MEXICO CITY, Mexico: Mexico's sweeping ban on electronic cigarettes is reshaping the country's vape market, driving legal sellers underground and strengthening the grip of organized crime on a business once worth an estimated US$1.5 billion.

For some shop owners, cartel involvement predates the ban. In early 2022, when vaping was still legal, armed men linked to a cartel abducted two employees from a northern Mexico vape store, blindfolded them, and demanded to speak to the owners.

"They don't come asking whether you want to (give them your business) or not, they come telling you what's about to happen," said one of the owners, now 27 and living in the United States, who spoke on condition of anonymity out of fear of reprisal.

Earlier this month, Mexico formally banned the sale — though not the use — of e-cigarettes, following a years-long push by former President Andrés Manuel López Obrador. Experts say the move is likely to consolidate cartel control rather than eliminate the trade.

"By banning it, you're handing the market to non-state groups" in a country grappling with corruption and cartel violence, said Zara Snapp, director of the Ría Institute, which studies drug policy in Latin America.

Alejandro Rosario, a lawyer representing vape shops, said the ban creates a new revenue stream for criminal groups that draws little attention from U.S. authorities, since vapes remain legal north of the border.

Push to Ban

Vaping is regulated in the United States and Europe, but is now banned in at least eight Latin American countries. The World Health Organization has backed more burdensome regulations, citing rising teen use.

After Mexico's Supreme Court ruled López Obrador's original ban unconstitutional, he pushed for a constitutional amendment, which passed in January 2025 under President Claudia Sheinbaum. Electronic cigarettes were grouped alongside fentanyl — a move many lawyers say is disproportionate.

The absence of implementing legislation initially allowed vapes to keep flowing into Mexico from China and the U.S. Authorities nonetheless carried out seizures, including 130,000 devices at the port of Lazaro Cardenas last February.

In December, a new law closed the loophole, banning nearly all vape-related activity except consumption and introducing fines and prison sentences of up to eight years.

"I don't want to go to jail," said Aldo Martínez, a Mexico City shop owner who immediately stopped selling vapes, despite the products accounting for two-thirds of his income.

He fears authorities could raid his shop and plant devices to extort him, a concern shared by consumers, who say the law's vague language leaves room for abuse.

"If I make a vague law … I give corrupt authorities the ability to interpret it in a way to extort people," said Juan José Cirión Lee, a lawyer and president of Mexico and the World Vaping, who plans to challenge the law in court.

Cartels Corner Market

As regulations tightened, organized crime expanded its footprint, particularly in northern states and major cities. Some groups branded their products with stickers, mirroring tactics used in the fentanyl trade.

"I have lost about 40% of my clients," Rosario said, citing intimidation and violence.

A report by the NGO Defensorxs said the Jalisco New Generation Cartel operates businesses repackaging Asian vapes, while the Sinaloa cartel and smaller groups are active in the black market.

Mexico's ban took effect on January 16. The next day, authorities seized more than 50,000 vapes in Mexico City, framing enforcement as youth protection.

Critics disagree. "Those selling cocaine, fentanyl, and marijuana are selling you vapes," and do not care if buyers are minors.

Experiences elsewhere are mixed. Brazil banned vapes in 2009, but youth use remains widespread. In the U.S., adolescent vaping fell to a decade low in 2024 amid tighter regulations.

Despite the risks, demand persists. Some consumers are making "panic buys," said the former shop owner now in the U.S. In contrast, a small border-region seller said he expects the entire market to fall under cartel control eventually.