Germany Raises Tobacco Tax 25% Annually Through 2026, Cigarette Packs to Hit 14 Euros

The Bundestag passed a law increasing Germany's tobacco tax by 25% per year for three years starting January 1, 2024, potentially raising a pack of cigarettes to 14 euros. The measure aims to reduce smoking and improve public health, but its impact on consumption and state revenue remains uncertain. This is a domestic policy shift with no direct market implications beyond the tobacco sector.