Yooz warns against Saudi Arabia increasing e-cigarette taxes

Aug.24.2022
Yooz warns against Saudi Arabia increasing e-cigarette taxes
Yuèkè warns Saudi authorities against raising taxes on e-cigarettes, citing health risks, reduced tax revenue, and black market growth.

Recently, Juul issued a warning to Saudi Arabian authorities not to increase tariffs on electronic cigarette products.


The increase in taxes on electronic cigarettes may result in them becoming as expensive as traditional cigarettes. This move could also stimulate the growth of black market activities, putting consumers' health at risk, reducing government tax revenues and lowering national and regional investment and entrepreneurship attractiveness.


In recent years, national healthcare providers such as the UK National Health Service (NHS) have recognized that electronic cigarettes are a safer alternative to traditional cigarettes and have highlighted their use as a smoking cessation aid. In contrast, the World Health Organization has warned that tobacco causes over eight million deaths per year. Smoking also puts pressure on public healthcare systems and government funding, as it is associated with diseases such as cancer, heart disease, and chronic obstructive pulmonary disease.


Increasing evidence suggests that electronic cigarettes are a safer alternative and/or tool to help smokers quit smoking. Compared to tobacco products, it makes sense for authorities to keep their tax rates lower.


A global study has shown that taxes imposed to discourage people from consuming alcohol and tobacco, also known as "sin taxes," primarily impact those who are least able to afford them. This contradicts one of the eight principles for harm reduction, which calls for "non-stigmatizing, non-coercive services and resources to assist people in reducing the harms associated with drug use and their living conditions.


According to Robert Naouss, the Director of External Affairs at Yueting, the company believes that consumers of legal age have the right to access less harmful alternatives to combustible cigarettes, rather than being forced to continue using them. It is equally important to discourage the use of black market products and instead allow consumers to obtain cheaper cigarette substitutes through legally regulated channels.


According to the FDA, products smuggled into various countries and sold on the black market are not regulated and of questionable quality. These products can even end up in the hands of young people and may lead to significant health problems. In this case, the government must address individual product tax losses while also using fiscal reserves to fund healthcare facilities for smoking-related illnesses. Authorities should also consider that the growth of tax and illicit trade may drive out investors and entrepreneurs who hope to enter the market and create job opportunities, further affecting government revenue and the economy.


Yueke believes that implementing moderate taxation on electronic cigarette products is in the best interest of the authorities, which would allow consumers to continue to choose safer and more affordable tobacco alternatives.


Statement:


This article is compiled from third-party information and is intended for industry exchange and learning purposes only.


This article does not represent the viewpoint of 2FIRSTS, and 2FIRSTS cannot confirm the truthfulness and accuracy of the article's content. The compilation of this article is solely for industry-related communication and research purposes.


Due to limitations in the level of translation, the compiled article may not fully reflect the original text. Please refer to the original article for accuracy.


2FIRSTS maintains complete alignment with the Chinese government on any domestic, Hong Kong, Macau, Taiwan, and foreign-related expressions and positions.


The compilation information is the property of the original media and the respective author. If any infringement occurs, please contact us for removal.



