Shares of SMOORE INTL (06969) dropped more than 4% during the trading session. At the time of writing, the stock was down 3.76% to HK$8.19, with a turnover of HK$614.47 million.

The movement follows recent regulatory updates. The mandatory national standards for "Heated Tobacco Products" and "Nicotine Pouches" concluded their public comment period on May 7th and have now formally entered the standard formulation phase.

Market analysis suggests that if the subsequent steps—including finalizing the standards, arranging pilot programs, establishing tax policies, and setting up distribution channels—are implemented step by step, the industrial chains for heated tobacco products and nicotine pouches could experience phased positive catalysts.

Additionally, the topic of tobacco tax reform in China has regained market attention. Observers note that if heated tobacco products are designed within a pricing and taxation framework aligned with higher-tier products in the future, they have the potential to become a significant supplement for stabilizing tobacco tax revenue.