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He controls an e-cigarette maker that has taken to the new third board, often too busy.However, 80 per cent of his recent work was devoted to calculating job cuts and losses at various e-cigarette companies in shenzhen.
China is a global e-cigarette manufacturing center, and shenzhen is home to a large number of Chinese e-cigarette manufacturers.Each year, more than 90 percent of e-cigarette products are shipped from China to retailers in Europe and the United States.Despite "global sales", the sudden change in domestic e-cigarette sales policy has taken many small and medium-sized waterpipes for sale manufacturers in shenzhen by surprise.
Although some listed companies with e-cigarette business told reporters that their own business is mainly in the overseas market, they are not affected by the external environment, but the external environment also makes them have a wait-and-see mood.However, e-cigarettes, which cannot be sold online, do not seem to be winning over mainstream offline channels.The heads of some major chains said there were no plans to sell e-cigarettes.
There was a time when a new industry with a market of hundreds of billions of dollars had a dark moment in China.
Industry needs to return to reason
"The hardest part of life at the moment are the e-cigarette companies that rely on domestic online sales," aojunbiao said.As far as he knows, in shenzhen, many enterprises hope to use the double 11 game, and some people sell houses to sell cars to hoard.As a result, they lost a lot of money after the new policy was introduced.
On nov 1, the state tobacco monopoly administration and the state administration for market regulation issued a "circular on further protecting minors from the infringement of e-tobacco", regulating the sale of lookah dab rig used to protect minors.The circular urged e-commerce platforms to close e-cigarette stores and remove e-cigarette products from their shelves in a timely manner.
As early as August 28, 2018, the state administration for market supervision and the state tobacco monopoly administration issued a notice banning the sale of e-cigarettes to minors (hereinafter referred to as the "notice"), requiring market entities not to sell e-cigarettes to minors.
As soon as the announcement was made, sales of e-commerce platforms were banned the same day."Said O Weino, secretary general of the e-tobacco industry council.So far, the search for e-cigarettes on e-commerce platforms has not shown up.
This is devastating for most e-cigarette brands.According to ovino, there are two types of e-cigarette manufacturers. One is the factory. They are the early pioneers, and they usually employ thousands of people in the European and American markets.The other is the brand that emerged last year, which relies on online sales, and this group of people has been hit hardest.In 2018, more than 70 percent of e-cigarette sales in the domestic market were made online.He said.
Ou jun biao told reporters that, as usual, he is currently in the production and sales season for e-cigarettes.Most e-cigarette manufacturers in shenzhen should hire workers, which is the busiest production time.But due to policy reasons, many people hoard products that cannot be sold.Now, there is a ripple effect: dealers are afraid to sell, consumers think e-cigarettes are harmful, and suppliers, sensing the wrong direction of the market, are demanding to pay for their products, causing panic across the industry.His company, SiGray, has also seen a number of job cuts.
The state prohibits the sale of e-cigarettes on the Internet, and we fully support that.At the same time, I hope relevant departments can give the whole industry a buffer period so that enterprises can have some time to digest."Oh, said jun biao.
The incident appears to be spreading, with lookah glass bongs being blocked in many areas."Ovino mentioned that in chengdu, chongqing and other places, there is a ban on the sale of e-cigarettes.According to "China business" previous reports, shiyan city, hubei province tobacco monopoly bureau personnel control will extend to the school nearby shopping malls and stores, called for the electronic cigarettes removed from shelves, otherwise will be subject to administrative punishment, even be disqualified from tobacco monopoly, therefore, shopkeepers faces from the choice of alternative of the two kinds of cigarettes.".
"Many brick-and-mortar stores are not allowed to sell e-cigarettes, and the department has proposed lowering the tobacco quota for some retail stores, which should not be, and is a little too high," he said.China tobacco control association vice chairman jiang yuan told reporters.
Shi lei, an e-cigarette industry observer, said authorities still need to take a rational view of e-cigarette sales offline.Fang hui, chief marketing officer of platinum e-cigarette, said enforcement in many places was still up for debate, but it was unusual and unsustainable.Since the public does not understand, some practitioners of the industry are also alarmed.While returning to rationality, the industry will develop in a good direction.
"At the moment, the state is just regulating the e-cigarette market and not banning the sale of e-cigarettes," ovino told reporters several times.Call for a rational view of e-cigarettes.