Will gov’t push to label e-cigarettes raise tobacco prices?
September 24, 2025 by koreatimes.co.kr
Will gov’t push to label e-cigarettes raise tobacco prices?
The government is considering raising cigarette prices to generate more tax revenue, including imposing a new tax on synthetic nicotine used in e-cigarettes. The proposed amendment expands the definition of tobacco to include synthetic nicotine. Experts believe this move is a strategy to gauge public sentiment before potentially increasing cigarette prices. If approved, the government could gain 930 billion won annually from the tax on synthetic nicotine and over 9 trillion won from higher cigarette prices. The country's cigarette prices are lower than the OECD average, making a price hike a possible solution to revenue shortfalls. The government aims to reach its annual tax revenue target by adjusting tobacco taxes.
