The Department of Trade and Industry (DTI) has introduced a draft Department Administrative Order (DAO) aimed at enhancing regulations on the importation of vaporized nicotine and non-nicotine products, commonly known as vape products. This initiative seeks to combat illegal trade, ensure consumer safety, and streamline import procedures.
Key Provisions of the Draft DAO
The proposed DAO outlines updated documentary requirements for importers applying for a Statement of Confirmation (SOC), a mandatory certification verifying the legitimacy and compliance of imported vape products. The new requirements include:
- Comprehensive Documentation: Importers must submit a packing list, commercial invoice, Bill of Lading or Airway Bill, production batch details, and a valid Philippine Standard (PS) License.
- Financial Assurance: A surety bond of PHP 150,000 is required to ensure compliance with regulations.
- Customs and Tax Compliance: Importers need to provide a valid certificate of registration from the Bureau of Customs, proof of billing and ownership or lease of warehouse space, and an excise tax return with a Bureau of Internal Revenue stamp.
These measures are designed to promote transparency and accountability among importers, aligning with the DTI’s commitment to consumer protection.
Public Consultation and Stakeholder Engagement
The DTI is actively seeking feedback from the public and stakeholders on the draft DAO to ensure that the regulations are comprehensive and effective. This participatory approach aims to incorporate diverse perspectives into the final version of the order.
Background and Context
This draft DAO is part of a series of regulatory efforts by the DTI to oversee the vape industry. In January 2025, the DTI’s Office for the Special Mandate on Vaporized Nicotine and Non-Nicotine Products issued DAO No. 24-11, which updated the licensing scheme for vape products sold in the country. The order required sellers to adopt new marking requirements under the Philippine Standards system and emphasized the need for a valid PS License for all vaporized nicotine and non-nicotine products intended for importation, distribution, and sale in the Philippines.
Non-compliance with these certification requirements can result in penalties, including fines ranging from PHP 100,000 to PHP 400,000, imprisonment of up to three years, and potential revocation of business permits and licenses.
Implications for Importers and Consumers
The proposed regulations underscore the DTI’s commitment to ensuring that vape products in the market meet safety and quality standards. Importers are encouraged to comply with the new requirements to avoid penalties and contribute to consumer safety. Consumers, in turn, can expect enhanced protection against substandard or illegal vape products.
The DTI’s ongoing efforts reflect a proactive stance in regulating the vape industry, balancing the interests of businesses with the imperative of public health and safety.
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