Two Tobacco Giants Move Into South Korea's Vaping Market

On July 9, news broke that British American Tobacco plans to enter South Korea's vaping e-cigarette market, with reports suggesting that Philip Morris International is also interested.

According to the Korea Asia Times, British American Tobacco (BAT) plans to launch vaping e-cigarettes (CSV) in South Korea to meet market demand. A BAT representative stated that while there is no specific timeline, they have been actively preparing to launch vaping e-cigarettes in the South Korean market and are conducting internal evaluations to be ready to enter the market at any time. The representative also explained that vaping e-cigarettes are very popular overseas, and the market size is expected to be larger than it is now. Since BAT has products sold abroad, they are deciding whether to introduce them to the South Korean market. The Asia Times believes that while Philip Morris International (PMI) has not specifically considered reintroducing vaping e-cigarettes, they have recently launched vaping e-cigarette products overseas, showing signs of possibly considering the South Korean market. PMI launched a disposable vaping e-cigarette called "VEEBA" in the UK in March this year. According to 2020 data, the smoking rate among adults in South Korea was 34.0%. Among them, the vaping e-cigarette smoking rate was about 3.2%, accounting for approximately 10% of the total smoking rate. Compared to eight years ago in 2013, the proportion of vaping has increased nearly fivefold, when vaping only accounted for about 2% of the total smoking rate. The adult smoking rate has decreased from 66.3% in 1998 to below half currently, showing a continuous downward trend. In 2022, the adult smoking rate reached 31.3%, marking a historic low. The traditional cigarette market is expected to continue to decline.