South Korea to Classify Synthetic Nicotine as Tobacco
South Korea is on the cusp of passing legislation that will classify synthetic nicotine, the key ingredient in e-liquid vaping products, as “tobacco,” subject to stricter regulations. The National Assembly’s ruling and opposition parties have reached an agreement on the framework, which includes a partial grace period for existing e-liquid businesses regarding school proximity restrictions and taxation.
The amendment to the Tobacco Business Act aims to close a regulatory loophole that has allowed e-liquid products to avoid tobacco regulations, as they don’t use “tobacco leaf” as a raw material. This gap has raised concerns about the impact on youth, as e-liquid products have been sold without restrictions on advertising, online sales, and proximity to schools.
Under the agreement, e-liquid shop owners will be granted a two-year deferral on retail distance limitations to account for lease periods. However, the parties are still discussing tax exemptions, which will require further subcommittee deliberation.
If passed, the bill is expected to help reduce youth smoking rates and secure tax revenue. The legislation is scheduled for processing in the plenary session this month, following its anticipated passage in the Economic and Fiscal Subcommittee on February 18, 2025.
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