Sen. Tim Scott joins Senate Republican colleagues in urging Treasury and USTR to crack down on illicit Chinese e-cigarettes

WASHINGTON — U.S. Senator Tim Scott (R-SC) joined Sen. Steve Daines (R-MT) and Senate Republican colleagues in sending a letter to Department of Treasury Secretary Scott Bessent and United States Trade Representative Ambassador Jamieson Greer urging action to curb the influx of illicit Chinese e-cigarettes into the United States.

Below are highlights and excerpts from the letter:

“We write to draw your attention to the growing risks associated with the massive volumes of illicit Chinese e-cigarettes flooding into the United States. We fully support President Trump’s aggressive, multi-agency enforcement actions taken to confront this pressing threat as addressing illegal activity of this magnitude and consequence requires a comprehensive strategy and response. Accordingly, we respectfully urge the Treasury Department and the United States Trade Representative (USTR) to take appropriate action within their respective authorities.

“The Chinese Communist Party, through China’s State Tobacco Monopoly Administration (STMA), exports hundreds of millions of illegal e-cigarettes to the United States each year, flooding the domestic market, and generating billions of dollars in revenue. The proceeds generated by STMA may be helping to fund military or technological initiatives designed to undermine American economic and strategic interests. Federal agencies have also linked Chinese manufacturers to Mexican cartels and money laundering operations. Earlier this year, the Financial Crimes Enforcement Network (FinCEN) reported that illicit Chinese e-cigarettes are being used as part of a trade-based money laundering scheme to move fentanyl proceeds on behalf of Mexican cartels.

“Given the scale and severity of this threat, we urge the Treasury Department and USTR to use their respective enforcement and diplomatic authorities to combat illegal Chinese e-cigarettes. Whether tackling money laundering operations via FinCEN or negotiating directly with Chinese leaders to prevent future shipments of illegal e-cigarettes, your leadership is necessary to help curtail this growing security risk. We appreciate your consideration and are ready to assist.”

South Carolina Attorney General Alan Wilson and the South Carolina Sheriffs’ Association also voiced their support for Sen. Scott’s effort to strengthen enforcement and crack down on this illegal trade that puts communities at risk.

“In South Carolina, during a recent crackdown on illegal THC products being sold in vape shops, we also saw what a serious public safety issue illegal Chinese nicotine vapes are creating. They’re targeting our teens and children with fruity flavors and designs that contain technology and games. These products are not only addictive but extremely dangerous because we have no idea what chemicals might be in them,” South Carolina Attorney General Alan Wilson said. “Our investigators also believe that Chinese- made vape components are used to make extremely potent THC vape pens that also often find their way into the hands of minors.”

“South Carolina’s sheriffs see firsthand the impact these illicit Chinese e-cigarettes are having on our communities,” said Sally Foster, executive director, South Carolina Sheriffs’ Association. “These products raise public safety concerns, place our young people at risk, and support criminal networks that operate well beyond our state and national borders. We appreciate the continued support of our federal leaders for the work of state and local law enforcement in protecting our communities, and we respectfully urge timely action on this important issue.”

Read the full letter text here.

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