According to reports, starting from July 1, Germany began to impose additional tobacco taxes on e-cigarettes. Before that, Germany only levied value-added tax on the sale of e-cigarette products.
The tobacco tax rate imposed on vaping e-cigarettes from July 1 is 0.16 euros/ml e-liquid (including nicotine-free e-cigarette liquid) and will increase year by year, and the tax rate will double by 2026; the tax rate of heated cigarettes is the same as that of traditional Cigarettes are the same. This will likely lead to a nearly 40% increase in the retail price of the product.
For example, the current price of a bottle of e-liquid with a capacity of 10 ml is about 5 euros (including VAT), and the price will increase by 1.6 euros after the tobacco tax is added. After adding the VAT on top of the tobacco tax, the total price increase 1.9 euros.
In addition, the sharp increase in the price of e-cigarette products after the imposition of tobacco taxes may force consumers to buy on the black market, potentially leading to new health problems due to illegal products.
There are currently about 2.45 million e-cigarette users in Germany, and a large number of German consumers have already started to stock up before the new regulations take effect.