German parliament votes on tobacco tax hike; cigarette packs could near 12 euros
Germany's ruling coalition plans to raise tobacco tax every year through 2030, pushing the average pack of cigarettes to about 11.78 euros. Industry warns of a black market; the Greens call it too weak.
Archive image · Photo: Gerd Eichmann / Wikimedia Commons, CC BY 4.0 (cropped and resized)
Germany's Bundestag holds a final vote on Thursday on a phased increase in tobacco tax. Taxes on cigarettes, rolling tobacco, pipe and water-pipe tobacco and heated tobacco are set to rise regularly for four years from 2027. According to the Bundestag, an amendment by Chancellor Friedrich Merz's conservatives and the Social Democrats foresees steeper increases than the government's original draft. The Bundesrat upper house could object on Friday, but that is seen as highly unlikely.
According to projections reported by t-online, the average price of a 20-pack will rise from just over 8 euros now to 9.10 euros in 2027 and 11.78 euros in 2030, with premium brands possibly reaching 14 euros. The Bundestag says the coalition expects additional revenue of more than 1.5 billion euros in 2027 and about 11.7 billion euros in total through 2030. The government cites budget consolidation and health protection.
The tobacco industry calls the forecasts unrealistic, with Jan Mücke of the BVTE trade group warning of a black market and cross-border shopping in other EU countries. Green lawmaker Johannes Wagner called the increase right but "unambitious," while the Left Party says it burdens low-income earners. The German Cancer Research Center says higher tobacco taxes are the single most effective measure to get people to stop smoking.