China Tobacco Authority Issues Special E-Cigarette Market Inspection Plan

On November 1, 2019, the National Tobacco Monopoly Administration and the State Administration for Market Regulation issued a notice on further protecting minors from the harm of e-cigarettes. Since then, issues related to the promotion, marketing, and sale of e-cigarettes on the internet have improved somewhat. However, driven by profit motives, there have been instances of misleading minors into purchasing and using e-cigarettes through rebranding and disguised sales, which seriously endangers the physical and mental health of young people. To further protect minors from the harm of e-cigarettes and prevent the resurgence of chaotic phenomena in the e-cigarette market, the National Tobacco Monopoly Administration and the State Administration for Market Regulation have decided to jointly carry out a special inspection of the e-cigarette market.
 
1. Objectives

Fully implement the spirit of the 19th National Congress of the Communist Party of China and the second, third, and fourth plenary sessions of the 19th Central Committee, guided by Xi Jinping's Thought on Socialism with Chinese Characteristics for a New Era, and implement the requirements of laws and regulations such as the "Law on the Protection of Minors," "Advertising Law," "E-commerce Law," and "Anti-Unfair Competition Law." Through special inspections, stricter regulatory measures and more severe governance methods will be adopted to comprehensively clean up the sale of e-cigarettes on the internet, strengthen supervision of internet platforms, and effectively protect the physical and mental health of minors.

2. Inspection Content

(1) Conduct a comprehensive cleanup of e-cigarette information on the internet.

1. Thoroughly clean up the sale of e-cigarettes on the internet to prevent rebranding and disguised sales.

2. Conduct a comprehensive cleanup of e-cigarette sales behaviors on short video and self-media social platforms, and take necessary legal measures.

3. Conduct a comprehensive cleanup of false and illegal e-cigarette advertisements on the internet.

4. Promote and strengthen the primary responsibility of internet companies, urging platforms to establish self-cleaning mechanisms; promote and strengthen the primary responsibility of e-cigarette companies, prohibiting them from selling e-cigarettes through self-built websites, public accounts, mini-programs, short videos, and other online methods; urge e-cigarette manufacturers and sellers or individuals to withdraw e-cigarette advertisements published on the internet.

(2) Conduct a comprehensive inspection of physical e-cigarette stores.

5. Strictly investigate the sale of e-cigarettes to minors.

6. Strictly investigate the publication of false and illegal e-cigarette advertisements by physical e-cigarette stores.

7. Conduct a comprehensive inspection of physical e-cigarette stores to ensure compliance with explicit commitment requirements and implement effective age verification measures to prevent minors from purchasing.

(3) Conduct a comprehensive inspection of new sales channels such as e-cigarette vending machines.

8. Focus on inspecting the sale of e-cigarettes through various new sales channels such as vending machines, and comprehensively clean up e-cigarette vending machines located around primary and secondary schools and youth centers.

9. Focus on inspecting the promotion of e-cigarettes through sponsorship and naming to induce minors to purchase and use them.

3. Work Mechanism

Provincial tobacco monopoly bureaus and market supervision administrations (departments, committees) in provinces, autonomous regions, and municipalities directly under the central government (hereinafter referred to as the two departments) should establish a special joint action team to uniformly implement and promote the special inspection actions in their jurisdictions.

(1) Joint Assessment Mechanism.

The two departments will jointly sort out clues related to illegal promotion and sales of e-cigarettes on the internet and in physical stores, and investigate clues that induce minors to purchase and use e-cigarettes; jointly analyze and assess complaints and reports received through 12313 and 12315, as well as various illegal clues, to determine inspection priorities.

(2) Joint Interview Mechanism.

The two departments will jointly interview internet platforms to enforce their primary responsibilities, urging them to eliminate e-cigarette sales behaviors and eliminate the risks of minors purchasing and using e-cigarettes through the internet.

(3) Joint Law Enforcement Mechanism.

