Panama Introduces New Vape Law After Previous Ban is Lifted
Since May 2024, Panama has lacked active legislation regulating electronic cigarettes after the Supreme Court declared Law No. 315 unconstitutional. This law had completely banned their commercialization. In response to this legal void, Bill No. 227 has been introduced, replacing the absolute prohibition with a regulatory framework that strengthens controls, reduces health risks, protects minors, and establishes clear tax bases for the commercial activity of these products.
The bill, presented by Deputy Medin Jiménez Pitti, seeks to regulate the use, marketing, quality control, and supervision of electronic cigarettes and other nicotine delivery systems in Panama, with a central focus on preventing consumption among minors.
The Chamber of Deputies added that the bill «introduces a clear and specific fiscal framework that will allow the Panamanian state to collect taxes on products that currently operate without regulation or contribution to the treasury».
The legislative proposal, which was sponsored by the Commission on Labor, Health, and Social Development of the National Assembly on October 27 of last year, establishes fines of up to one hundred thousand balboas for those who sell or provide these products to minors. It also prohibits the use of characters, flavors, and designs attractive to children and adolescents, and obligates establishments to place visible notices about the restriction of sales to minors, among other provisions.
Positions of Business Groups
The Chamber of Commerce, Industries, and Agriculture of Panama (CCIAP) points out in a letter to the Commission that the proposed regulation «represents a necessary advance to protect minors through the strict prohibition of sale and marketing to this population group, imposing severe sanctions on those who fail to comply».
For its part, the Libertad Foundation highlights in its note to the Commission that the initiative «is consistent with the principles of rational regulation, effective supervision, and respect for economic freedom», and affirms that the text combats illicit trade, protects minors, and creates a progressive tax structure without resorting to arbitrary or disproportionate measures, adding that «this type of regulation based on transparency and individual responsibility is what Panama needs to advance towards a freer and more prosperous country».
Finally, the Panama Association for Tobacco Harm Reduction (ARDTP) backed the initiative «in the light of scientific evidence and international regulatory models that confirm that non-combustion nicotine delivery products significantly reduce exposure to toxic and carcinogenic substances compared to conventional cigarettes».
The Association recalled that the U.S. Food and Drug Administration (FDA) has recognized these products as a less harmful alternative for adult smokers who cannot quit the habit.
According to data released by the Ministry of Health (MINSA) this year, the use of electronic cigarettes among adolescents rose from 6.4% in 2017 to 8.5% in 2023. During the period of the ban's validity, youth consumption did not decrease but actually registered an increase.
