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Tag: EU

  • European Businesses Challenge Proposed Regulatory Review

    European Businesses Challenge Proposed Regulatory Review

    A coalition of 201 European businesses and trade associations has urged European Commission President Ursula von der Leyen to reconsider plans to accelerate revisions to the EU Tobacco Products Directive and Tobacco Advertising Directive. The coalition includes tobacco manufacturers, agricultural producers, retailers, wholesalers, tobacconists, and hospitality businesses, which warn that the proposed changes could affect employment, investment, and tax revenue.

    The appeal reflects growing opposition across the European tobacco and nicotine supply chain to the proposed regulatory changes.

  • PouchSpot Maps Potential Impact of EU Pouch Tax Proposal

    PouchSpot Maps Potential Impact of EU Pouch Tax Proposal

    PouchSpot published a map estimating how the European Union’s proposed tobacco tax package could affect nicotine pouch prices in all 27 member states ahead of a Nov. 9 meeting of EU finance ministers. Using the proposed compromise rates, the company estimates that 10 countries would have to increase pouch taxes beginning in 2028 and 15 by 2032. Germany, Ireland, Croatia, and Slovenia currently have no excise tax on nicotine pouches; a typical 12-gram can in those markets would cost approximately €0.44 more, including VAT, under the initial proposal and about €1.15 more by 2032. Denmark, Finland, and Latvia already impose taxes exceeding €2 per can before VAT.

    PouchSpot calculated the estimates using existing national tax laws and tax authority data, comparing each country’s current excise burden with the proposed EU minimum and adding applicable VAT to the difference. For a typical €5 can, the analysis uses the proposed per-kilogram minimum because it produces the lower tax than the alternative retail-price-based calculation. Denmark’s nicotine-content-based tax and Finland’s additional price-based component required separate assumptions based on a 20-pouch can containing 10 mg of nicotine per pouch.

  • Sweden Opposes EU Tobacco Tax Increase Ahead of Meeting

    Sweden Opposes EU Tobacco Tax Increase Ahead of Meeting

    Sweden is expected to oppose a proposed European Union overhaul of tobacco excise taxes at a Nov. 9 meeting of EU finance ministers, according to an EU official cited by Law360. The proposal would substantially increase minimum excise duties on cigarettes and other traditional tobacco products and introduce EU-wide minimum taxes for nicotine pouches, e-cigarettes, and heated tobacco. EU tax legislation requires unanimous approval by member states, meaning Sweden’s opposition could block the proposal in its current form.

    Sweden has objected particularly to proposed minimum taxes on tobacco-free nicotine pouches, arguing that member states should retain the ability to set tax rates according to differences in product risk. The European Commission’s July 2025 proposal would also introduce new tax categories for e-cigarette liquids and heated tobacco, while excluding traditional tobacco snus. EU ambassadors discussed a revised compromise in October, and finance ministers are scheduled to consider the package on Nov. 9.

  • Analysis Shows Increased MEP Engagement with Industry Lobbyists

    Analysis Shows Increased MEP Engagement with Industry Lobbyists

    A POLITICO analysis of European Parliament disclosures found that lawmakers declared more than 400 meetings with tobacco and nicotine industry representatives since the current parliamentary term began in summer 2024, compared with about 100 during the entire 2019-2024 term. About 75% of the meetings involved lawmakers from three right-leaning political groups. Philip Morris International accounted for at least 178 meetings, followed by British American Tobacco with 60, according to data analyzed by POLITICO.

    The meetings covered proposed revisions to EU tobacco product and advertising rules, minimum taxes on tobacco and nicotine products, and public health initiatives. Public health advocates criticized the industry’s access to lawmakers, while industry representatives defended the meetings as legitimate engagement in the legislative process. The Smoke Free Partnership said the data showed increased lobbying around key policy initiatives, while noting that meetings alone do not establish direct influence on legislative decisions.

  • PMI Study Puts EU Economic Contribution at €343 Billion From 2021 to 2025

    PMI Study Puts EU Economic Contribution at €343 Billion From 2021 to 2025

    Philip Morris International (PMI) contributed nearly €343 billion to the European Union economy from 2021 through 2025, including €22.3 billion in spending with European suppliers, €27.4 billion invested across its European operations, and €39.5 billion in exports, according to an economic footprint study prepared by EY-Parthenon and released Oct. 15. The study also found that PMI’s European value chain supported nearly 164,000 jobs in 2025, including about 22,500 direct jobs, and that the company invested €422 million in research and development in Europe. PMI reported an additional approximately €2.2 billion in R&D activities in Switzerland.

    PMI said the figures reflect its manufacturing, supply-chain, research, and commercial activities across the region. The company reported that more than half of its net revenues in Europe came from smoke-free products in the fourth quarter of 2025. Since 2008, PMI has invested more than $16 billion globally in developing, scientifically assessing, and commercializing smoke-free products, including heated-tobacco devices, nicotine pouches, and e-vapor products.

    The report is the second edition of PMI’s EU Economic Footprint Study and covers the period from 2021 to 2025. PMI Europe President Marco Hannapel said the company’s investments and industrial operations contribute to the region’s economic activity and called for regulatory frameworks that support investment and innovation. The full EU Economic Footprint Study is available from PMI.

