New Tax Policy Hits Belgian E-cigarette Market, Consumers And Businesses Go To France To Avoid Taxes

New tax policy hits Belgian e-cigarette market, consumers and businesses go to France to avoid taxes

Belgium has imposed a consumption tax on e-cigarette oils since 2024, leading to price increases, prompting e-cigarette consumers and some businesses to turn to the French market to avoid taxes, triggering industry changes and market restructuring.

According to RTL. Info on August 15, Belgium has imposed a consumption tax on e-cigarette oils since January 1, 2024. This situation has prompted many Belgian e-cigarette users to cross the French border to buy, because France does not currently have a similar tax.

Since January 1, Belgium has begun to impose a consumption tax on e-cigarette oils. In order to digest existing stocks, Belgium has set a 6-month transition period.

Therefore, since July 1, e-cigarette oils sold in Belgium must be accompanied by a tax strip (like cigarettes) and are subject to consumption tax and value-added tax. This directly affects prices.

For example, the price of 10 ml of oil has increased from 5 euros to 6.5 euros, while the price of 50 ml of oil has increased from 17 euros to 24.5 euros.

Faced with these consumption taxes, some Belgian stores have closed. Others have moved to the other side of the border in France, where excise taxes have yet to be enacted.

Mélanie Robin, manager of a Belgian vape shop, closed her shop and settled across the border.

"I have clients from Flanders, Luxembourg, Brussels. We feel like there are more Belgians than French in Givet. That says it all."