<strong>China''s Low Tar Cigarette Develops Slowly in First Eight Months</strong>

Source from:  China Tobacco Magazine 10/22/2014

The tobacco industry of China grew slowly in both the production and marketing of low-tar-level cigarettes (with a tar level of 8mg or lower) in the first eight months 2014, compared with the fast growth in the whole year of 2013.

From January to August 2014, the tobacco industry reached record highs over 240 billion cigarettes (4.8 million cases) in the production of low-tar-level cigarettes (with a tar level of 8mg or lower), an increase of 2 percent year-on-year; and with the sales volume hitting 250 billion cigarettes (5 million cases), an increase of 4 percent year-on-year, and the growth rate lowed, compared to 14 percent of the same period of last year.

From January to August 2014, the tobacco industry reached record highs over 28 billion cigarettes (0.56 million cases) in the production of low-tar-level cigarettes (with a tar level of 6mg or lower), an increase of 13 percent year-on-year; and with the sales volume hitting 30 billion cigarettes (0.6 million cases), an increase of 17 percent year-on-year, and the growth rate lowed, compared to about 230 percent of the same period of last year.

Judged by the situation of development of low-tar-level cigarettes production and marketing in China in the first eight months 2014, key cigarette brands were the leading forces in the development of low-tar-level cigarettes production and marketing. Output and sales volume of key bands reached 210 billion cigarettes (4.2 million cases) and 167.5 billion cigarettes (3.35 million cases) respectively, accounted to over 98 percent in the production of low-tar-level cigarettes (with a tar level of 6mg or lower).

Judged by sales volume of single brand, the top three brands of low-tar-level cigarettes (with a tar level of 8mg or lower), Huanghelou, Lanzhou and Baisha,, were key brands, with the sales volume of Huanghelou reaching 33 billion cigarettes (0.66 million cases). Judged by sales volume of single brand, the top three brands of low-tar-level cigarettes (with a tar level of 6 mg or lower), Lanzhou, Jiaozi and Huanghelou, were key brands, with the sales volume of Lanzhou reaching 4.5 billion cigarettes (0.15 million cases).

15 brands sales volume of low-tar-level cigarettes (with a tar level of 8mg or lower) reduced in first eight months, and 8 brands sales volume of low-tar-level cigarettes (with a tar level of 6mg or lower) reduced in first eight months. Enditem