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

JTI Liggett Puts U.S. Value Cigarette Brands in Spotlight at 2026 NACS Show
JTI Liggett Puts U.S. Value Cigarette Brands in Spotlight at 2026 NACS Show
At the 2026 NACS Show in Las Vegas, JTI Liggett highlighted its value-priced cigarette portfolio, including LD and Montego, following JT Group's acquisition of Vector Group. The company's U.S. business reported market share gains, with LD sales volume rising 32.6% in the first half of 2026. Meanwhile, Ploom was displayed separately at Altria's booth under an existing partnership. JTI Liggett booth staff told 2Firsts that the company had not yet launched nicotine pouch products in the United States.
EXPO
Oct.09
EU Tobacco Tax Reform Stalls as Malta Withholds Support Despite Backing From 26 States
EU Tobacco Tax Reform Stalls as Malta Withholds Support Despite Backing From 26 States
EU finance ministers failed to reach agreement on tobacco excise reform at the November 9, 2026 Economic and Financial Affairs Council (ECOFIN) meeting in Brussels. The Irish Council presidency's compromise secured support from 26 of the EU's 27 member states, but Malta withheld consent, preventing the Council from reaching a general approach requiring unanimity. The reform would raise minimum taxes on conventional tobacco and bring e-cigarette liquids, heated tobacco and nicotine pouches into a common EU minimum excise framework. Finland and Estonia accepted further concessions during the meeting, while the presidency proposed separating the inclusion of nicotine pouches in the framework from setting their precise minimum tax rates. Another compromise would allow ten qualifying member states until 2036 to meet certain tobacco excise requirements. Ireland intends to continue negotiations in December.
Regulations
Nov.11
Product | KIWI Launches Spark 2 and Spark 2 Pro in Germany, Two Hardware Tiers Share Backward-Compatible 2ml Pods
Product | KIWI Launches Spark 2 and Spark 2 Pro in Germany, Two Hardware Tiers Share Backward-Compatible 2ml Pods
KIWI has launched the Spark 2 and Spark 2 Pro refillable pod systems in Germany at official prices of €18 and €29, respectively. Spark 2 uses an 800mAh removable lithium-ion battery in a pen-style body, while Spark 2 Pro features a 1,400mAh removable battery, a box-shaped design and vibration feedback every 20 puffs. Both devices use the same 2ml Spark V2 pods in 0.8Ω and 1.2Ω versions, with AirSync airflow adjustment and a choice between Cotton Tips and conventional Drip Tips. The new pods also remain compatible with the original KIWI Spark.
News
Sep.29 by 2Firsts Perspectives
Russia’s Vape Device Labeling Regime Enters Force: Registration Starts in September, Mandatory Coding in December
Russia’s Vape Device Labeling Regime Enters Force: Registration Starts in September, Mandatory Coding in December
Russia's digital labeling regime for reusable e-cigarettes and similar personal vaping devices entered its first mandatory phase in September 2026. From September 1, manufacturers, importers and other market participants must register with the national Chestny ZNAK tracking system. From December 1, newly manufactured and imported covered devices will be required to carry digital identification codes and be reported as entering circulation. Russia has also issued new operational guidance for imports, marking the transition from a voluntary pilot to phased mandatory implementation.
Sep.15
Reynolds Puts Nearly 183,000 U.S. Contracted Outlets Under Age-Verification Rules, Covering 94% of Volume — Can It Shift an Unauthorized Vape Market?
Reynolds Puts Nearly 183,000 U.S. Contracted Outlets Under Age-Verification Rules, Covering 94% of Volume — Can It Shift an Unauthorized Vape Market?
Reynolds American says nearly 183,000 U.S. retail outlets are under contract, with its Retail Marketing Plan Contract covering about 94% of company volume and requiring point-of-sale age verification. The company combines those contracts with We Card, TruAge, NACS-linked infrastructure and POS integration, while enhanced Vuse Pro retail rules add ID scanning, purchase limits and stronger underage-sales accountability. The initial Vuse Pro rollout targets about 50,000 stores. The system is taking shape as unauthorized vapor products remain dominant in parts of the U.S. market: a 2026 study estimated they accounted for 69.4% of tracked brick-and-mortar e-cigarette dollar sales in December 2025.
Special Report
Oct.15
Spain Cigarette Volumes Fall 5.2% in August, BAT Drops 14.5%, JTI Gains Share; France Down 8.3% on Adjusted Basis
Spain Cigarette Volumes Fall 5.2% in August, BAT Drops 14.5%, JTI Gains Share; France Down 8.3% on Adjusted Basis
Spain's cigarette volumes declined 5.2% year over year in August 2026, according to government data cited by UBS and reported by Investing.com on October 7. British American Tobacco's volumes fell 14.5%, followed by Imperial Brands at 8.8%, Philip Morris International at 6.6% and Japan Tobacco at 4.6%. JTI was the only one of the four companies to gain cigarette market share, rising six basis points to 26.7%. In France, official customs data showed an unadjusted 3.7% decline in cigarette deliveries. Adjusting for the difference in delivery days produces a decline of approximately 8.3%, consistent with the UBS figure. The bank also estimated the earnings exposure of major tobacco companies to both markets.
Market
Oct.13