Possibility of Increasing Cigarette Tax in South Korea

Regulations by 2FIRSTS.ai

Jan.17.2024

Possibility of Increasing Cigarette Tax in South Korea

South Korea considers raising cigarette taxes as prices have remained stagnant for 9 years, prompting widespread discussions.

According to recent reports from South Korean media, cigarette prices in the country have remained stagnant at 4,500 Korean won (approximately 27 Chinese yuan) for nine consecutive years, sparking widespread discussions on increasing tobacco taxes.

Despite Deputy Prime Minister and Minister of Economy and Finance, Zhao Sang-hun, stating at a personnel hearing recently that "there are no plans to increase it," it appears that the current cigarette prices are actually trending downward when compared to the soaring inflation. Therefore, it seems that an increase in tobacco tax is only a matter of time.

In addition, due to the rising costs, the profits of the cigarette industry are also shrinking, hence the possibility of increasing tobacco taxes is quite high. In this regard, the academic community has proposed a plan to gradually increase tobacco taxes each year, aiming to raise cigarette prices to a range of 10,000 to 20,000 Korean won per pack by 2030.

In the debate on the increase in tobacco taxes, some arguments suggest that a price of 10,000 Korean won is too high, and 8,000 Korean won is an acceptable level, which also aligns with the average cigarette prices in OECD countries.

References:

[1] '담뱃값, 정말 1만 원까지?'.. 4,500원이 8,000원 vs 1만 원 인상설, 나오는 이유는

Also Read:

[1] Challenges Ahead for South Korea's Anti-Smoking Plan

[2] HAKA Introduces Four New Disposable E-cigarette Flavors

#Traditional tobacco #Legislation #Asia #South Korea #E-cigarette Taxes

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

Two Taunton Shops Closed After Seizure of Illegal Tobacco and Vapes

Two shops in Taunton have been ordered to close for three months after authorities found illegal tobacco and vape products worth around £50,000. The seizures followed joint operations involving Trading Standards officers, police and tobacco detection dogs. Magistrates ruled that closing the premises was necessary to prevent further criminal activity.

Dec.23 by 2FIRSTS.ai

Vietnam Drafts Administrative Penalties for E-Cigarette Use, Setting Fines up to USD 380

Vietnam plans to formalise penalties for e-cigarette and heated tobacco use under a draft decree. Individual users could be fined VND 3–5 million (USD 114–190), while premises allowing use face fines up to VND 10 million (USD 380). Higher penalties apply to business violations.

Dec.25 by 2FIRSTS.ai

Global Tobacco Companies’ Latest Earnings Review: Nicotine Pouch Business Shows Broad Strength, Emerging as a Key Growth Driver

Multiple global tobacco and next-generation nicotine companies reported solid Q3 performance, with the nicotine-pouch category showing broad-based strength across seven firms. Growth was reflected in higher shipment volumes, expanded market coverage, and new product launches. Several companies also reported rising revenue contributions from pouches and continued investment in this fast-growing segment, underscoring its position as a key driver of future growth.

Nov.14

AIRSCREAM Solidifies South African Leadership & Championing Truth in Vaping

As South Africa’s leading lifestyle vaping brand, AIRSCREAM is accelerating its regional growth strategy with the launch of its bold new initiative, “Trust ML, Not Puff.” The campaign calls for factual, millilitre (ml)-based transparency across the vaping industry, directly confronting misleading puff-count marketing practices and promoting clear, standardised information that reflects the true value and capacity of vaping products.