The two departments will organize joint law enforcement inspections to investigate behaviors that induce minors to purchase and use e-cigarettes, investigate illegal sales of e-cigarettes around primary and secondary schools and youth centers through various channels, investigate false and illegal advertisements and promotions of e-cigarettes, clean up e-cigarette vending machines, and purify the market environment.

(4) Joint Governance Mechanism.

The two departments will jointly formulate a list of key issues related to e-cigarettes, clarify deadlines, and implement them one by one. A long-term mechanism to protect minors from the harm of e-cigarettes will be established.

4. Time Arrangement

The special inspection action will take place from July 10 to September 10, 2020, lasting for two months and divided into three phases: from July 10 to July 20 is the mobilization and deployment phase, where localities should formulate specific implementation plans and fully mobilize; from July 21 to August 31 is the organization and implementation phase, where localities should complete inspections of the market, relevant platform enterprises, and physical e-cigarette stores in their jurisdictions, addressing prominent issues; from September 1 to September 10 is the comprehensive summary phase, where localities should carefully summarize the previous work and promote the establishment of a long-term governance mechanism for e-cigarettes.

5. Work Requirements

The special inspection action has tight timelines, heavy tasks, and high requirements. Tobacco monopoly and market supervision departments at all levels must strengthen organizational leadership, analysis and assessment, and overall coordination, ensuring joint implementation and law enforcement; they must pay close attention to the policy nature of the special inspection action and the complexity of practical issues, strictly adhere to laws and regulations, and actively and steadily promote the special inspection action to ensure effective results.

(1) Strengthen leadership and fulfill responsibilities according to the law. It is the common responsibility of tobacco monopoly and market supervision departments at all levels to legally combat illegal production and sale of e-cigarettes and protect the physical and mental health of minors. Tobacco monopoly departments at all levels should increase supervision of e-cigarette products, enhance monitoring of e-cigarette promotion and sales through the internet, and legally increase inspections of physical e-cigarette stores, taking legal action against discovered illegal activities; market supervision departments at all levels should actively collaborate with tobacco monopoly departments to carry out special inspection actions, effectively supervise internet platforms, and legally investigate illegal advertisements and other violations. Departments must refine plans, clarify responsibilities, and work together to ensure that e-cigarettes do not become a regulatory vacuum or a gray area that harms the physical and mental health of minors.

(2) Careful deployment and classified promotion. Tobacco monopoly and market supervision departments at all levels should take proactive measures to legally regulate e-cigarettes. Regulatory departments in areas where relevant e-commerce platforms and social media (self-media) enterprises are concentrated should take responsibility and enforce the primary responsibilities of platforms and enterprises. Areas with active e-cigarette markets and serious issues should conduct in-depth analysis and targeted governance. Areas densely populated with minors, such as schools, should closely monitor trends and issues related to rebranding to prevent the resurgence of e-cigarettes harming minors.

(3) Focus on publicity and create an atmosphere. Protecting minors from the harm of e-cigarettes is a shared responsibility of society. Localities should actively engage with various mainstream media, using multiple channels and forms to strengthen exposure of typical cases, report on the harms of e-cigarettes, and promote regulatory policies. Widespread posting of "Prohibition of Selling E-Cigarettes to Minors" warning signs should be implemented, and the 12313 and 12315 channels should be fully utilized to accept social supervision, creating a good atmosphere for joint supervision and governance by society.

(4) Strengthen supervision and summarize in a timely manner. Localities should coordinate epidemic prevention and control with the implementation of special actions, and the National Tobacco Monopoly Administration and the State Administration for Market Regulation will organize special inspections or key spot checks as needed. Localities should focus on summarizing typical practices and experiences, promptly addressing shortcomings in e-cigarette governance, and effectively leveraging the effectiveness of systematic governance, legal governance, comprehensive governance, and source governance.

The two departments should regularly report the progress of the special action, key cases, and phased developments to the National Tobacco Monopoly Administration and the State Administration for Market Regulation.