Chinese Communist Party’s “Tobacco Tiger” Xu Xiang Under Investigation: How Many Billions Did He Greedily Take from the People in Mainland China?

Recently, Xu Jie, the deputy director of the China Tobacco Monopoly Bureau, known as “Tobacco Tiger” within the Chinese Communist Party (CCP), has come under investigation for corruption. The tobacco industry is one of the most profitable industries in China, and corruption is rampant within it. Many mainland netizens are questioning how much Xu Jie has embezzled and whether the amount will set a new record for corruption.

According to a report by the CCP Central Commission for Discipline Inspection and the National Supervisory Commission on May 25, Xu Jie, a member of the CCP Tobacco Monopoly Bureau Party leadership and the deputy director, is suspected of serious violations of discipline and the law. Currently, he is undergoing disciplinary review and supervision investigation by the central authorities.

Public records show that Xu Jie, born in October 1964, holds a master’s degree in law and is a CCP member. He has held various positions within the CCP tobacco system, including Director of Policy, Law, and System Reform Department, Deputy Director of Policy, Law, and System Reform Division; Communist Party Committee member and Deputy General Manager of Yunnan Tobacco Industrial Company, as well as Chairman of tobacco companies in Zhejiang, Hubei, Hunan, Guangdong, and Guangxi provinces.

Since June 2010, Xu Jie has served as the Secretary, Director, and General Manager of the Jiangxi Tobacco Monopoly Bureau (Company), as well as the Secretary, Director, and General Manager of the Beijing Tobacco Monopoly Bureau (Company) starting from March 2014. He held the position of member of the Party Committee and deputy director of the National Tobacco Monopoly Bureau until his current investigation.

Xu Jie’s most recent public appearance was reported to be on May 14, when he conducted research at the Hebei Tobacco Monopoly Bureau along with the key personnel from the CCP National Bureau of Financial Management and Supervision (Audit Bureau).

Up to now, the CCP official WeChat account of the Tobacco Monopoly Bureau, “Tobacco Briefing,” has deleted recent reports related to Xu Jie.

Xu Jie’s downfall has sparked discussions among mainland netizens:

“The fact that the tobacco system is being investigated is a big deal. It’s too lucrative.”
“It’s definitely another corrupt official who has embezzled billions.”
“Let’s get to the point, how many billions did he embezzle?”
“The cigarette prices keep rising, while the profits of the tobacco factories are shrinking. The money from price hikes goes into the pockets of corrupt officials. We need to crack down on corrupt officials and villains!”
“We need to thoroughly investigate the dark side of the tobacco industry for some surprises!”

“Working for the tobacco system is so desirable that it’s hard to get in. Those who managed to enter probably spent a lot of money to bribe their way in.”
“The tobacco system is a blind spot for corruption, we need to dig deeper and punish them severely!”
“A big fat worm has just been unearthed.”
“We need to catch them well; it’s well known that the tobacco sector had become hereditary in recent years.”
“People are eagerly waiting to see whether the amount of corruption will reach a record high.”

Previously, the CCP had announced over 100 so-called “billionaire corrupt officials.” In just the first four months of 2024, at least 10 CCP officials involved in billion-yuan corruption cases have been prosecuted, including two from the tobacco system: former Deputy Director of the National Tobacco Monopoly Bureau, He Zehua, who took bribes totaling 943 million RMB; and Vice General Manager of Yunnan Tobacco Industrial Company, Gu Bo, who was involved in a 354 million RMB bribery case.

The Chinese tobacco industry is one of the most profitable sectors in the country, accounting for around 7% of the total fiscal revenue of the CCP. It is a massive interest group but is also considered one of the most corrupt areas. In 2023 alone, at least 13 high-ranking officials within the tobacco system were brought down.

Prior to Xu Jie, the former director of the CCP Tobacco Monopoly Bureau, Ling Chengxing, was investigated on October 23 last year, and his party membership was revoked on April 22 this year. The CCP’s report accused Ling Chengxing of enriching himself through tobacco, accepting bribes, abusing power, and committing other corrupt practices.

Before Ling Chengxing, He Zehua, the former deputy director of the National Tobacco Monopoly Bureau who retired nine years ago, was investigated on January 6, 2023. In March 2024, he was found guilty of accepting bribes exceeding 900 million RMB.

Further down the line in 2023, over 10 senior executives within the tobacco system were implicated in corruption cases.

On July 11, Zhang Hong, the former director of the Technology Department of the CCP Tobacco Monopoly Bureau, was investigated; on June 6, Yang Bo, the director of the logistics center at Anhui Tobacco Industrial Co., Ltd, was investigated; on June 4, Yang Bo, the director of the logistics center at Anhui Tobacco Industrial Co., Ltd, was investigated; on June 2, Zhu Shaoming, the former deputy party secretary and general manager of Yunnan Tobacco Industrial Co., Ltd, was investigated;

On May 12, Song Chunhua, the former deputy general manager and chief accountant of China Tobacco Machinery Group Co., Ltd, was investigated; on April 6, Zheng Wei, the former party secretary, director, and general manager of Guangdong Tobacco Monopoly Bureau (Company), was investigated; and on February 10, Yu Jinxian, the former deputy director of Anhui Tobacco Monopoly Bureau, who had been serving in the tobacco system for over twenty years, was investigated.

On January 16, Gu Bo, the former vice general manager of Yunnan Tobacco Industrial Company, Zhang Shuizhang, the former general manager of Yunnan Tobacco Industrial Company, and Jiang Yawei, the former chief economist of Anhui Tobacco Industrial Co., Ltd, were all implicated in corruption cases.

Analysts attribute the frequent occurrence of corruption within the CCP tobacco system to three main factors: the immensely profitable nature of the industry, the local tobacco bureaus being managed by higher-level administrative authorities, limiting local oversight, and the monopolistic nature of the tobacco bureaus, often associated with a system of hereditary succession in positions.