  • Eight EU Countries Seek Broad Nicotine Restrictions

    Eight EU Countries Seek Broad Nicotine Restrictions

    Eight EU member states — the Netherlands, Belgium, Finland, France, Hungary, Latvia, Slovenia, and Spain — are urging the European Commission to significantly expand the bloc’s tobacco and nicotine rules as part of the review of the Tobacco Products Directive and Tobacco Advertising Directive. In a letter to Health Commissioner Olivér Várhelyi, the countries called for maximum nicotine limits, standardized products and devices, plain packaging, and broad flavor restrictions across authorized nicotine categories. They also want the regulatory framework to allow individual countries to ban nicotine pouches and disposable e-cigarettes.

    The governments are also seeking a ban on advertising for nicotine products, including influencer and creator content, along with restrictions on cross-border online sales. Their proposal would prohibit new nicotine and nicotine-like products, as well as nicotine-free products designed to resemble nicotine products, from entering the EU market. The countries said the revised framework should keep pace with product and marketing developments and support the EU’s goal of becoming smoke-free by 2040.

  • Netherlands Calls for EU ‘Market Freeze’ on New Nicotine Products

    Netherlands Calls for EU ‘Market Freeze’ on New Nicotine Products

    Dutch Health Minister Sophie Hermans is calling on the European Commission to prevent new products containing nicotine or nicotine-like substances from entering the EU market, as part of a joint proposal with seven other member states. The countries are also seeking mandatory plain packaging for nicotine products, an EU-wide flavor ban, stricter requirements for social media platforms to remove tobacco advertising, and tighter controls on cross-border purchases.

    The initiative comes as the Netherlands prepares to further restrict domestic tobacco sales, with specialty tobacco shops set to become the only legal retail outlets for tobacco from 2032. Hermans also wants tighter rules on advertising in tobacco shops, while the Dutch regulator has raised concerns about tobacco companies providing financial support for specialty-store renovations that could promote nicotine products.

  • Report Finds EU Lagging in Fight Against Illicit Tobacco

    Report Finds EU Lagging in Fight Against Illicit Tobacco

    The European Court of Auditors (ECA) says the European Union lacks reliable data on the size and impact of the illicit tobacco market and that fragmented national rules and weak coordination are leaving gaps that criminal groups can exploit. Euractiv reported that the auditors estimate the illicit tobacco trade costs the EU and its member states about €13 billion in lost revenue annually, although the ECA cautioned that the estimate should be treated carefully. Euractiv also highlighted the ECA’s criticism of limited transparency around bilateral agreements between EU governments and tobacco companies to combat illicit trade.

    EUobserver reported that the ECA found one in 10 cigarettes made in the EU is either illegally produced or smuggled, while vapes and heated tobacco products account for 13% of the illicit market by value. EUobserver also said the European Anti-Fraud Office helped prevent €178 million in lost tax revenue in 2025 and that the European Commission has accepted most of the ECA’s recommendations but rejected some proposals, including a coordinated EU monitoring system and a framework for assessing member states’ effectiveness in fighting illicit tobacco.

  • Swedish Election Threatens EU Tobacco Tax Talks 

    Swedish Election Threatens EU Tobacco Tax Talks 

    According to a Euractiv article today (Aug. 31), EU diplomats expect limited progress on the Tobacco Excise Directive (TED) at the September 14 meeting, as Sweden’s national election the day before could leave Stockholm without a firm position while coalition negotiations take place. The proposed TED would raise tobacco taxes across the EU and is linked to plans to generate €11.2 billion annually for the bloc’s next long-term budget. The file stalled after Sweden objected to proposed taxation of nicotine pouches, with Stockholm seeking to protect its traditional snus market. 

    Prolonged talks could also complicate Ireland’s efforts to secure a Council agreement in October and potentially lead Sweden to abstain from a key vote expected at the October 9 ECOFIN meeting. According to Euractiv, Ireland expects September discussions to focus mainly on technical issues rather than resolving political differences. The next Swedish government is likely to face continued pressure over snus and nicotine taxation, while EU officials remain focused on the bloc’s longer-term ambition to become both smoke-free and nicotine-free. 

  • EU Tobacco Use Falls to 16.5% in 2025

    EU Tobacco Use Falls to 16.5% in 2025

    Daily use of tobacco and related nicotine products in the European Union declined to 16.5% of people aged 16 and older in 2025, down from 17.5% in 2022, according to new Eurostat data. Men continued to use tobacco and nicotine products at higher rates than women (20.8% versus 12.6%), while adults aged 35-49 recorded the highest daily use at 21.3%. More than three-quarters (77.5%) of EU residents reported not using tobacco or related products—including e-cigarettes, nicotine pouches and heated tobacco products—during the previous 12 months.

    Among member states, Bulgaria (26.3%), Sweden (23.9%) and Croatia (23.6%) recorded the highest rates of daily use, while the Netherlands (9.9%), Ireland (11.7%), Belgium (13.6%) and Luxembourg (13.8%) had the lowest. Daily use declined in 17 EU countries between 2022 and 2025, with the largest reductions in Spain and Luxembourg, while Croatia and Lithuania posted the biggest increases.