
EU Proposes 139% Cigarette Tax Hike and First-Ever Vape Levies The European Commission proposes tax hikes on cigarettes and new minimum taxes on e-cigarettes and nicotine pouches.
The European Commission has drafted a reform of the Tobacco Excise Directive (TED) to increase minimum excise taxes on traditional cigarettes by 139% and introduce the first EU-wide minimum tax rates for next-generation products (NGPs). The proposal targets alternative nicotine products, including e-cigarettes, heated tobacco, and nicotine pouches, which the Commission states have outpaced current regulations. Currently, the Council of the EU is negotiating the draft. Because the European Parliament did not issue a formal opinion in June 2026, the reform requires unanimous approval from all 27 EU member states to take effect. Brussels bases these measures on health and…

