Illegal Cigarette Sales and Tax Evasion in Magelang, Indonesia

Regulations by 2FIRSTS.ai
Jan.11.2024
Illegal Cigarette Sales and Tax Evasion in Magelang, Indonesia
Illegal cigarette sales continue in Magelang City, Central Java, Indonesia, despite the government's increasing tobacco taxes.

According to a January 9 report by the Indonesian newspaper "KOMPAS," despite the government's ongoing efforts to increase cigarette taxes, there is still illegal sale of cigarettes occurring in Magelang City, located in Central Java Province. In these locations, some illegal cigarettes are using counterfeit tax stamps.

 

Since January 2024, the government has implemented an upgraded tobacco tax rate policy. According to Regulation No. 191 issued by the Ministry of Finance in 2022, the tobacco tax for traditional cigarettes has increased on average by 10%, while the tax rate for e-cigarettes has risen by an average of 15%. Additionally, the average tax rate for other tobacco products has increased to 6%.

 

This policy has prompted some smokers to reconsider their expenses, such as 33-year-old Fajar Dharmawan. He stated that due to the increase in tobacco taxes in 2021, he has turned to the relatively more affordable option of e-cigarettes.

 

Although this tax policy may seem to swiftly restrain user behavior, its objective is not only to control health issues caused by cigarettes but also to increase government revenue.

 

The Indonesian tobacco industry aims to achieve a tax revenue target of 230.4 trillion rupees in 2023, accounting for 95% of the total tobacco tax revenues for that year.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Indiana’s Foreign-Made Vape Ban Takes Effect, Forcing Brands and Retailers to Adjust Supply Chains
Indiana’s Foreign-Made Vape Ban Takes Effect, Forcing Brands and Retailers to Adjust Supply Chains
A new Indiana law restricting the sale of foreign-made vape products has taken effect, requiring retailers to adjust inventory and sourcing practices. According to The Sun, WDRB and other reports, some local vape shops are reviewing product origins and supplier information to comply with the new requirements. The measure represents a broader shift in U.S. vape regulation, with oversight expanding beyond product authorization and sales rules toward manufacturing origin and supply-chain management.
Jul.24
Product | PMI Introduces VEEV inPrime, Bringing an Induction Vaporization Platform to the Next Generation of the VEEV Portfolio
Product | PMI Introduces VEEV inPrime, Bringing an Induction Vaporization Platform to the Next Generation of the VEEV Portfolio
Philip Morris International (PMI) has introduced VEEV inPrime, the next-generation closed-system vape platform featuring the new AdvanceVape Induction System™. Alongside the new induction platform, PMI has redesigned the pods, e-liquid formulations and user interaction experience. According to PMI and official IQOS websites, VEEV inPrime began a phased European rollout between May and June 2026, with products now available in Greece, Estonia, the United Kingdom and Italy.
Jul.14
FDA Grants PMTA Authorization to 11 ZYN ULTRA Nicotine Pouches, Bringing Total Authorized Pouches to 43
FDA Grants PMTA Authorization to 11 ZYN ULTRA Nicotine Pouches, Bringing Total Authorized Pouches to 43
The U.S. Food and Drug Administration authorized 11 ZYN ULTRA nicotine pouch products made by Swedish Match USA through the premarket tobacco product application pathway on August 21, 2026. Ten of the authorized products have a labeled nicotine content of 9 mg, while ZYN ULTRA Smooth was authorized at 11 mg. The reviews were conducted through FDA’s nicotine pouch PMTA pilot program. FDA has now authorized 43 nicotine pouch products, including 23 through the pilot.
Aug.24
SMOORE’s DOJO by VAPORESSO to Launch New Global Brand Identity on September 1
SMOORE’s DOJO by VAPORESSO to Launch New Global Brand Identity on September 1
According to recent LinkedIn posts from people at VAPORESSO, SMOORE and a German distribution partner, vape brand DOJO will begin rolling out a new global brand identity on September 1, 2026, led by a redesigned handwritten logo. The new visual system will be gradually applied across product packaging, marketing materials and digital assets over the following months. Fabio Corsaro, Head of Marketing and Purchasing at MG Wesel GmbH, said the rebrand was related to trademark issues, but that explanation has not been publicly confirmed by DOJO, VAPORESSO or SMOORE. DOJO is currently promoting its Blast X product in Germany.
Aug.31
FDA Sued Over Allowing Some Unauthorized Vapes and Nicotine Pouches to Stay on Market
FDA Sued Over Allowing Some Unauthorized Vapes and Nicotine Pouches to Stay on Market
Public health groups, pediatricians and parents sued the U.S. Food and Drug Administration on July 14, 2026, challenging a May enforcement guidance that they say allows unauthorized e-cigarettes and nicotine pouches to remain on the market while applications are under review.
Jul.15
2Firsts Data | China’s Vape Exports Rise 3.1% in H1 2026 as 6-Methyl Nicotine-Related Products Surge 65.2%
2Firsts Data | China’s Vape Exports Rise 3.1% in H1 2026 as 6-Methyl Nicotine-Related Products Surge 65.2%
China’s vape exports showed resilience in the first half of 2026 after a short-term shock from China’s export rebate adjustment. But customs data points to more than a simple recovery: the structure of growth is changing. Vaping devices and atomization hardware emerged as the strongest growth driver, while nicotine-containing vaping products remained broadly stable. Meanwhile, nicotine substitute-related products represented by 6-methyl nicotine expanded rapidly, becoming a new category to watch for both industry and regulators. After the U.S. market went through a cycle of shortages, replenishment and inventory rebuilding in 2025, China’s vape supply chain is entering a new phase of reallocation.
Special Report
Jul.20