Introduction

Over the past year, the UAE has witnessed a rising trend that’s catching the attention of both business owners and vaping enthusiasts — vape shop closures. This growing wave of vape closures in the UAE is sparking concern across the community. From mall kiosks to standalone stores, many are shutting their doors, raising the question: Why is this happening now?

In this article, we dive into the key factors contributing to this shift, the broader implications for the vaping industry, and what consumers and entrepreneurs need to know.

Understanding the Surge in Vape Closures UAE

The UAE, known for its progressive regulatory approach and thriving retail culture, legalized the sale of e-cigarettes in 2019. Initially, the move offered a promising opportunity for vape businesses. However, recent closures hint at a changing environment.

Let’s explore the main forces driving this change.

Government Regulations and Compliance Pressure

Stricter Enforcement of Vape Laws

Since legalization, the UAE has maintained tight control over the vaping market. But in recent months, compliance checks have increased significantly.

Authorities are cracking down on:

• Shops selling unlicensed or non-compliant products
• Businesses lacking proper documentation
• Vendors targeting underage consumers

These stricter policies aim to ensure consumer safety and limit health risks. However, for smaller vape retailers, the cost and complexity of compliance are becoming a heavy burden — leading many to shut down.

Emirates Authority for Standardization and Metrology (ESMA)

All vape products in the UAE must adhere to ESMA standards. These guidelines cover everything from nicotine strength to packaging. Recently, several international brands were pulled from shelves after failing updated ESMA inspections, leaving retailers with unsellable stock and significant financial losses.

Economic Challenges Impacting Retail

Post-Pandemic Retail Shake-Up

The retail landscape is still recovering from the effects of the COVID-19 pandemic. While malls and high-street stores have bounced back in many sectors, niche businesses like vape shops continue to struggle with foot traffic and high rent.

With lower customer turnout and increased operational costs, many vape shops are choosing to exit the market.

Rise in Online Competition

E-commerce platforms are now a preferred shopping channel for UAE residents. Despite strict regulations on online vape sales, grey-market websites continue to operate, offering cheaper, imported products. This undercuts physical vape stores, making it harder for them to compete.

Shifts in Consumer Behavior

Growing Health Awareness

Across the UAE, public health campaigns are promoting tobacco and nicotine cessation. As a result, many former smokers who turned to vaping are now quitting altogether. This shift in mindset is reducing the customer base for vape retailers.

Misinformation and Fear

Some closures are being driven by changing perceptions. News coverage linking vaping to health scares, particularly among teens in other countries, is causing anxiety among consumers — even in regulated environments like the UAE. This uncertainty leads to reduced sales and trust in vape products overall.

Licensing and Business Environment

Licensing Costs and Restrictions

To operate a vape shop in the UAE, entrepreneurs need trade licenses, health authority approvals, and ESMA certifications. These licenses are expensive and require annual renewal. For many small business owners, the mounting fees aren’t sustainable — especially when combined with lower revenues.

Limited Product Range

Due to the UAE’s strict product import regulations, shops are limited in what they can sell. This limits consumer choice and makes it hard for vape stores to attract and retain loyal customers. When customers can’t find their preferred brands, they turn to online alternatives or stop vaping entirely.

Broader Industry Trends Affecting Vape Closures UAE

Global Supply Chain Issues

International vape manufacturers are facing regulatory crackdowns in their own countries. This delays production, limits exports, and creates gaps in supply. UAE retailers reliant on global brands are struggling to maintain inventory, leading to inconsistent offerings and customer dissatisfaction.

Shifting Business Focus

Some entrepreneurs who originally invested in vape retail are now pivoting toward more stable sectors — such as technology or food services. The high risk associated with compliance, along with unstable demand, makes vaping a less attractive business venture in 2025.

What This Means for Vapers in the UAE

The trend of vape closures UAE doesn’t just impact businesses — it reshapes the experience for consumers too.

• Limited access to quality products: With fewer physical stores, it’s harder for vapers to find trusted, compliant products.
• Increased reliance on online stores: While convenient, this raises concerns about product authenticity.
• Reduced community support: Vape stores often serve as educational hubs. Without them, new vapers lack guidance on safe use and quitting strategies.

What Vape Business Owners Should Consider

For those still operating or planning to enter the vape market in the UAE, there are important steps to take:

• Stay updated on ESMA and health authority guidelines.
• Avoid grey market products — always verify sourcing.
• Invest in staff training and customer education.
• Explore digital marketing legally and ethically.

Sustainable success in this market requires transparency, quality control, and strong customer relationships.

FAQs

Why are vape shops closing in the UAE?

Vape shops are closing due to stricter regulations, high compliance costs, changing consumer behavior, and economic pressures post-pandemic.

Is vaping legal in the UAE?

Yes, vaping is legal in the UAE, but all products must meet government standards set by ESMA and other regulatory bodies.

Can I buy vape products online in the UAE?

Online sales of vape products are heavily regulated. While some platforms exist, it’s safer to buy from certified physical retailers.

Are health concerns influencing vape shop closures?

Yes, increased public awareness and health campaigns are encouraging people to quit nicotine altogether, reducing demand for vape products.

What should I do if my local vape shop closed?

Look for other licensed retailers or consult with healthcare professionals about safe alternatives or quitting options.