# EU tobacco excise reform rollout

> Live situation record from CLSTR: https://clstr.news/situations/eu-tobacco-excise-reform-rollout
> Updated: 2026-08-19T06:51:26.000Z. Sources: 10. Developments: 5.

In late July 2026, the European Union announced its first comprehensive revision of the tobacco excise directive in fifteen years, introducing minimum excise rates for heated tobacco, electronic cigarettes, and nicotine pouches across all 27 member states to curb an illicit market costing the bloc up to €13 billion in lost annual tax revenue.

On 1 August 2026, Bulgaria implemented national legislation raising excise duties on all tobacco products. The cigarette rate rose from €113.51 to €120 per 1,000 sticks, while smoking tobacco increased from €121.69 to €130 per kilogram and heated tobacco from €214 to €225 per kilogram. The finance ministry expects the August hike to generate €41.9 million, contributing to a total fiscal effect of €155.9 million for 2026 tobacco tax increases, including VAT. The law also introduced a licensing framework for online gambling affiliates, requiring a €6,000 annual state fee.

Retail price increases in Bulgaria have been gradual as retailers exhaust existing stock. The tax burden on a pack is expected to rise by approximately €0.16 after VAT. Future phased increases are scheduled for March 2027 (€126 per 1,000 sticks) and January 2028 (€132 per 1,000 sticks).

Reports from early August indicate that Greece remains one of the cheapest smoking markets in the EU. International brands sell for €4.60–€5 per pack and local brands for €4–€4.50, with taxes and VAT accounting for up to 85% of the price. An EU directive is expected to eventually lift Greek pack prices to roughly €6.50.

## Claims

- Germany’s current tobacco tax results in a pack price of €9‑10, with a target of up to €12 by 2030. (corroborated by 4 sources)
- In Poland, the Czech Republic and Bulgaria a pack of cigarettes often costs less than €5. (corroborated by 4 sources)
- Ireland’s 20‑pack of cigarettes costs about €19 and the country enforces strict indoor smoking bans. (corroborated by 4 sources)
- In Greece, international cigarette brands cost €4.60‑5 per pack and local brands €4‑4.50. (corroborated by 4 sources)
- Up to 85 % of the final price of cigarettes in Greece consists of tobacco and VAT taxes. (corroborated by 4 sources)
- An EU tobacco tax directive will raise the Greek pack price to about €6.50. (corroborated by 4 sources)
- 36 % of Greeks aged over 15 smoke, compared with the EU average of 24 %. (corroborated by 4 sources)
- In the United States, the average pack price is about $10, ranging from $8 in low‑tax states to $12 in high‑tax states, with a federal tax of $1.01 per pack. (corroborated by 4 sources)

## Timeline

### 2026-08-19: Bulgaria cigarette prices rise following excise tax increase

Cigarette prices in Bulgaria are rising following an excise tax increase to 120 euros per 1,000 sticks, with further scheduled hikes planned for 2027 and 2028.

2 sources. https://clstr.news/cluster/bulgaria-cigarette-prices-rise-following-excise-tax-increase

### 2026-08-07: Greece remains cheap smoking destination as EU tobacco taxes rise

Greece stays a cheap smoking spot as EU tax rules push prices up; Germany targets €12 per pack by 2030, Ireland €19, US averages $10.

5 sources. https://clstr.news/cluster/greece-remains-cheap-smoking-destination-as-eu-tobacco-taxes-rise

### 2026-08-03: Bulgaria raises cigarette excise tax, prompting price hikes

Bulgaria raised its cigarette excise tax on 1 August, lifting the duty to €120 per 1,000 sticks and expected to add about €0.16 to pack prices, with further hikes planned for 2027‑2028.

2 sources. https://clstr.news/cluster/bulgaria-raises-cigarette-excise-tax-prompting-price-hikes

### 2026-08-01: Bulgaria raises tobacco excise taxes and introduces online gambling affiliate licensing

From 1 Aug 2026 Bulgaria hikes excise taxes on all tobacco products, expecting €41.9 m extra revenue, and adds a €6,000 annual licensing fee for online gambling affiliates.

2 sources. https://clstr.news/cluster/bulgaria-raises-tobacco-excise-taxes-and-introduces-online-gambling-affiliate-licensing

### 2026-07-24: EU moves to overhaul tobacco excise rules

The EU is set to revamp its tobacco excise directive, adding minimum taxes for e‑cigarettes, heated tobacco and nicotine pouches, and targeting a black market that costs members up to €13 bn annually.

2 sources. https://clstr.news/cluster/eu-moves-to-overhaul-tobacco-excise-rules

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Cite as: EU tobacco excise reform rollout. CLSTR, https://clstr.news/situations/eu-tobacco-excise-reform-rollout
