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Tag: JTI

  • Japanese Consumers Facing Double Hit

    Japanese Consumers Facing Double Hit

    The first phase of Japan’s tax increases on tobacco products and corporate income will take effect April 1, marking the first phase of a broader revenue plan to finance expanded defense spending, with additional increases planned for October and January 2027. Both conventional cigarettes and heated tobacco products will be affected, with the long-standing tax gap between the two categories set to narrow. The government aims to raise ¥1.3 trillion ($8.2 billion) in fiscal 2027 through staged hikes on tobacco, corporate, and personal income taxes to help fund a ¥43 trillion ($271 billion), five-year defense buildup that began in 2023.

    In response to the new corporate taxes, Philip Morris Japan said it will raise prices by ¥40–¥50 (25 to 32 cents) per pack on 50 heated tobacco products from April 1, while Japan Tobacco plans ¥20–¥30 (13 to 19 cent) increases on 37 products. Manufacturers have not yet outlined pricing responses for October’s tax hike.

    The Finance Ministry estimates tobacco tax revenue will increase by ¥44 billion ($277 million) in fiscal 2026, ¥116 billion in 2027 ($731 million), and ¥212 billion ($1.3 billion) annually thereafter as additional levies take effect. The measures come as Japan seeks to secure more than ¥9 trillion ($56.7 billion) in defense spending for fiscal 2026, reaching its 2% of GDP target ahead of schedule.

  • JT Takes $710M Dividend, Little Impact on Consolidated Results

    JT Takes $710M Dividend, Little Impact on Consolidated Results

    Japan Tobacco Inc. announced that its consolidated subsidiary, JT International Holding B.V., will distribute a dividend of approximately JPY 110.1 billion ($710 million) to Japan Tobacco, with receipt planned for March 26. The dividend will be recorded as non-operating income in JT’s non-consolidated financial statements for FY2026, but it is not expected to materially affect the company’s consolidated financial results for the year.

  • JTI Posts 12% Revenue Increase in Posting 2025 Financials

    JTI Posts 12% Revenue Increase in Posting 2025 Financials

    Japan Tobacco published its financial statements and independent auditor’s report for the 2025 fiscal year yesterday (March 24). The company reported strong year-on-year growth in 2025, with revenue rising to ¥3.5 trillion ($21.9 billion) from ¥3.06 trillion ($19.3 billion) in 2024 and gross profit increasing to ¥2 trillion ($12.3 billion). Operating profit more than doubled to ¥867 billion ($5.5 billion), driven by higher income and significantly lower selling and administrative expenses, while profit before tax climbed to ¥739.8 billion ($4.7 billion). Net profit for the period surged to ¥513.2 billion ($3.2 billion), up from ¥182.6 billion ($1.2 billion) the previous year, with earnings per share nearly tripling. Comprehensive income also rose sharply to ¥686.4 billion ($4.3 billion), reflecting stronger foreign exchange gains and overall improved performance.

    According to Investing.com, JT’s outlook for 2026 remains optimistic, with an expected core revenue increase of 3.6% and an 8.9% rise in adjusted operating profit at constant currency. The company plans to invest ¥800 billion ($5 billion) in reduced-risk products (RRP) from 2026 to 2028, focusing on consumer acquisition and retention. JT is also exploring mergers and acquisitions opportunities to further strengthen its position in both combustibles and RRP markets.

  • JTI Korea Rebrands Ploom Tobacco Sticks as EVO

    JTI Korea Rebrands Ploom Tobacco Sticks as EVO

    JTI Korea rebranded its heated tobacco sticks for the Ploom device, transitioning from “MEVIUS for Ploom” to the new EVO line, effective today (March 10). The name EVO, short for “evolution,” reflects the brand’s aim to “modernize and enhance the user experience.” The sticks use “CleanSeal technology to prevent tobacco residue and ActivBlend technology to deliver richer flavor with Ploom’s Heatflow system.”

