German New Tobacco Products Association: From 2025, The Tax On E-liquid Will Increase To 0.26 Euros Per Milliliter

German New Tobacco Products Association: From 2025, the tax on e-liquid will increase to 0.26 euros per milliliter

The German Association of New Tobacco Products said that from January 2025, the tax on e-cigarette oil will increase to 0.26 euros per milliliter. There are currently disposable e-cigarettes with substandard nicotine content on the market, and the introduction of strict restrictions may lead to an increase in illegal inflows.

According to Presseportal on December 27, the German Federal Association of Tobacco and New Tobacco Products (BVTE) expects that cigarette sales in Germany in 2024 will exceed 64 billion in 2023.

The German Statistical Office's 2024 data has not yet been fully released, but from January to November, cigarette sales in Germany reached 62 billion, an increase of 3.6% year-on-year. BVTE CEO Jan Mücke said that the increase in sales mainly reflects the ordering of tax labels for production, and has nothing to do with consumers' actual purchases or smoking rates.

German consumers also make cross-border purchases, and due to the increase in taxes, fewer German consumers choose to buy cigarettes in the Czech Republic. Consumers who previously preferred to go to the Czech Republic are now either turning to fine-cut tobacco or choosing less harmful alternatives such as heated tobacco or e-cigarettes.

The German e-cigarette oil tax will increase to 0.26 euros per milliliter in January 2025. From January to November, the total amount of e-cigarette oil taxed in Germany reached 1.156 million liters, and the number of tax label applications increased by 1.4% over the same period last year. Muk pointed out that cross-border shopping for traditional cigarettes has not yet appeared in the e-cigarette market. There are disposable e-cigarettes with substandard nicotine content on the German market. If strict restrictions are introduced in Germany, such as a ban on mint or fruit-flavored e-cigarettes, illegal inflows may rise sharply.