As regulation tightens and innovation matures, competition in the new tobacco industry is shifting. In its 2026 Global Product Trends in the New Tobacco Industry report, 2Firsts examines how heated tobacco, nicotine pouches, and vape products are moving beyond feature-driven upgrades toward system-level design, where experience management, compliance structure, and engineering capability increasingly shape long-term competition.

Alan Zhao analyzes post-Operation Absolute Resolve geopolitics and the rise of “U.S.-referenced regulatory alignment” in South America’s novel tobacco market as U.S. influence grows. Using regulatory reliance, digitalized enforcement, and industrial shifts, he assesses how rule redesign may alter market access, competition, and supply chains, asking how firms can find durable certainty as order is rewritten.

As 2025 draws to a close, China’s State Tobacco Monopoly Administration has released a white paper–style “Status Report” on e-cigarette regulation, systematically outlining its oversight framework, enforcement outcomes and international cooperation. 2Firsts provides exclusive in-depth reporting and analysis, offering insight into China’s regulatory logic and governance direction.

In this in-depth commentary for 2Firsts, Alan Zhao examines what Altria’s on! PLUS authorization really signals about FDA PMTA enforcement. Beyond the headline approval, FDA’s language, process design and product choices offer rare insight into how nicotine pouch regulation is taking shape—and what it means for industry compliance, in one of the earliest expert reads of the decision.

Alan Zhao wrote an article interpreting China's highest-level law enforcement action against illegal tobacco and e-cigarettes. He believes that this is not only an upgrade of domestic governance but will also have a profound impact on the global new tobacco supply chain and market pattern.

As reduced-risk products emerge as the industry’s inevitable future, the question of how to transition has become a defining challenge for tobacco companies. In recent years, JTI has continued to invest in the combustible segment while gradually advancing its next-generation products — a path distinct from that of PMI and BAT, yet one that offers valuable insights for other legacy tobacco companies around the world.

In his analysis of Smoore’s 2025 mid-year report, Alan Zhao notes that U.S. enforcement and Europe’s bans are accelerating industry shake-ups, making compliance capability the dividing line for survival. He argues that Smoore’s strategy has shifted from “understanding” to “executing,” and that the next 12–18 months will be not only a critical transition period for the company but also a decisive stage in reshaping the global vapor industry landscape.

Alan Zhao, CEO of 2Firsts, calls on the global tobacco harm reduction community to “emancipate the mind and seek truth from facts,” rebuild scientific consensus, and drive high-quality development.

Ahead of World No Tobacco Day, China’s tobacco regulator signaled a push for stricter e-cigarette oversight at a press conference. 2Firsts CEO Alan Zhao noted that regulation is entering a deeper phase, with new focus on export re-entry, international pressure, and the inclusion of herbal vapor products. Authorities also vowed to crack down on illegal operations and unapproved projects.

2Firsts CEO Alan Zhao Analyzes the Direction of U.S. E-Cigarette Regulations and Their Impact on China's Supply Chain, Calling for Greater Emphasis on Compliance and Accelerated Elimination of Non-Compliant Businesses.