L to R: DTI-Fair Trade Group Assistant Secretary Agaton Uvero, DTI-Communications Undersecretary Ed Sunico, DTI Secretary Fred Pascual, DTI-Consumer and Legal Affairs Undersecretary Amanda Nograles

Manila, Philippines—To safeguard the youth and prioritize public health, Department of Trade and Industry (DTI) Secretary Fred Pascual signed on July 20 the Department Administrative Order (DAO) No. 24-03, series of 2024. This order suspends the online sale of vapor products, vapor product devices, and vapor product systems on marketplaces, effective immediately.

This followed the “Kapihan” dialogues initiated by the DTI with high-level stakeholders in the industry including manufacturers, importers and distributors. Led by Secretary Pascual, these discussions focused on critical aspects of the industry’s regulatory landscape.

Secretary Pascual highlighted the need for (1) robust tracking systems to oversee product movement from importers to retailers, (2) holding manufacturers and importers responsible for illegal or defective products, not just retailers, and (3) ensuring that distributors educate retailers on the law’s limitations and restrictions to ensure compliance.

Moreover, the DTI chief acknowledged concerns raised by manufacturers regarding unused inventory, noting that some had stopped ordering 90-day stock since the transitory period began. While the DTI prefers to avoid imposing new regulations, Secretary Pascual made it clear that severe consequences will result from non-compliance.

“The protection of our youth is non-negotiable. The proliferation of vapor products on online marketplaces has made these harmful substances easily accessible to minors, posing a significant threat to their health and well-being. This suspension is a necessary step to curb this alarming trend,” he said.

The DTI’s decision is anchored on the provisions of Republic Act (RA) No. 11900, also known as the Vaporized Nicotine and Non-Nicotine Products Regulation Act. This law mandates measures to prevent minors from accessing vapor products, particularly through online channels. The suspension also aligns with the government’s commitment to promoting a healthy environment and protecting citizens from potential hazards associated with these products.

“We want businesses to thrive, but it must be in line with the law,” Secretary Pascual stated. “Let’s not profit from selling to minors. As long as you comply, we will support you. However, you must prove that you are preventing minors from buying these illegal products.”

The Department will continue to work closely with relevant agencies to monitor the vape industry and implement stringent measures to ensure compliance with RA 11900.

The DTI’s Task Force Kalasag has made significant strides in regulating the vape industry, resulting in the issuance of 78 notices of violation and confiscation of 64,359 violative vape products—valued at PHP 29,487,100.00—since its formation in April. ♦

Date of release: 20 July 2024