Sweden Threatens EU Tobacco Tax Deal as Nicotine Pouch Duty Dispute Looms Over November 9 Meeting
Sweden plans to oppose the EU's proposed tobacco tax reform over nicotine pouch duties at the November 9 ECOFIN meeting, potentially blocking the deal.Summary
Sweden is expected to oppose a European Union proposal to raise minimum tobacco excise duties at the November 9 meeting of EU finance ministers, according to Law360. The reform, proposed by the European Commission in July 2025, would increase minimum taxes on conventional tobacco products and establish EU-wide excise rules for vaping liquids, heated tobacco, and nicotine pouches. Sweden supports harmonizing tobacco taxation in principle but objects to requiring nicotine pouches to bear the same minimum tax burden as certain smoking tobacco products, arguing that member states should retain flexibility to differentiate taxes based on relative harm. Traditional Swedish snus remains excluded from the directive, while tobacco-free nicotine pouches would be included. Since EU indirect tax legislation requires unanimous approval from all 27 member states, Swedish opposition could block the proposal in its current form. The provisional Council agenda dated October 23 lists the tobacco taxation package for discussion at the November 9 ECOFIN meeting, where ministers will seek a general approach. As of October 28, no final agreement had been announced.
(Source：2Firsts)
