Business Wire

Philip Morris International: New Study Shows Decline of Total Illicit Cigarette Consumption in the European Union in 2019 Despite Continued Increase in Counterfeiting

18.6.2020 14:05:00 EEST | Business Wire | Press release

Share

Philip Morris International Inc. (PMI) (NYSE: PMI) reiterated today the need for collaborative efforts against illicit trade to continue, as a new report produced by KPMG underlined the changing nature of the problem in the European Union (EU).

The independent KPMG annual study, commissioned by PMI, found that in 2019, the consumption of illicit cigarettes—which consist of contraband, counterfeit, and illicit whites—continued to decline in the EU, reaching an all-time low since the study first took place in 2006. In total, 38.9 billion illicit cigarettes were consumed, representing 7.9 percent of total cigarette consumption, a 0.7 percentage point reduction compared to the previous year.

Despite the overall decline of illicit cigarette consumption, which continued for the seventh consecutive year, the consumption of counterfeit cigarettes continued to grow, reaching 7.6 billion, a 38.3 percent increase compared to 2018 and the highest level recorded to date.

“The continued decline of illicit tobacco trade in the EU is a positive development and reinforces the importance of supply chain control measures, strict enforcement, and collaboration in combating this issue,” said Alvise Giustiniani, vice president of Illicit Trade Prevention at PMI. “We must remain focused on these collective efforts, as there continue to be worrying trends like the increase of counterfeit cigarettes and the persisting problem of illicit whites. The first ever EU-wide tracking and tracing system that was introduced last year under the European Tobacco Products Directive is an important tool for law enforcement and one that we should continue to enhance through close collaboration and information-sharing to remain highly vigilant on emerging risks.”

Illicit trade undermines efforts to reduce smoking prevalence and makes unregulated tobacco products easily accessible. For PMI to deliver a smoke-free future and enable millions of people who would otherwise continue to smoke to switch to better alternatives to cigarettes, it’s essential to eliminate illicit tobacco trade wherever it exists.

Interviews with law enforcement conducted by KPMG as part of the study indicate that the manufacture of illicit whites and counterfeit cigarettes in illegal factories located in the EU is increasing. Insights from law enforcement also refer to emerging organized crime groups that specialize in the smuggling and sale of illicit raw tobacco.

Other report findings reveal that:

- Counterfeit cigarettes represent 19.5 percent of total illicit cigarette consumption. Compared to 2018, the biggest increases in counterfeit consumption occurred in the U.K. (by 137 percent, to 2.1 billion cigarettes) and France (by 82 percent, to 0.84 billion cigarettes).

- Illicit whites continue to be a major element of illicit cigarette consumption, representing 35.6 percent of illicit consumption in the EU, or 13.8 billion cigarettes, up from 29.8 percent in 2018.

- For the first time since the research began in 2006, counterfeit cigarettes and illicit whites represent more than 50 percent of total illicit cigarette consumption in the EU.

- The countries with the largest volumes of illicit cigarette consumption in the EU were France, with 7.2 billion illicit cigarettes, and the U.K., with 5.5 billion illicit cigarettes.

- The highest shares of illicit cigarette consumption were found in Greece (22.4 percent), Lithuania (17.7 percent), and Ireland (17.5 percent). Compared to 2018, both Greece and Ireland saw a declining trend in illicit cigarette consumption, while Lithuania marked a slight increase.

- Illicit flows from identifiable markets outside the EU, such as Ukraine and Belarus, continued to decline. However, illicit products reportedly originated from within the EU—and destined to another EU country—increased in 2019.

PMI invests significantly in supply chain controls through preventive and protective measures, implements track-and-trace solutions worldwide in line with strict regulatory requirements, and applies comprehensive due diligence of customers and suppliers. The company supports regulations such as the FCTC Protocol to Eliminate Illicit Trade in Tobacco Products and the tracking and tracing provisions under the EU Tobacco Products Directive. Furthermore, PMI works with private and public actors alike to help advance the global anti-illicit trade efforts, including through PMI IMPACT, a global initiative supporting third-party projects against illegal trade and related crimes.

For more information about PMI’s illicit trade prevention efforts, visit StopIllegal.com.

About KPMG’s Report

A detailed overview of results and methodology is available here.

