In Germany, cigarette sales continue to decline. Since 1991, the number of taxed glow sticks has more than halved. However, water pipes and liquids for e-cigarettes are becoming increasingly popular.
Last year, fewer cigarettes were taxed in Germany than in the previous year. According to the Federal Statistical Office the number fell to around 64 billion. That is a decrease of 2.7 percent – or 1.8 billion fewer cigarettes than in 2022.
In 1991, 146.5 billion cigarettes were taxed in Germany. In a long-term comparison, sales fell by more than half. Since then, numerous laws have come into force to curb smoking, including warning labels on cigarette packs and advertising bans. There were also tax increases.
The total amount of fine-cut tobacco taxed in Germany fell by six percent to 23,581 tons between 2022 and 2023. And sales of cigars and cigarillos also fell last year: by 9.7 percent to 2.3 billion units.
Hookah tobacco and liquids have only been taxed since 2022
Sales of water pipe tobacco were 727.7 tons in 2023. It rose significantly again after the end of the so-called sales period for small sales packages over 25 grams: While only 304 tons of water pipe tobacco were taxed in the first half of the year, sales volume increased by 39.7 percent to 424 tons in the second six months. Since the new Tobacco Tax Ordinance came into force on July 1, 2022, trading in water pipe tobacco in pack sizes over 25 grams is no longer permitted. Packs of this size that were previously taxed were still allowed to be sold until June 30, 2023.
Sales of classic pipe tobacco increased significantly by 22.6 percent to 398 tons. The amount of substitutes for tobacco products taxed in 2023 – such as liquids for e-cigarettes or vaporizers – totaled 1.2 million liters. A comparison with the previous year is not possible because liquids have only been subject to tobacco tax since July 1, 2022. A comparison is therefore only possible for the second half of the year: According to the available data, the amount of tobacco substitutes sold was 181.1 percent higher than in the second half of 2022.
Different tax rates apply to the different tobacco products or substitutes, which in turn are gradually increased at different times.