Within hours of taking office on January 20th, President Donald Trump signed an Executive Order to secure our border and target the Mexican drug cartels for their illicit trafficking of both drugs and people. But Mexico is not alone in flooding the nation with dangerous and illicit products. China is sending billions of illegal goods, many through America’s ports of entry, under the nose of our Customs officials.
China’s state-owned tobacco monopoly (CSTM) generates $200 billion annually. Much of that figure comes from domestic Chinese sales, but a sizable part of that revenue comes from the sale of illegal vaping products in the United States — products China has banned in their domestic market. Most of the vapes entering the country are prohibited under federal law yet still represent 30% of the U.S. cigarette market.
It shouldn’t come as a shock that after half a decade of marketing flavors like cotton candy and bubble gum, youth vaping has skyrocketed. In 2019, the National Institute of Health estimated that nearly 30% of high school students were using e-cigarettes. Adolescent use of e-cigarettes was linked to a rash of lung injuries. That year, the New York Times identified 2,506 cases of injury and 54 deaths associated with vaping.
In response to this epidemic, the Food and Drug Administration banned flavored e-cigarettes. The move aimed to curtail the appeal of vaping products to adolescents by eliminating the sweet and fruity flavors that were the rage among teenagers.
However, illegal e-cigarette smuggling remains extensive. An Associated Press report noted that Elf Bar, the small vaping device favored among teenagers, has “repeatedly” dodged customs and avoided taxes and import fees. Many of the shipments of these products are mislabeled as battery chargers and flashlights. Earlier this year, the FDA joined the Department of Justice in pledging to crackdown on these illicit imports.
While the FDA approved the sale of some American products, a federal agency known as the International Trade Commission might eliminate some of them, giving the illegal smugglers a near monopoly of the e-cigarette market. The result would undoubtedly be a billion-dollar giveaway to illegal Chinese manufacturers and smugglers.
Fortunately, some members of Congress seem to understand the threat at hand and are likely to fight back. For example, Rep. Raja Krishnamoorthi, Ranking Member of the House Select Committee on the Chinese Communist Party, has not been shy in discussing how these illegal, Chinese-made e-cigarettes are flooding the U.S. marketplace, and recently announced an investigation into these illegal vape imports.
It is encouraging to find a member of Congress who recognizes this issue isn’t only about preventing illegal vaping but also about ensuring the U.S. does not enrich the Politburo in Beijing. It’s time for the White House, Congress, and the International Trade Commission to similarly recognize the gravity of this crisis and act decisively. Strengthening border enforcement, closing regulatory loopholes, and protecting American-made vaping alternatives are not just matters of trade policy—they’re vital steps to safeguarding our nation’s health and security. Doing anything less would mean surrendering to adversarial actors who profit at our expense — and no one should want that.
William George is the research director for ImportGenius, a data platform that provides businesses with detailed insights into global trade activities. His work on the vaping crisis has been cited by the Associated Press and a slew of newspapers across the country.
Image: Free image, Pixabay license.