French MPs propose tax hike on e-cigarette liquid, industry protests

Oct.25.2024
French MPs propose tax hike on e-cigarette liquid, industry protests
French lawmakers' proposal to tax e-cigarette liquid at €0.15 per ml sparks industry backlash, fearing return to traditional cigarettes.

According to a report by Viral Mag on October 23, during discussions on the 2025 budget in France, lawmakers proposed an amendment to impose a tax of 0.15 euros per milliliter on e-cigarette liquid. This proposal has sparked strong dissatisfaction among industry professionals in the e-cigarette sector, as they are concerned that a large number of e-cigarette users may revert back to traditional cigarettes.


The amendment was proposed by lawmakers from the French Liot and EPR parties, who suggest imposing a tax of 15 cents per milliliter on e-cigarette liquid starting in March 2025. It is estimated that this tax policy is expected to generate an additional revenue of approximately 1.5 to 2 billion euros for the country annually.


However, this measure has triggered dissatisfaction in the e-cigarette industry. The e-cigarette industry association Fivape stated that this tax could lead to a 40% increase in e-cigarette liquid prices. According to Fivape chairman Jean Moiroud, this high price is likely to force many e-cigarette users back to traditional cigarettes. Fivape pointed out that a similar tax policy in Italy has already led to 20% of e-cigarette users returning to traditional cigarettes, which could negate years of efforts to help smokers quit.


The e-cigarette industry points out that this new tax will be another blow. The industry is already facing strict regulations, including advertising bans, restrictions on consumption places, and high product standards, all of which have led to many specialty stores closing down.


The proposed tax measure will ultimately need to be reviewed by Congress and is expected to spark fierce debate in the legislature. Several lawmakers have already expressed opposition, believing that it will harm proven public health tools and also fear the emergence of an unregulated black market for e-cigarettes.


According to reports, e-cigarette industry professionals may actively lobby parliament in the coming weeks in hopes of reversing this tax proposal.


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