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According to a report from The Philippine Star, the Philippine Bureau of Customs Intelligence and Investigation Service conducted a raid on three warehouses in Paranque, Malabon, and Quezon City on the evening of February 29. They discovered a shipment of e-cigarette products worth 4 billion pesos (approximately 5.1 billion Chinese yuan, 70 million USD) that were not registered in the Philippines and lacked the necessary authorization documents.
According to sources, approximately 3 million sets of these products are from the well-known Filipino brand Flava. Sources revealed that Flava is the top e-cigarette brand in the Philippines, with most of its suppliers coming from China and a very large procurement volume. However, during the procurement process, the brand did not fully pay for the goods, with some orders only receiving 30% to 50% payment, and some even just 20%. As a result, the inspection of the goods has had a significant impact on some Chinese e-cigarette companies.
According to reports, the individuals involved in the illegal e-cigarette products are Chinese nationals from the Philippines, and the case is currently under further investigation. In response to this illegal activity, three related warehouses will be swiftly shut down and await the issuance of seizure and detention orders, in order to promptly destroy this batch of smuggled e-cigarettes.
It has been reported that this is not the first time Flava has been investigated. In November 2023, Philippine regulatory authorities seized 1.4 million e-cigarettes from the company, and Flava has been under tax investigation.
In addition, according to sources familiar with the e-cigarette business in the Philippines, on February 29th, a batch of e-cigarettes were burned in front of a government office building in Manila.
2FIRSTS will continue to monitor the regulatory events concerning e-cigarettes in the Philippines, stay tuned for updates.
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