Home International US Vape Market Faces Shortage as Tariffs and Crackdowns Hit Chinese Imports

US Vape Market Faces Shortage as Tariffs and Crackdowns Hit Chinese Imports

The United States is facing a growing shortage of popular disposable vapes such as Geek Bar, as steep tariffs and intensified enforcement actions choke off supply from China. The disruption has triggered rising prices, panic buying, and a scramble among retailers and distributors.

Official data from the U.S. Food and Drug Administration (FDA) show a dramatic collapse in vape imports from China, with only 71 shipments recorded between May 1 and May 28, down from nearly 1,200 during the same period last year. The decline follows sweeping seizures of unauthorized products and a significant tariff hike by the Trump administration, with levies on Chinese vapes reaching 30% after peaking at 145% in April.

One U.S. vape distributor described the situation as unprecedented, noting that regular shipments of Geek Bar, a brand not authorized by the FDA but previously widespread, have dropped by nearly 90%. Some wholesalers have imposed strict purchase limits due to “tariff-related price increases and limited market availability,” according to internal notices shared with Reuters.

“COVID-19 caused disruptions, but this is something else entirely,” said a retailer who requested anonymity. “We’re talking about nicotine here; demand isn’t going anywhere.”

Despite lacking FDA approval, Geek Bar became the most widely sold unauthorized vape brand in the U.S. in 2024, accounting for roughly a quarter of tracked sales, according to Circana, a market research firm. Many of these vapes, produced in Shenzhen, China, the heart of global vape manufacturing, entered the U.S. market by evading customs scrutiny, often misdeclared as unrelated items like toys or shoes.

Industry insiders say the combination of tariffs, heightened border inspections, and major seizures, including a large haul in Chicago in February, have severely curtailed availability. New FDA Commissioner Marty Makary has pledged stricter enforcement against illicit e-cigarettes, bolstering the crackdown.

While vape prices are expected to rise, experts believe the impact on consumption may be limited. “Even with a $5 increase, Geek Bars are still affordable compared to traditional cigarettes,” one distributor noted.

To skirt tariffs, some unauthorized producers are reportedly shifting production to lower-tariff countries such as Indonesia and Vietnam, a trend expected to accelerate if trade barriers persist. “The industry is highly adaptable,” said a former employee of a Chinese vape firm. “Whatever happens in the U.S., the market will find a way.”

In the meantime, the shortage is set to persist, with both legal and black-market players grappling with supply chain disruptions, enforcement pressure, and a consumer base unwilling to quit.

Written By Rodney Mbua

Exit mobile version