Business & Finance
Illegal cigarette manufacturing spans almost every EU country, auditors find
The Guardian reports that illicit production sites now operate across nearly all member states, costing billions in lost revenue.
The short version
- A European Court of Auditors report found illicit cigarette production sites in nearly every EU member state.[The Guardian]
- The illegal tobacco trade cost an estimated €13bn in lost tax revenue annually and made up about 8.8% of consumption in 2023.[The Guardian]
- Enforcement remains hindered by fragmented national laws and incomplete data on the total scope of the illicit market.[The Guardian]
Key facts
- The European Court of Auditors found that illicit cigarette manufacturing facilities have been discovered in nearly every member state.[The Guardian]
- The illegal tobacco market deprives European Union countries of an estimated €13bn in tax receipts annually.[The Guardian]
- Illicit tobacco accounted for approximately 8.8% of all cigarette consumption across the bloc in 2023.[The Guardian]
- Auditor Petri Sarvamaa reported that unharmonized European legislation and fragmented national efforts create significant enforcement gaps.[The Guardian]
What remains uncertain
- Auditors noted that available data regarding the overall size, market structure, and true economic impact of the illicit tobacco trade remains unreliable and incomplete.[The Guardian]
Sources
Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.