E-vapour products have become a topic of growing debate in key Latin American markets. Brazil and Mexico have experienced different market evolutions over the past few years. Mexico used to have a legal e-vapour market without proper regulation, while Brazil has banned products since 2009. As of 2025, both countries have banned the distribution and sales of e-vapour products, driving the illicit trade. In contrast, Colombia regulated products in 2024, driving the legal market in the region, but still has a mix of legal and illicit products.
Framework for e-vapour trade: Banned, no outright regulation, and regulated markets
To cover various e-vapour markets and group similar markets under a single outline, Euromonitor’s framework streamlines this analysis. For further information, read our article, Navigating the E-Vapour Market and the Rise of Illicit Products.
Despite having different regulatory landscapes in Brazil, Colombia and Mexico, the prevalence of e-vapour usage among these three countries is considerable.
Brazil, Colombia and Mexico have 7.3%, 8.9% and 13.6%, respectively, of their respondents consuming e-vapour products at least weekly
Source: Euromonitor’s Voice of the Consumer: Nicotine Survey, fielded January to February 2024
In addition to daily and weekly users, occasional consumption is also relevant in the region, driven by non-previous nicotine users and young adults.
Despite extensive seizure operations throughout the country, e-vapour products can easily be found across different channels, from specialised tobacco stores and online stores to newspaper kiosks and street vendors. The latter channel is an important driver, as the category gained a close relationship to social events, driven by young adults. Two proposed bills aim to change the regulatory landscape in opposing directions. One bill from the Deputy Chamber seeks to codify the current ban into federal law, while the other from the Senate proposes to regulate the market. According to Euromonitor’s analysis, it is most likely that the ban will be enacted, although the regulatory future remains uncertain.
Colombia’s market develops in line with regulations
In May 2024, a federal law reinforced Colombia's e-vapour industry's legality. Colombia’s market has developed quickly and is now almost 50% of Latin America’s legal e-vapour market. Not only are innovative disposable devices that are legally available in the country responsible for such development, but there is also an extensive channel offering. Products are available through modern channels, including chained convenience stores, shopping centre stalls, e-commerce websites and delivery apps. In addition to these, informal sales continue through social media and street vendors, underscoring the significant role informal channels play in Latin America. The illicit penetration of single-use products is expected to be approximately 4% in volume terms in 2025, the lowest of all the regions.
Mexico’s grey market becomes pitch black as total ban comes into effect
Mexico has undergone a unique evolution in its regulatory landscape. Until January 2025, e-vapour products were legal but not regulated, as the country’s constitution allowed the e-vapour market indirectly. Consequently, several brands could be found in different channels, from chained retailers, such as pharmacies and convenience stores, to informal channels. In January 2025, a constitutional amendment came into force, banning the category. The change mainly impacted the efforts of one international tobacco company that entered the market with e-vapour products in 2022 and needed to cease its sales.
Brazil, Colombia and Mexico are great examples of how the dynamic landscape of e-vapour products is evolving in Latin America and how recent regulatory developments can impact the market and create uncertainty for consumers and manufacturers. It is important to keep examining regulatory changes and their impact on the illicit trade. Regulatory changes in other markets, such as the UK, can also be considered to understand the fine balance between prohibition as both a health measure and an unintentional driver for illicit trade.
For in-depth analysis of the tobacco market, read our report, World Market for Tobacco. If you are interested in Euromonitor’s illicit e-vapour research, you can contact your Passport account manager, or Erwin Henriquez.
Additionally, learn more about Euromonitor’s Market Landscape Reports, to understand how custom research can support your company with strategic planning, validating hypothesis and guiding expansion decisions.