On Wednesday, RLX Technology (RLX.US) saw its shares climb more than 3%, trading at $2.37. The company announced that its board of directors has approved an extension of the existing share repurchase plan by 24 months, now set to run until December 31, 2027. The original share buyback program was initially established in December 2021 and had previously been extended in December 2023. Under the terms of the existing plan, the company is authorized to repurchase up to $500 million worth of its ordinary shares represented by American Depositary Shares (ADS) by December 31, 2025. As of December 31, 2025, the company has cumulatively repurchased approximately 170 million ordinary shares represented by ADS, amounting to a total value of about $330 million, leaving an unused quota of approximately $170 million. According to the newly extended repurchase plan, the company may now repurchase a total of about $170 million worth of ADS by December 31, 2027.

In other news, the State Tobacco Monopoly Administration recently solicited public comments on a draft notification titled "Notice on Implementing E-cigarette Industry Policies to Further Promote a Dynamic Balance Between Supply and Demand." The draft proposes strengthening the regulation of e-cigarette production capacity. It emphasizes advancing supply-side structural reforms in the e-cigarette industry guided by market demand, coordinating factors such as corporate equipment levels, operational conditions, and industry trends, and implementing a verified production capacity management system based on the principles of "fairness and transparency, categorized measures, and steady, orderly progress." In principle, the approved e-cigarette production capacity should remain largely stable; e-cigarette-related manufacturers must conduct their production and operations within the approved capacity limits and are strictly prohibited from exceeding them. Any adjustments to capacity require applying for a re-verification and going through the necessary licensing procedures. The draft also allows legally compliant e-cigarette manufacturers that adhere to industrial and regulatory policies to engage in capacity integration and restructuring, such as through the consolidation of production sites, aiming to enhance corporate management efficiency and capacity utilization rates.