Netherlands-Led Initiative Seeks to Address Regulatory Fragmentation and Market Distortion
Sixteen European Union countries, led by the Netherlands, have called on the European Commission to propose a new law in the coming months that would include electronic cigarettes (vapes) in the bloc’s tobacco taxation legislation. The current EU tobacco taxation law, dating back to 2011, does not cover these new products, leading to fragmentation and an uneven playing field across the bloc.
The initiative, supported by Croatia, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Latvia, Slovakia, Spain, Belgium, Bulgaria, Ireland, Slovenia, and Portugal, highlights the shortcomings of the existing legislation in addressing the challenges faced by Member States’ administrations. In a letter to the Commission, finance ministers from these countries argue that the current directive’s provisions are insufficient or too narrow to effectively regulate vaping products.
Member States Take Unilateral Action, Causing Market Distortion
Due to the lack of comprehensive EU legislation, Member States have taken appropriate actions at the national level, resulting in a patchwork of rules and regulations. This fragmentation has led to an uneven playing field and, ultimately, the distortion of the EU’s internal market.
The update to the EU tobacco taxation law, originally due at the end of 2022, has been delayed. The 16 governments now urge the new Commission, which took office on December 1 for the next five years, to address this issue as a matter of urgency.
European Commission Sets Limited Regulatory Standards for E-Cigarettes
While the European Commission has set some regulatory standards for e-cigarettes, including limits on nicotine content and labeling requirements, the rules still vary significantly from country to country. In France, for example, people under the age of 18 cannot buy vapes, and their use is banned in certain public places, including universities and on public transport. Italy, on the other hand, lifted a ban on using electronic cigarettes in public in 2013, although their use in or near schools remains forbidden.
Environmental and Health Concerns Prompt Calls for Disposable Vape Ban
Disposable vapes have attracted particular attention from lawmakers in some European Union countries amid growing environmental and health concerns. The German Federal Council, the upper house of parliament, has called on the government to push for a similar ban on disposable vapes across the EU.
As the debate over the regulation and taxation of vaping products continues, the 16 EU countries’ initiative underscores the need for a harmonized approach to address the challenges posed by these new products and ensure a level playing field within the bloc’s internal market.
