Health experts warn of the weakening of the European directive on tobacco excise duties

Several European public health and tobacco control organizations, united in the Smoke Free Partnership coalition, which includes the French National Committee Against Smoking (CNCT), have sent an open letter to Cyprus, currently holding the Presidency of the Council of the European Union, to raise concerns about the negotiations surrounding the future European directive on tobacco excise duties. They believe that the European Commission's initial proposal has already been significantly weakened under pressure from certain member states and the tobacco industry. Their concerns focus particularly on the minimum tax level, the mechanisms for indexing to inflation, and the implementation timelines for the new rules.[1].

Increased taxation on tobacco and new products, under attack from lobbyists

The proposal put forward by the European Commission provides for an increase in the minimum tax on tobacco products, including heated tobacco, in the European Union. The initial draft also included the introduction of a tax on new nicotine products (electronic cigarettes and nicotine pouches, for countries that have authorized these products).

However, significant weakening measures have been introduced, particularly by tobacco-producing countries or those favoring exemptions on certain nicotine products. Luxembourg and Sweden, in particular, are obstructing the process, given that an agreement on taxation requires unanimous support from the Council. Luxembourg argues that higher excise duties would lead to a decrease in Luxembourg tobacco sales to foreign buyers, which, according to the tobacco industry, would have negative consequences for the national budget and employment. The country has already been accused by French, Belgian, and Dutch public health organizations of tax dumping, fueling cross-border purchases and undermining the tobacco control efforts of all these countries.

For its part, Sweden is attempting to obtain exemptions for nicotine pouches, adopting the "harm reduction" rhetoric under pressure from the powerful nicotine lobby. More broadly, the tobacco and nicotine lobby is threatening a rise in illicit trade if product prices increase. However, it has been demonstrated that combating illegal markets relies primarily on effective supply chain control and fighting corruption. It is not a result of anti-smoking policies.[2].

Faced with these highly orchestrated lobbying efforts, health experts regularly reiterate that any ambitious anti-smoking policy requires strong fiscal policy. They emphasize the need to link any changes in tobacco product taxation to a goal of reducing prevalence. They also stress that the progress made in previous decades resulted from effective, mutually reinforcing measures: tax increases, widespread health warnings, bans on all advertising, expansion of smoke-free areas, and so on. The decline in smoking prevalence is attributable to these measures, not to the introduction of new addictive products.

Health organizations fear a setback for public health

The signatories point out that smoking remains high in the European Union, despite the objectives of the European cancer plan aiming for a "tobacco-free generation" by 2040: currently, 24% of European adults smoke, whereas the Plan set an intermediate target of 20% by 2025. The final objective, to achieve a prevalence in the general population of less than 5% by 2040, appears unattainable at present.

In the World Health Organization's European Region, 62 million adult women smoke, representing 40% of the world's female smokers. In the same region, four million young people aged 13-15 use tobacco products, and 14.3 million adolescents use e-cigarettes. Across the European Union, tobacco kills 700,000 people prematurely each year.

Public health organizations emphasize that weakening the provisions of the directive risks leading to a decrease in the real price of tobacco products due to the lack of full indexation to price changes. This entails a significant risk of a resurgence in consumption in the short to long term.

Cyprus currently holds the presidency of the European Union. The country is closely aligned with the interests of the tobacco industry and is lobbying for the current text to be adopted by the ECOFIN Council of Finance Ministers on June 12, 2026.

Health organizations are also calling on member states to avoid a gradual "dilution" of the text and to maintain a sufficient level of ambition to protect public health in the European Union. In the absence of a decision, Ireland, which will assume the presidency of the European Union in July, will have to take up the matter again. Unlike Cyprus, Ireland has been praised for its strong commitment, both nationally and at the European level, against tobacco and nicotine products..

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[1]Open brief in Cyprus: red of Tabaksaccijnsrichtlijn, TabakNee, published on May 11, 2026, accessed on May 12, 2026

[2]Joint Letter - Civil Society Concerns Regarding Current Negotiations on the EU Tobacco Tax Directive, Smoke Free Partnership, published May 11, 2026, accessed May 12, 2026

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