    The EVO lineup features eight variants, mostly mirroring the previous MEVIUS portfolio, and retail pricing remains at 4,500 won ($3) per pack, available in Seoul and select areas of Gyeonggi Province. JTI Korea emphasized that EVO is a premium, Ploom-exclusive brand that builds on the company’s heritage while continuing to deliver evolving experiences through proprietary technologies.

  • JTI’s Cerletti to Lead Cambodia Tobacco Association

    JTI’s Cerletti to Lead Cambodia Tobacco Association

    The Association of Tobacco Industry of Cambodia (ATIC) appointed Benjamin Cerletti, general manager of JT International Co., Ltd., as its new president following the conclusion of his predecessor’s two-year term. Cerletti, who has nearly 20 years of experience with JTI across Europe and Asia-Pacific, is expected to strengthen ATIC’s role as a platform for industry collaboration with government agencies and stakeholders. Under his leadership, the association aims to promote regulatory compliance, transparency, and sustainable growth in Cambodia’s tobacco sector, supporting both economic development and a fair business environment.

  • JT Offering Nordic Spirit in Japan

    JT Offering Nordic Spirit in Japan

    Japan Tobacco Group officially introduced Nordic Spirit, its oral nicotine pouch brand, to the Japanese market starting today (March 3). Cola Fizz will be available for pre-sale online, with a nationwide rollout on April 6, while Berry Mix is slated for online release in mid-March. Each can contains 14 pouches priced at 500 yen ($3.15).

     JTG emphasizes that while the product is generally considered lower risk than cigarettes, it is addictive and not for minors, and the company is committed to expanding the oral nicotine category globally to provide adult consumers with more choice.

    Source: Japan Tobacco Inc.

  • JTI Refreshes Nordic Spirit Look

    JTI Refreshes Nordic Spirit Look

    Today (March 3), JTI UK unveiled a refreshed brand identity for its Nordic Spirit nicotine pouches, introducing “striking new packaging” designed to enhance shelf visibility and provide clearer guidance for adult nicotine users. Inspired by the “North Star,” the updated packs — now live across JTI360 and rolling out in stores — feature Dry or Moist indicators for slower or faster nicotine release, alongside a six-dot strength system ranging from 6mg to 17mg. Each can contains 20 pouches and includes a compartment for used pouches, with recyclable polypropylene packaging.

    The refresh follows the launch of Nordic Spirit Frosty Mint Max and comes as the UK nicotine pouch category grows to £15.9 million per month. Brand Lead Manager James Richards said the redesign aims to improve shelf standout and help retailers better guide customers, while maintaining the same product quality and flavor range. The brand’s Moist Range was also named Product of the Year 2026 in the Nicotine Pouch category, marking its third major award in five years and reinforcing its position in the expanding UK market.

  • FRESH NEW LOOK, SAME GREAT TASTE FOR NORDIC SPIRIT

    FRESH NEW LOOK, SAME GREAT TASTE FOR NORDIC SPIRIT

    PRESS RELEASE, March 3, 2026

    JTI UK has today revealed a refreshed brand identity for its Nordic Spirit nicotine pouches, with striking new packaging to stand out even more prominently on retailers’ shelves. The updated branding is live across JTI360, with the new design packs appearing on shelves over the coming months alongside updated brand communications at the point of sale.

    With increasing choice across flavours, formats and strengths, adult nicotine users are increasingly looking for clear guidance to find the option that suits them best. In response, Nordic Spirit has refreshed its brand identity, inspired by the ‘North Star.’ Beyond the vibrant new look, the modernised packaging offers retailers enhanced guidance on strength and flavour – meaning they can better advise existing nicotine users on the best product for their preferences.

    Featuring Dry or Moist indicators on pack, with respective slower and faster releases, nicotine users can select whether to use a pouch which is more subtle in flavour and has a slower release, or more intense in flavour with a faster release. The clear six dot strength system, ranging from 6-17mg, further illustrates the nicotine intensity level, guiding users to the product best suited for their preference. Each can of pocket-friendly Nordic Spirit contains 20 individual pouches and has a useful compartment in the lid where used pouches can be stored before disposal in a bin. The container itself is made of polypropylene (PP) and is widely recycled in household recycling.

