|China Tobacco Company is the largest manufacturer of tobacco products in the world. It practically has a monopoly in China tobacco where thirty percent of the world’s cigarettes are consumed. The Chinese tobacco company produces many brands. In fact they boast over 900 brands of tobacco. China tobacco is owned and operated by the Chinese government. As recently as the last couple of decades, Chinese factories were horribly outdated. They were so bad that certain parts of the process were still being performed by hand. During the 1990's an attempt was made to modernize the process. Chinese tobacco allowed a limited amount of foreign competition in, in return for modern cigarette making equipment. To this day you can find certain major foreign brands in the big cities of china. Two big problems china tobacco is facing is counterfeiting and the populace becoming educated to the health risks of tobacco. Chinese tobacco makes some premium brands of tobacco that are copied poorly by rogue individuals and companies. This problem is so pervasive that many Chinese who can afford these premium cigarettes are not buying them for fear that they are these poor quality imitation products. The second issue is also the fault of modernization and the internet. The people of China are learning about the health risks caused by smoking Chinese tobacco.