Tobacco Asia

64 tobaccoasia CLOSING NEWS 卷尾新闻 Philippines: Report Alleges Links between Firms and Illicit Cigarettes A global tobacco industry watchdog has raised concerns about the possible involvement of major cigarette companies in the illicit tobacco market in Philippines, challenging claims that higher tobacco taxes drive illegal sales. In a recent statement, Stopping Tobacco Organizations and Products (STOP) said its latest report identified cigarette packs from leading brands that lacked the legally required tax stamps or carried counterfeit ones. According to the group, the packs included products from brands manufactured by Philip Morris Fortune Tobacco Corp. and Japan Tobacco Interna- tional. Tax stamps indicate that manufacturers have paid the required excise duties before products enter the market. STOP said the findings challenge industry claims that higher tobacco taxes primarily drive illicit trade. Government data show that tobacco taxes generated PHP134.52 billion (US$2.40 billion) in revenue in 2024, with a significant portion allocated to public health programs. The group said its report highlights the continued presence of untaxed or improperly stamped cigarette packs in the market, raising concerns about compliance with tax regulations. New Zealand: Vape Quit Aid Approved New Zealand has approved its first medically-supported product, Nicorette Quickmist, designed specifically to help people quit vaping, marking a new step in the country's response to nicotine dependence. Health officials say the decision could provide additional support for people who already struggle with addiction as youth vaping rates remain persistently high. In a January 30 statement, Medsafe confirmed it had approved the country's first nicotine replacement therapy (NRT) product developed specifically for vaping cessation. The regulator granted the product a therapeutic indication for treating nicotine dependence linked to vaping. The decision allows the product to serve as a medically-recognized option for individuals who want to stop using e-cigarettes and other vaping devices. The move received support from the Asthma and Respiratory Foundation NZ, which welcomed the approval but urged authorities to introduce stronger regulatory measures to address vaping. Cigarette Smuggling Cases Surge in Hong Kong Hong Kong Customs and Excise Department reported that cigarette smuggling made up about 75% of the cases the agency handled last year. In 2025, the department processed more than 38,000 smuggling cases overall, a 24% increase compared with 2024. Cigarette-related cases accounted for the majority of the increase. Authorities recorded more than 29,000 cigarette smuggling cases, up 36% year over year. The cases led to more than 28,000 arrests, representing a nearly 40% rise. Despite the higher case numbers, total seizures remained steady at about 600 million cigarettes. Chan Tsz-tat, commissioner of the department, said smuggling syndicates have adopted new tactics to move cigarettes across the border. Groups have recruited travelers to conceal cigarettes in clothing, wheelchairs, and strollers, and they have even involved schoolchildren. "We recorded an increase of 41% in terms of the number of cross-boundary passengers bringing into Hong Kong excessive cigarettes that is in excess of our existing duty-free concession, which is 19 sticks of cigarettes," Chan said. While cigarette smuggling cases increased, authorities recorded fewer drug-related incidents. The number of illicit drug cases fell 29% to 961, though total drug seizures rose 19% to 7.5 metric tons. Cannabis, methamphetamine, and ketamine accounted for the largest shares of the confiscated drugs. Chan also said the department handled 286 general smuggling cases in 2025, a 22% increase from the previous year. Authorities estimated the value of goods seized in those cases at HK$4.2 billion (US$538 million). Russia Expands Tobacco Trade with DPRK Russia exported tobacco to North Korea for the first time in 2025, according to new trade data that highlights expanding commercial ties between the two countries. Figures released by the Agroexport Center, an export promotion agency under Russia's Agriculture Ministry, show tobacco shipments to North Korea reached about US$700,000 during the year. Russia also exported beer worth about US$20,000. The tobacco and beer shipments form part of a broader increase in trade between the two countries. Earlier in 2025, Russia also delivered rapeseed oil to North Korea for the first time. Between January and May of that year, Russia shipped more than 310 metric tons of rapeseed oil valued at about US$340,000. The agency did not identify the Russian companies responsible for the beer and tobacco shipments. Trade between the two countries has expanded significantly in recent years, partly reflecting closer cooperation linked to the war in Ukraine. North Korea has also increased exports to Russia, supplying agricultural products such as apples and domestically produced beer to the Russian Far East. Several North Korean companies have registered their brands with Russian authori- ties, while others have attempted to ship medicinal products to the Russian market. NewCo Program Funds Clean Water NewCo raised US$41,500 in 2025 through a customer dona- tion program linked to shipments of African-origin tobacco. The initiative aims to support clean water projects across Africa and directs funds to Good For Better e.V. and has Cigarette smuggling dominated enforcement activity in Hong Kong in 2025, with more than 29,000 cases recorded. Credit: Hong Kong Customs and Excise Department.

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