Australian and Chinese authorities worked to dismantle an international syndicate accused of shipping illegal tobacco into Australia, with more than 60 people arrested in China. The Australian Border Force said the syndicate shipped more than 90 containers of tobacco to Australia between January and May. Authorities seized more than 60 million cigarettes and 60 kilograms of loose-leaf tobacco, with the tobacco valued at more than A$92 million ($64.4 million) based on the taxes allegedly evaded. Chinese authorities said the tobacco was likely manufactured and moved through Southeast Asia before being concealed in legitimate cargo bound for Australia.
Ninety-one of the 112 containers flagged by Chinese authorities were found to contain illegal tobacco. Shipments left Shanghai concealed among goods including printers and lamps and largely arrived at Sydney port.
Australia has experienced a sharp increase in illicit tobacco consumption in recent years. The Australian Bureau of Statistics estimates that 80% of tobacco and other nicotine products consumed in the country are now illicit, compared with 12% in 2017.
