Within the Indonesian digital cigarette market, disposable vape have additionally begun to develop into standard, and the real standard product is the disposable Refillable Vape, about 95% market share.
First, the consumer market potential of Indonesia’s Refillable Vape. The market value of Indonesia’s e-cigarettes will attain US$239 million in 2021, and it is expected to proceed to achieve potential growth by means of 2026.
Second, Indonesia has low tariffs and inclined policies, and Chinese e-cigarettes are exported to Indonesia without paying export tariffs;
This can be reflected in Indonesia’s help for the e-cigarette industry. Indonesia has deliberate a large-scale e-cigarette industrial park and invited some Chinese companies to settle in.
Third, Indonesia is at present in a state of weak supervision of the e-cigarette industry. Indonesia is the only country in Southeast Asia that enables TV and media to publish tobacco advertisements.
Therefore, even when the consumption tax rate is not low, the compound progress rate of the Indonesian cartridge Refillable Vape market is still as high as 34.5%.
Fourth, driven by multinational tobacco firms, Indonesia’s attraction to multinational tobacco firms shouldn’t be unrelated to its complex tax laws.
Indonesia is anticipated to boost the country’s economic system via excise tax on e-cigarettes.
In Indonesia’s latest 2023 Government Budget and Expenditure Conference (RAPBN), the government aimed to acquire 245.45 trillion rupiah from tobacco excise tax (CHT), which is similar to 2022. Compared with the target of 224.2 trillion rupiah, the increase is as high as 9.5%.
ISK Vape think that disposable Refillable Vape in Indonesia keep growing with 20% every year.
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