    James Richards, Brand Lead Manager at JTI UK, says: “With Nicotine Pouches continuing to grow in value at £15.9million a month in the UK[1], we understand the importance of this category, and to retailers in boosting profits. That’s why, this brand-new look, combined with enhanced on-pack communications, ensures Nordic Spirit achieves superior shelf stand-out and empowers retailers to provide more guidance to existing nicotine users.

    “What’s inside hasn’t changed, it’s still the same high-quality nicotine pouch and refreshing flavours in a variety of strengths that your customers know and love.”

    The brand refresh follows the launch of the Nordic Spirit Frosty Mint Max in October, which first debuted the new look complete with the North Star logo.

    Nordic Spirit’s Moist Range has been crowned Product of the Year 2026 in the Nicotine Pouch category at the Product of the Year Awards[2]. This marks the brand’s third major win in the past five years[3], reinforcing its position as one of the UK’s leading nicotine pouch brands. Product of the Year is the UK’s largest consumer-voted survey of product innovation, with over 8,007 shoppers surveyed to select the winners in each category. As a trusted seal of approval, the award recognises Nordic Spirit’s strong performance in this fast-growing category.

    [1] Circana (UK) Ltd, Value Sales, Nicotine Pouch Category, Total UK, Mar 2025 Ltd

    [2] Winner Nicotine Pouch Category. Survey of 8,007 people by Kantar.

    [3] Nordic Spirit was voted Product of the Year in 2021, and its Spearmint X-Strong pouch was voted Product of the Year in 2023.

  • JTI Backs Unitary Tax for Vape Products in Philippines

    JTI Backs Unitary Tax for Vape Products in Philippines

    Japan Tobacco International backed a proposal to unify excise taxes on vapor products in the Philippines, telling lawmakers that a single rate would curb tax avoidance and strengthen revenue collection. Speaking at a House Ways and Means Committee hearing, JTI Director for Fiscal and Regulatory Affairs Mario Zinampan said differing tax rates for salt nicotine and freebase products create opportunities for misclassification and regulatory arbitrage, effectively enabling another form of illicit trade. He said harmonizing rates would help ensure a level playing field and prevent product misdeclaration.

    JTI also argued that a unified vape tax should be aligned with the rate imposed on heated tobacco products, noting that both are recognized alternatives to combustible cigarettes. Zinampan cited the legislative intent behind Republic Act No. 11467, which set the excise tax framework for combustible and non-combustible nicotine products, and said aligning vapor and heated tobacco taxes would promote coherence in the system. The remarks supported Romero ‘Miro’ Quimbo, chairperson of the House Ways and Means Committee, who renewed his call for a unitary vape tax, citing rising youth nicotine use at the hearing.

  • Japan’s HTP Tax Changes Threaten JTI Growth: CFO

    Japan’s HTP Tax Changes Threaten JTI Growth: CFO

    Tax changes in Japan that will eliminate preferential tax treatment for heated tobacco products are expected to weigh on growth this year, according to Japan Tobacco International CFO Vassilis Vovos. The policy shift would tax heated tobacco at the same rate as traditional cigarettes, potentially raising retail prices by 70 to 100 yen ($0.46 to $0.65) per pack after sales tax. Vovos said the company plans to introduce incremental price increases throughout 2026 to offset the impact and avoid a single steep price hike.

    The tax change poses a challenge to JTI’s expansion of its Ploom heated tobacco device in Japan, the world’s largest heated tobacco market, which is currently led by rival Philip Morris International, according to Reuters. Parent company Japan Tobacco has relied on newer product categories to drive growth, with Ploom volumes rising more than 38% last year and reaching a 14.4% share of the heated tobacco segment. While executives warned the tax change could temporarily slow category growth, they said heated tobacco remains a key long-term revenue driver.