The Russian Consumer Rights Protection and Public Welfare Supervision Bureau (Rospotrebnadzor) has banned the sale of HQD brand e-cigarettes and energy drinks after an inspection found that the promotion of the products together violated regulations prohibiting the promotion of nicotine products.
The ban, confirmed in a report by Russian newspaper Izvestia on August 11, follows a complaint filed by Oleg Pavlov, Chairman of the Public Commission at Rospotrebnadzor.
The inspection, initiated at the request of the Russian Prosecutor General’s Office, found that online stores selling HQD e-cigarettes and energy drinks had been in violation of the law “On the Protection of Citizens’ Health from the Harmful Effects of Environmental Tobacco Smoke and the Consequences of Nicotine Consumption.”
The law prohibits the sale and promotion of nicotine-containing products, and officials argued that promoting e-cigarettes and energy drinks under the same brand encouraged consumption of nicotine.
“This type of marketing violates the law that aims to protect public health by preventing the promotion of nicotine-related products, particularly to young people,” said Pavlov. The company involved, HQD, is a Chinese brand, and its Russian operations are managed by AO “Meridian-Trade.”
The issue arose from HQD’s use of the same brand name for both its e-cigarette and energy drink products. The energy drink line, sold under the same brand, was found to be part of an effort to market e-cigarettes indirectly, particularly to younger demographics.
Rospotrebnadzor’s investigation concluded that this branding strategy was a violation of Russian laws designed to restrict nicotine product promotion.
Despite the investigation and the findings, Meridian-Trade issued a statement denying that there was any official ban on their products. The company argued that the sale of HQD Energy drinks could not be prohibited without a court ruling, and the company has not yet received such a ruling.
They also pointed out that current Russian advertising laws allow for different product categories to share similar trademarks, so long as there is no direct overlap in the types of goods or services.
However, legal experts disagree with this interpretation. Anton Nedzvetsky, a lawyer involved in the case, argued that using the same brand for energy drinks and e-cigarettes is a clear violation of the law. “The use of the same trademark for energy drinks and nicotine products is prohibited because it effectively promotes nicotine consumption,” Nedzvetsky said.
Pavel Shapkin, Chairman of the All-Russian Consumer Rights Protection Alliance, called the situation “shocking” and emphasized the need for the company to face significant penalties for their actions.
The company may be subject to legal consequences under Article 14.3.1 of the Russian Federal Administrative Offenses Code, which forbids the sponsorship, advertising, and promotion of nicotine-containing products. Violations of this law can result in fines of up to 150,000 rubles (US$1,884).
In a statement released after the report, Meridian-Trade emphasized that if the court finds that the trademarks are too similar and may cause confusion, they are prepared to rebrand the energy drink line. “These products have already captured a significant market share,” the company noted, signaling their commitment to complying with legal decisions if required.
The outcome of further investigations will determine the next steps, but the case has raised concerns over how the Russian government is enforcing its anti-nicotine promotion laws, particularly in the rapidly growing e-cigarette and beverage markets.
