E-cigarette industry exports set to reach RMB 340 billion

According to data from the Eastern Tobacco Report and Heng Bingquan's "World Tobacco Development Report," the global sales growth rate of e-vaporization has rebounded, with a year-on-year increase of 20.0% to $23.65 billion in 2022. By category, open-system e-vaporization and e-liquid saw a year-on-year increase of 8.1% to $8.72 billion, while closed-system e-vaporization grew by 28.2% to $14.93 billion, with disposable e-vaporization sales reaching $2.55 billion, nearly doubling year-on-year.

According to customs data, in 2022, the total export value of e-vaporization and similar personal electronic vaporization devices and other non-combustible nicotine products reached $9.886 billion, with exports in the first half of 2023 amounting to $5.482 billion, a year-on-year increase of 29.16%, including $942 million in June, a year-on-year increase of 10.38%.

Currently, China's e-vaporization market has formed a highly developed e-vaporization industry chain centered in Guangdong. In recent years, with the gradual rise of e-vaporization globally, the export volume of China's e-vaporization industry has rapidly increased, and trade volume has continuously expanded.

Overseas Markets Account for a Large Portion of Sales

From a production perspective, China produces over 95% of the world's e-vaporization products, with 90% for export and only about 5% for domestic sales; exporting remains the mainstream in the industry.

China is a Major Exporter of E-vaporization Products

Compared to the global market size of $80 billion, China's e-vaporization consumption market is still relatively small. The vast overseas e-vaporization consumption market has driven the production and export of e-vaporization in China. Data shows that in 2021, China's e-vaporization industry exported approximately 138.3 billion yuan, a year-on-year increase of 180%. This export scale is expected to continue to grow, reaching 340.2 billion yuan by 2024! (Source: E-cigarette Industry Committee, General Administration of Customs, Qianzhan Industry Research Institute)

2020-2024 China E-vaporization Export Scale (Unit: Billion Yuan)

Professional Analysis

• The China Securities Journal states that the outlook for China's e-vaporization export industry is promising, with expectations of continued rapid growth in the coming years. This is due to the strong global demand for e-vaporization, and China, as a major producer, has first-class manufacturing capabilities and cost advantages.

• China Galaxy Securities also believes that Chinese e-vaporization companies are gradually enhancing their competitiveness in the international market, with export scale and market share expected to continue to expand.

• CITIC Securities indicates that the Chinese e-vaporization export industry benefits from the growth of the global e-vaporization market, with Chinese e-vaporization companies possessing competitive advantages in technology research and development, production capacity, and cost control, likely to secure a place in the global market.

In summary, the overseas e-vaporization market has enormous potential, and with continuous technological advancements and regulatory improvements, the e-vaporization market will continue to develop and gradually mature.

DKECE, as a professional e-vaporization brand channel service provider, has been deeply involved in the Southeast Asian region, consistently providing excellent resources and professional teams to support Chinese e-vaporization brands in quickly entering the Southeast Asian e-vaporization market.

DKECE also promotes brands through offline exhibitions, dealer meetings, and other activities to accurately distribute products. DKECE will utilize face-to-face demonstrations and promotional opportunities to communicate directly with dealers, showcase product advantages, and provide detailed explanations. Especially in countries like Vietnam and Malaysia, where e-vaporization market policies are favorable, this will facilitate our exploration of blue ocean markets. Through the organization and execution of promotional activities, we can accurately reach dealer groups, increase product exposure and sales, and help Chinese e-vaporization companies achieve rapid growth in overseas markets. #p# pagination title #e#

The DKECE team has specially planned the upcoming release of the "WhatsVAPE Southeast Asia E-vaporization Special Edition"! This special edition aims to create the most comprehensive Chinese e-vaporization brand publication for the Southeast Asian market! This publication will showcase the core highlights of partner brands in all aspects, including product types, product information, detailed specifications, different color and flavor options, and suggested prices. Its distribution will be extensive, covering the entire Southeast Asia region, including important cities in Malaysia, Indonesia, Vietnam, Thailand, Cambodia, Laos, the Philippines, Myanmar, and more!