Vape makers turn to 'Made in America' credentials amid Trump's tariffs, crackdown

• The U.S. vape market was worth approximately $12 billion in 2024, with unlicensed products representing 70% of sales despite only 41 vapes receiving FDA authorization
• Chinese vape exports to the U.S. exceeded $4 billion in 2025 with no decline in shipments, indicating the 'Made in America' branding may be primarily a repackaging strategy rather than genuine production shifts
• Brands like Maxus Star and OneTank promote American manufacturing but remain linked to Hong Kong and Shenzhen-based companies, suggesting the strategy aims to evade customs enforcement targeting Chinese imports

Summary: Vape Makers Pivot to "Made in America" Branding Amid Tariffs and Crackdown

The U.S. vaping market, valued at approximately $12 billion in 2024, is experiencing a surge in "Made in America" branded products as manufacturers respond to Trump administration tariffs and regulatory enforcement against unlicensed Chinese imports.

Key Developments:

• At least eight new vape brands emphasizing American credentials have emerged since October, though Reuters analysis reveals at least two remain Chinese or Hong Kong-owned
• Unlicensed vapes represent roughly 70% of U.S. sales, with only 41 products FDA-licensed
• Chinese vape exports to the U.S. exceeded $4 billion in 2025, showing no decline despite the crackdown

Company Activity:

Major tobacco player British American Tobacco (BAT) and analyst Pallav Mittal of Barclays suggest manufacturers are using patriotic branding to evade customs scrutiny. Examples include Maxus Star (linked to Hong Kong-based Rivermountain Tech) and OneTank (connected to Shenzhen Onevape Technology). Small U.S. firm Charlie's Holdings opened its first domestic factory in December for e-liquid filling, though devices remain Chinese-manufactured.

Market Implications:

The shift may significantly slow the transition from illegal to legal vape products, disappointing major tobacco companies hoping to regain market share. Barclays analyst Mittal warns that if unlicensed players successfully circumvent enforcement through rebranding, the regulatory crackdown's impact will be "more gradual than expected."

Regulatory Response:

The FDA maintains that unauthorized vapes remain illegal regardless of origin. The Trump administration has specifically targeted Chinese devices, with officials claiming China profits from "dangerous" illegal imports. However, the evolving marketing tactics suggest enforcement challenges persist in the multi-billion-dollar industry dominated by Chinese manufacturing.