According to Euromonitor International data (nicotine pouch oral tobacco data), the global oral tobacco market size reached $11.232 billion in 2024, representing a year-over-year increase of 57.57%. The market is projected to reach $25.148 billion by 2028, with a compound annual growth rate (CAGR) of 22.32% from 2024-2028. The North American and European oral tobacco markets continue to maintain high growth rates with significant market potential remaining. Asian and African oral tobacco markets are currently in early development stages, and as the oral tobacco market further develops, emerging markets' potential is expected to be rapidly realized. Additionally, FDA approval of fruit-flavored oral tobacco products is anticipated to serve as a market catalyst, further accelerating market growth and raising the overall market ceiling.

**High Market Concentration in Oral Tobacco Retail, Strong Performance from Philip Morris International, British American Tobacco, and Altria**

According to Euromonitor International data (nicotine pouch oral tobacco data), the global oral tobacco market size reached $11.232 billion in 2024, up 57.57% year-over-year, with projections to reach $25.148 billion by 2028, representing a 2024-2028 CAGR of 22.32%. The North American market reached $8.775 billion in 2024, up 58.30% year-over-year, projected to reach $19.449 billion by 2028 with a 2024-2028 CAGR of 22.01%. The European market reached $2.415 billion in 2024, up 56.12% year-over-year, projected to reach $5.608 billion by 2028 with a 2024-2028 CAGR of 23.45%. The Asia-Pacific market reached $0.042 billion in 2024, up 8.29% year-over-year, projected to reach $0.087 billion by 2028 with a 2024-2028 CAGR of 19.97%. The Middle East and Africa oral tobacco market is projected to reach $0.003 billion by 2028, with a 2024-2028 CAGR of 48.46%.

Analysis indicates that primary markets - North America and Europe - continue to maintain high growth rates with substantial market space remaining. Emerging markets in Asia and Africa are in early development stages, and as the oral tobacco market further develops, emerging market potential is expected to be rapidly realized.

From a brand perspective, the top three oral tobacco retail market share holders in 2024 were Philip Morris International, British American Tobacco, and Altria Group, capturing 41.1%, 24.6%, and 13.8% respectively, with the three companies collectively holding 79.5% of the oral tobacco retail market, indicating high market concentration.

In 2024, Philip Morris International's ZYN nicotine pouch sales reached 644 million cans, up 52.93% year-over-year, with U.S. sales of 581 million cans, up 51.49% year-over-year. In the first half of 2025, ZYN nicotine pouch sales reached 438 million cans, up 48.2% year-over-year, with U.S. sales of 394 million cans, up 47.8% year-over-year.

In 2024, British American Tobacco's oral tobacco products (including Velo, Grizzly, and Lundgrens brands) achieved sales of 8.3 billion pouches, up 55% year-over-year, with U.S. sales of 1 billion pouches, up 234% year-over-year. First half 2025 sales reached 5 billion pouches, up 42.2% year-over-year, with U.S. sales of 1.1 billion pouches, up 206% year-over-year.

Analysis suggests that as market leaders, Philip Morris and British American Tobacco maintained high-speed growth in oral tobacco sales during 2024 and the first half of 2025. With further policy support, fruit-flavored products are expected to rapidly gain traction in major markets and achieve quick volume growth in emerging markets.

**FDA Authorizes Sale of 20 ZYN Nicotine Pouch Products**

On January 16, 2025, the U.S. Food and Drug Administration (FDA) approved 20 ZYN nicotine pouch products through Pre-Market Tobacco Product Application (PMTA) review. Due to significantly lower harmful component content compared to cigarettes and most smokeless tobacco products (such as wet snuff and snuff), the authorized products present lower cancer and other serious health condition risks than these products. The FDA determined that the specific products receiving marketing authorization meet the public health standards required by the 2009 Family Smoking Prevention and Tobacco Control Act.

FDA-authorized products include the following, each available in two nicotine strengths (3mg and 6mg): ZYN Chill, ZYN Cinnamon, ZYN Citrus, ZYN Coffee, ZYN Cool Mint, ZYN Menthol, ZYN Peppermint, ZYN Smooth, ZYN Spearmint, and ZYN Wintergreen.

The FDA approval of fruit-flavored oral tobacco products is expected to serve as a market catalyst, further accelerating market growth and raising the overall market ceiling.

**Jincheng Medicine Deepens Nicotine Market Focus, Approved Capacity Increased to 200 Tons/Year in July 2025**

Jincheng Medicine serves as a core domestic nicotine supplier, specializing in high-purity nicotine (≥99.5%) research and production. Products are primarily used in new tobacco, pharmaceutical intermediates, and pesticide sectors. The company has established a "nicotine raw material production - new tobacco terminal product development" industrial chain through wholly-owned subsidiary Shandong Jincheng Medicine Chemical Co., Ltd. and controlled enterprise Jincheng Neo.

Regarding certifications, Jincheng Medicine's synthetic nicotine has passed U.S. FDA PMTA applications, EU REACH, and other certifications including ISO and GMP (pharmaceutical grade). In July 2025, the company received a "Tobacco Monopoly Production Enterprise License" (electronic cigarette nicotine production enterprise) from the State Tobacco Monopoly Administration, with validity extended to June 30, 2028. Approved electronic cigarette nicotine production capacity increased to no more than 200 tons/year, which will positively impact the company's further sales volume enhancement.

With approved capacity growth, the company is expected to further increase investment in oral tobacco business and capture market orders. As the oral tobacco market continues expanding, the company is positioned to benefit and occupy advantageous positions in the supply chain.

**Investment Recommendations:**

Oral tobacco supply chain: Jincheng Medicine (300233.SZ), Rundo Shares (002923.SZ)

Atomization supply chain: SMOORE INTL (06969), RLX Technology (RLX.US), Winhope Technology (300457.SZ)

Tobacco supply chain: CTIHK (06055), CHINA BOTON (03318), HUABAO INTL (00336), Jinjia Group (002191.SZ)

**Risk Warnings:** New tobacco policy change risks; sales/corporate development falling short of expectations; intensified market competition risks.