German Bundestag Votes to Raise Tobacco Taxes by 2030
The German Bundestag approved a gradual tobacco tax increase through 2030 to raise 12 billion euros and discourage nicotine consumption.
The Bundestag voted to gradually increase tobacco taxes between 2027 and 2030, a move projected to generate 12 billion euros in additional revenue over four years. Under the new legislation, the average price for a pack of 20 cigarettes will rise from approximately 8.05 euros to 11.36 euros by 2030, with premium brands potentially costing up to 14 euros.
Government officials stated the reform aims to balance the national budget while improving public health by making nicotine less attractive. Ingo Vogel, an SPD Member of Parliament, argued that raising price thresholds prevents inexpensive products from becoming an easy gateway to nicotine consumption.
The legislation faced mixed reactions. The Greens supported the tax in principle but argued the increases were too small. Conversely, the AfD and Die Linke voted against the reform, with AfD Member of Parliament Christian Douglas criticizing the government for citing health goals while prioritizing revenue. Some CDU members and industry representatives warned that steep price hikes could drive consumers toward the black market or cheaper imports from other EU countries.
The Bundesrat is expected to vote on the amendment this Friday, with approval anticipated.
