The EU wants to increase taxes on cigarettes and nicotine products to reduce smoking.

The European Commission is proposing a 139% increase in minimum excise duties on cigarettes and the introduction of the first European taxes on vaping and heated tobacco products. Around one in four Europeans still smokes, and nearly 700,000 people die each year from tobacco-related illnesses on the continent.

One in four Europeans still smokes cigarettes. This figure, which has remained stable for several years, is prompting the European Commission to undertake a major overhaul of its tax policy on tobacco and nicotine products. The proposed revision of the Tobacco Products Taxation Directive plans to increase minimum excise duties on cigarettes by 139%, while also creating, for the first time, harmonized EU-wide taxes on e-cigarettes, heated tobacco devices, and nicotine pouches.

This initiative stems from an assessment conducted by the Commission, which deemed the current legislation "increasingly outdated." While the smoking rate has declined from 28% to 24% of the European adult population, nearly 700,000 people die each year from tobacco-related illnesses in the Union.

The rise of new nicotine products complicates the picture. Consumption is shifting away from traditional cigarettes towards vaping, devices like IQOS, and nicotine pouches. The World Health Organization notes that 11,6% of adolescents aged 13 to 15 in the European region now use these products. Health experts acknowledge that they expose users to fewer harmful chemicals than traditional cigarettes, but emphasize that they remain addictive and are actively promoted to young people through flavorings, social media, and targeted branding strategies.

The reform also aims to extend the EU's traceability system to raw tobacco, in order to better combat the illicit trade. However, the text faces political resistance. In June 2026, the European Parliament failed to adopt a non-binding opinion, as MEPs rejected a report deemed too watered down, due to a lack of consensus on the extent of the changes required. The final decision rests with the Council of the EU, where the 27 member states must vote unanimously, making adoption uncertain.