As New South Wales (NSW) prepares to implement some of the nation’s toughest laws against the illicit tobacco trade, a broader debate is intensifying over whether Australia’s high tobacco taxes are inadvertently fueling a dangerous black market. The illicit trade has been linked to gang violence, robberies, and arson attacks, prompting a significant legislative and enforcement response.
Read moreTag Archive for: Black Market
A ban on flavored e-cigarettes and vape liquids, which took effect on January 1, 2025 in Latvia, has reportedly led to unintended negative consequences, including a surge in the illicit market and a significant state budget deficit. The law, which prohibited all vape flavors except tobacco, was intended to protect public health and limit youth access to these products.
Read moreJuly 2025 has proven to be a pivotal month in the global fight against the illicit e-cigarette trade. Law enforcement and customs agencies from Asia to Europe and the Americas have launched significant operations, resulting in the seizure of millions of dollars’ worth of illegal vaping products. This roundup details the key enforcement actions from around the world, painting a clear picture of a shadow industry under increasing pressure from regulators who are tackling everything from large-scale smuggling to local retail violations.
Read moreA special commission of the Israeli Tax Authority has presented recommendations to the Minister of Finance for a complete overhaul of how e-cigarettes are taxed and regulated, concluding that the current system has inadvertently created a massive black market. The report states that an exceptionally high tax rate, combined with ease of smuggling and a lack of effective oversight, has led to widespread tax evasion and significant loss of state revenue without successfully reducing consumption.
Read moreAustralia is now waging a “de facto war on nicotine” that risks the same failures as previous prohibition-style drug policies, according to some academic experts. They argue that the country’s strategy, characterized by the world’s most expensive legal cigarettes and an effective ban on retail e-cigarette sales, is directly responsible for an explosion in the black market for both products.
Read moreExperts warn UK’s June 1st disposable vape ban may fuel a dangerous black market, with millions potentially seeking illicit, unsafe products.
Read moreIndustry groups in Malaysia argue vape bans fuel illicit trade and harm consumers, advocating for regulation over prohibition.
The Malaysian Vape Chamber of Commerce (MVCC) has issued a strong caution to policymakers. The group warns that implementing outright bans on vape sales will likely drive consumers towards a dangerous black market. They advocate for a regulatory approach that prioritizes consumer safety, industry sustainability, and economic contributions.
Read moreAustralia’s recent budgetary woes, with tobacco excise tax revenue nearly halved since 2019 and estimated cumulative losses of A$10 billion (€5.6 billion) by 2029, have been tied to the country’s thriving black markets for tobacco and nicotine products. Experts warn that this illicit trade boom is a direct consequence of Australia’s draconian approach to vaping regulation, which includes limiting the legal sale of vapes to pharmacies and implementing sweeping flavor bans.
Read moreA year has passed since Kazakhstan enacted a sweeping ban on the sale, manufacture, and distribution of electronic cigarettes and vaping devices on April 19, 2024. The legislation, which carries penalties ranging from fines and arrests to imprisonment and property confiscation for large-scale trafficking, aimed to curb the growing popularity of vaping, particularly among minors. However, as a “Kursiv” correspondent discovered, the ban has given rise to a thriving black market that operates under principles akin to drug trafficking, making it relatively easy to purchase these prohibited products.
Read moreVaping products are being increasingly pushed underground in both the United States and the United Kingdom, as a new research highlights the growing consequences of poor regulatory decisions. This shift not only sends a negative message about harm reduction tools but also compromises consumer safety, as these products enter the unregulated market.
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