Mexico's ban on vapes could give drug cartels more revenue - 'those selling cocaine, fentanyl, marijuana are selling you vapes' | Fortune

"The cartel said it was seizing the store, which would only be allowed to sell online outside the state. That was in early 2022, when vapes were still legal in Mexico, a market worth $1.5 billion. But earlier this month, the country banned the sale - although not the use - of electronic cigarettes. Experts believe organized crime will now consolidate its control over the sale of the devices."

""By banning it, you're handing the market to non-state groups" in a country with high levels of corruption and violence tied to the cartels, said Zara Snapp, director of the Mexico-based Ría Institute, which studies drug policy in Latin America. The ban also potentially strengthens the cartels by giving them another revenue stream that is not a high priority for the United States government, because vapes are still legal there, said Alejandro Rosario, a lawyer representing many vape shops."

"Vaping is legal and regulated in the U.S. and Europe, but it's now banned in at least eight Latin American countries. Some countries, like Japan, have used e-cigarettes to reduce tobacco use, but regulation has been on the rise, supported by the World Health Organization, which is concerned about growing teen use. Former Mexican President Andrés Manuel López Obrador, an outspoken critic of vaping, banned the import and sale of e-cigarettes."

Vape retail in Mexico was a $1.5 billion market when sales were legal. In early 2022 a cartel abducted two employees, blindfolded them and seized a store, restricting it to online sales outside the state. The government banned the import and sale of electronic cigarettes while leaving use legal; a constitutional amendment passed in January 2025. The prohibition removes the legal retail channel, creating an illicit market in a country with high corruption and cartel violence. The ban is likely to consolidate organized crime control over sales and provide cartels with an additional revenue stream, while vapes remain legal in the United States.

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