Philippine Government Intensifies Crackdown on Tobacco and E-cigarette Industries

Key Points:

The Bureau of Internal Revenue (BIR) of the Philippines is intensifying efforts to crack down on tax evasion and illegal trade activities within the tobacco and e-cigarette industries.

The Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) led the destruction of smuggling e-cigarette products worth 3.26 billion pesos (approximately 57 million USD), demonstrating the government's determination to combat illegal trade.

The President of the Philippines, Marcos, attended an event where illegally smuggled e-cigarette products were destroyed. He emphasized the importance of continuing to investigate the criminals behind illegal trade.

According to a report by the Philippine News Agency on April 10th, the Bureau of Internal Revenue (BIR) in the Philippines is intensifying its crackdown on emerging and long-standing tax evasion activities, particularly in the e-cigarette and tobacco industries.

Director of the BIR, Romeo Lumagui Jr., stated during a press conference on Thursday (10th) that this is part of the Marcos government's comprehensive measures to address illegal trade, revenue loss, and the threat of unregulated products to public health.

He noted that the BIR continues to conduct law enforcement operations, including the destruction of counterfeit and untaxed cigarettes, and the filing of criminal charges against violators. In March 2025, the BIR in Pampanga province destroyed approximately 14.3 million packs of illegal cigarettes seized from multiple operations, estimating tax losses of around 6.3 billion pesos (110 million USD).

Recently, the Bureau of Internal Revenue (BIR) filed a lawsuit against Chinese nationals and several companies for alleged tax evasion amounting to 8.5 billion pesos (150 million dollars). This action was taken following a raid on an illegal cigarette factory and warehouse in the San Simon area of Pampanga province.

Lumaguay pointed out that the destruction operation of illegally imported e-cigarette products led by the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) with a value of 3.26 billion pesos (approximately 57 million US dollars) is another milestone in the Philippine government's efforts to combat illegal trade.

Philippine President Ferdinand R. Marcos Jr. attended a destruction event in the southern harbor, where he expressed appreciation for the continued enforcement efforts of the BIR. He also highlighted the tax agency's proactive operations in seizing warehouses to support the government's campaign against illicit trade.

Lumaji reiterated that the department is committed to tracking down the perpetrators behind illegal trade through enforcement and prosecution.

There are still many illegal factories and cigarette smuggling activities, so we are indeed focused on cracking down on the sale of illegal e-cigarettes and tobacco products.