China: Tobacco Market 2024

Tobacco Market Size in China

In 2021, the Chinese tobacco market increased by less than 0.1% to $X, rising for the second consecutive year after three years of decline. In general, consumption, however, saw slight growth. As a result, consumption attained the peak level of $X. From 2017 to 2021, the growth of the market remained at a somewhat lower figure.

Tobacco Production in China

In value terms, tobacco production amounted to $X in 2021 estimated in export price. Overall, production showed a relatively flat trend pattern. The pace of growth was the most pronounced in 2016 when the production volume increased by 42%. As a result, production attained the peak level of $X. From 2017 to 2021, production growth remained at a lower figure.

Tobacco Exports

Exports from China

In 2021, shipments abroad of tobacco (smoking tobacco, chewing tobacco, snuff) decreased by -12.9% to X tons, falling for the second year in a row after three years of growth. Overall, exports faced a abrupt slump. The most prominent rate of growth was recorded in 2017 when exports increased by 27% against the previous year. The exports peaked at X tons in 2014; however, from 2015 to 2021, the exports remained at a lower figure.

In value terms, tobacco exports contracted to $X in 2021. In general, exports showed a abrupt decline. The most prominent rate of growth was recorded in 2013 when exports increased by 22% against the previous year. Over the period under review, the exports hit record highs at $X in 2015; however, from 2016 to 2021, the exports stood at a somewhat lower figure.

Exports by Country

Indonesia (X tons), the United Arab Emirates (X tons) and Mongolia (X tons) were the main destinations of tobacco exports from China, together accounting for 53% of total exports. Japan, Vietnam, the Philippines, Seychelles and Hong Kong SAR lagged somewhat behind, together accounting for a further 11%.

From 2012 to 2021, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Japan (with a CAGR of +68.0%), while the other leaders experienced more modest paces of growth.

In value terms, Indonesia ($X), Japan ($X) and the United Arab Emirates ($X) constituted the largest markets for tobacco exported from China worldwide, with a combined 45% share of total exports.

In terms of the main countries of destination, Japan, with a CAGR of +66.7%, recorded the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2021, the average tobacco export price amounted to $X per ton, growing by 3.1% against the previous year. In general, export price indicated a slight increase from 2012 to 2021: its price increased at an average annual rate of +1.6% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, tobacco export price increased by +8.1% against 2019 indices. The pace of growth appeared the most rapid in 2016 when the average export price increased by 34% against the previous year. As a result, the export price attained the peak level of $X per ton. From 2017 to 2021, the average export prices remained at a somewhat lower figure.

There were significant differences in the average prices for the major overseas markets. In 2021, amid the top suppliers, the country with the highest price was Japan ($X per ton), while the average price for exports to the Philippines ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Macao SAR (+11.9%), while the prices for the other major destinations experienced more modest paces of growth.

Tobacco Imports

Imports into China

In 2021, purchases abroad of tobacco (smoking tobacco, chewing tobacco, snuff) decreased by -23.3% to X tons, falling for the third consecutive year after three years of growth. In general, imports, however, showed a relatively flat trend pattern. The most prominent rate of growth was recorded in 2014 when imports increased by 54%. Over the period under review, imports hit record highs at X tons in 2018; however, from 2019 to 2021, imports failed to regain momentum.

In value terms, tobacco imports declined rapidly to $X in 2021. Over the period under review, imports, however, saw a noticeable increase. The pace of growth was the most pronounced in 2018 when imports increased by 67% against the previous year. As a result, imports attained the peak of $X. From 2019 to 2021, the growth of imports remained at a somewhat lower figure.

Imports by Country

France (X tons), Vietnam (X tons) and Zimbabwe (X tons) were the main suppliers of tobacco imports to China, together comprising 89% of total imports.

From 2012 to 2021, the biggest increases were recorded for Vietnam (with a CAGR of +59.5%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the largest tobacco suppliers to China were France ($X), Zimbabwe ($X) and Vietnam ($X), together comprising 82% of total imports. The United Arab Emirates and India lagged somewhat behind, together comprising a further 14%.

The United Arab Emirates, with a CAGR of +71.3%, saw the highest growth rate of the value of imports, in terms of the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average tobacco import price stood at $X per ton in 2021, dropping by -6.5% against the previous year. Over the period from 2012 to 2021, it increased at an average annual rate of +2.2%. The most prominent rate of growth was recorded in 2018 an increase of 10%. The import price peaked at $X per ton in 2020, and then shrank in the following year.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was the United Arab Emirates ($X per ton), while the price for India ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Zimbabwe (+19.4%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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