply chains as manufacturers adjust to new rules, though long-term stabilization expected to improve product quality and market trust.