A recent study analyzing the volume of the illicit trade of cigarettes within the European Union (EU) reveals a significant escalation in the consumption of illegal tobacco products. Data indicates that the consumption of black market cigarettes rose by over 7% compared to the previous year in 2025, marking the highest level recorded over the past decade. This trend suggests that illicit tobacco supplies are playing an increasingly substantial role across various EU member states.
The analysis, conducted by KPMG LLP on behalf of Philip Morris Products S.A., highlighted that in 2025, illegal cigarettes constituted more than one in ten cigarettes consumed in the EU. This threshold marks a notable point, as it has not been reached since 2014. Specifically, the estimated volume of these contraband cigarettes reached 41.8 billion units across the EU.
This 10.3% market penetration has substantial fiscal implications. The continued prevalence of the black market is estimated to result in tax revenue losses totaling 16.7 billion euros. The findings underscore the persistent challenge posed by untaxed tobacco goods, indicating that the scale of the illegal trade remains a critical concern for EU regulatory bodies and tax authorities.
Topics: #illegal #cigarettes #black
