Business
Illicit Cigarettes in European Union at Highest Level Since 2015, KPMG Study Shows
STAMFORD, Conn., June 11, 2025--Philip Morris International Inc. (NYSE: PM) today issues an urgent call for effective policymaking to counter the growing threat of illicit trade in the EU. In 2024, 38.9 billion illicit cigarettes were consumed in the region—the highest level since 2015—accounting for 9.2% of total cigarette consumption, with governments losing as much as €14.9 billion in tax revenues at a time when many countries face intense economic pressures.
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[{"type":"list","items":[{"val":[{"type":"text","content":"Smokers in the European Union (EU) consumed 38.9 billion illicit cigarettes in 2024, a 10.8% increase versus 2023, with serious repercussions for tax revenues, crime rates, and public health.","length":191,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"France, the largest illicit market in Europe, reached 18.7 billion illicit cigarettes consumed last year, 37.6% of total consumption. Adding 10.2 ppt year-on-year, the Netherlands saw the largest increase in illicit cigarettes share, which doubled to 17.9% of total consumption.","length":278,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Countries such as Bulgaria, Greece, Italy and Portugal—and Ukraine, outside the EU—have shown sizeable decreases in illicit consumption in 2024. Greece and Ukraine, in particular, saw as much as 30% declines vs. 2023.","length":217,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"PMI calls for evidence-based regulation, predictable fiscal regimes, and strict law enforcement to address the roots of illicit trade while promoting economic stability and public health. Evidence shows that excessive tobacco control policies may be driving smokers to the black market.","length":286,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":972,"olType":false},{"type":"text","content":"STAMFORD, Conn., June 11, 2025--(BUSINESS WIRE)--Philip Morris International Inc. (NYSE: PM) today issues an urgent call for effective policymaking to counter the growing threat of illicit trade in the EU. In 2024, 38.9 billion illicit cigarettes were consumed in the region—the highest level since 2015—accounting for 9.2% of total cigarette consumption, with governments losing as much as €14.9 billion in tax revenues at a time when many countries face intense economic pressures.","length":483,"tagName":"p"},{"type":"text","content":"PMI believes that exacerbating the issue are steep and abrupt tax increases, benefitting criminals who supply unregulated, untaxed and inferior products, including counterfeits, at a lower price. To combat this growing threat, PMI urges the adoption of evidence-based regulation with balanced and predictable taxation through tax calendars, continued public-private collaboration and enhanced support of regional and national law enforcement agencies, as...