The Philippines has lost an estimated P141 billion ($2.46 billion) in government revenue to the illicit tobacco and vape trade over the past two years. This staggering financial drain, documented in a new joint report by the EU-ASEAN Business Council (EU-ABC) and Euromonitor International, highlights how widening price gaps and rising taxes have fueled a massive underground market that threatens national fiscal stability.
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Industry analysts project the Philippine vape market will surge to $582.9 million by 2034, reflecting a massive shift in consumer habits. This rapid expansion, driven by a tech-savvy youth demographic and the legalization of flavored e-cigarettes, has triggered an escalating clash between commercial growth and public health warnings.
Read moreThe Philippine Department of Health (DOH), backed by prominent senators, is urgently calling for a total ban on vape products. This aggressive push follows revelations that current regulations have failed to stop a dramatic surge in youth nicotine addiction, with adolescents easily bypassing online age restrictions.
Read moreThe municipal government of Gumaca is cracking down on public vaping and smoking. Mayor Webster Letargo has ordered local police to strictly enforce existing ordinances, imposing fines up to P2,500 and potential imprisonment to protect youth and public health.
Read moreThe Philippine Bureau of Customs (BOC) has executed its largest-ever seizure of illicit vaping products, confiscating over ₱1 billion worth of unregistered e-cigarettes in Navotas City. The operation targets non-compliant goods lacking safety certifications, reinforcing the government’s crackdown on the unregulated vape trade.
Read moreWhile welcoming the Department of Trade and Industry’s (DTI) proposal to ban open vape pods and e-liquids, the TobaccOFF NOW! Movement argues this is insufficient. They are calling for a total ban on all vaping and novel tobacco products, warning that partial restrictions create loopholes that allow youth to simply switch to disposable or closed-system alternatives.
Read moreThe 2026 excise tax adjustment in the Philippines will directly increase the retail prices of all tobacco and nicotine products. Mandated by Republic Acts 11346 and 11467, the specific tax on a pack of cigarettes has risen to ₱69.46, while heated tobacco products and vapor products also face significant hikes, aiming to boost state revenue and curb consumption.
Key Takeaways:
- Cigarette Hike: Tax per pack rises to ₱69.46 from ₱66.15.
- Vape Increase: Nicotine salt and freebase liquids now taxed at ₱60.20 per ml.
- HTP Adjustment: Heated tobacco products see tax climb to ₱37.63 per pack.
- Fiscal Impact: Sin tax collections jumped to ₱106 billion by Sept 2025.
The Department of Trade and Industry (DTI) in the Philippines is moving to tighten regulations on the vaping industry by proposing a mandatory permitting system for all advertising and sales promotion materials. Through a draft Department Administrative Order (DAO), the DTI is seeking public and stakeholder feedback on this new policy, which covers vaporized nicotine and non-nicotine products, devices, and novel tobacco products.
Read moreThe Department of Health (DOH) in the Philippines is urging a complete nationwide ban on vape products, citing serious health risks and misleading marketing. The agency criticized advertisements that portray vaping as a safer, nicotine-free alternative to traditional cigarettes, asserting instead that both the vapor and the devices contain harmful chemicals linked to cardiovascular disease, cancer, and lung illnesses.
Read moreThe Philippine Bureau of Internal Revenue (BIR) has released Revenue Memorandum Circular (RMC) 94-2025, providing supplemental policies and documentary requirements for businesses claiming an excise tax refund or credit for unused internal revenue stamps on cigarettes, heated tobacco products, and vape products. The circular, issued on September 24, 2025, aims to clarify the process for manufacturers and importers to recover taxes paid on stamps that were not ultimately used.
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