Philip Morris International: Delivering a Smoke-Free Future
Philip Morris International (PMI) is leading a transformation in the tobacco industry to create a smoke-free future and ultimately replace cigarettes with smoke-free products to the benefit of adults who would otherwise continue to smoke, society, the company, and its shareholders. PMI is a leading international tobacco company engaged in the manufacture and sale of cigarettes, as well as smoke-free products and associated electronic devices and accessories, and other nicotine-containing products in markets outside the United States. In addition, PMI ships a version of its IQOS Platform 1 device and its consumables authorized by the U.S. Food and Drug Administration to Altria Group, Inc. for sale in the United States under license. PMI is building a future on a new category of smoke-free products that, while not risk-free, are a much better choice than continuing to smoke. Through multidisciplinary capabilities in product development, state-of-the-art facilities, and scientific substantiation, PMI aims to ensure that its smoke-free products meet adult consumer preferences and rigorous regulatory requirements. PMI’s smoke-free IQOS product portfolio includes heat-not-burn and nicotine-containing vapor products. As of March 31, 2020, PMI estimates that approximately 10.6 million adult smokers around the world have already stopped smoking and switched to PMI’s heat-not-burn product, available for sale in 53 markets in key cities or nationwide under the IQOS brand. For more information, please visit www.pmi.com and www.pmiscience.com.

# # #

To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.

Contact information

Martin Schatzky
Philip Morris International
T. +41 (0)58 242 4500
E. Martin.Schatzky@pmi.com

About Business Wire

For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.

Subscribe to releases from Business Wire

Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from Business Wire

Even Realities Brings Classic Tortoiseshell Design to Smart Glasses with New Even G2 Brown 226.10.2026 16:00:00 EET | Press release

Even Realities, the company behind camera-free, display-first smart glasses, today introduced Brown 2, a new tortoiseshell-inspired colorway for Even G2, alongside two accessories: Even G2 Clip (Polarized) and the Even G2 Chain. Designed to bring the warmth and character of traditional tortoiseshell eyewear to smart glasses, Brown 2 features a newly developed material that carries its layered pattern throughout the frame rather than applying it as a surface finish. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20261026502782/en/ Even G2 Chain. Photo Credit: Even Realities Each frame is individually shaped, pressed, tumbled, and polished for 20 hours, creating subtle variations that make every pair unique. Brown 2 is also the lightest Even G2 design to date, while retaining the camera-free, display-first technology that brings live translation, notifications, and a teleprompter directly into the wearer's field of view. "For sm

Incyte Highlights New Data Advancing its Gastrointestinal Cancer Portfolio at ESMO 202626.10.2026 15:45:00 EET | Press release

Incyte (Nasdaq:INCY) announced new results from its advancing oncology portfolio, including updated results for its KRAS G12D inhibitor (INCB161734) in pancreatic ductal adenocarcinoma (PDAC) and advanced or metastatic colorectal cancer (CRC), and its TGFβR2×PD-1 bispecific antibody (INCA338901) in microsatellite stable CRC (MSS CRC). The data were featured in three rapid oral sessions (Abstract #3137RO, Abstract #1007RO and Abstract #1954RO, respectively) at the European Society of Medical Oncology (ESMO) Congress 2026. “At Incyte we are focused on improving outcomes for people living with cancer. The data presented for INCB161734 and INCA33890 show the potential of both programs to improve the standard-of-care in hard-to-treat diseases,” said Pablo J. Cagnoni, M.D., President, Incyte and Global Head of Research and Development. “Across pancreatic and colorectal cancers, we continue to see encouraging evidence of clinical activity and manageable safety profiles, supporting the promise

Bending Spoons Completes the Acquisition of Miro26.10.2026 15:00:00 EET | Press release

Bending Spoons S.p.A. (NASDAQ: BSP) has completed the previously announced acquisition of Miro, the visual collaboration platform used by more than 250,000 organizations to brainstorm, plan, and build together. “Miro has built a strong business around a product that makes complex collaborative work feel simple,” said Luca Ferrari, Bending Spoons CEO and co-founder. “Miro’s versatility has made it useful across a broad range of industries and workflows, while creating a robust foundation for further expansion. We believe there’s significant potential to build on these strengths. We look forward to drawing on Bending Spoons’ technologies and expertise to make Miro even more useful to customers and support its continued growth.” “Teams depend on Miro for innovating, alignment, coordination, and decisioning, and that need is only growing,“ said Andrey Khusid, CEO and co-founder of Miro. “In Bending Spoons, Miro has an owner who invests for the long term and cares deeply about product quali

Dubai Culture Opens Registration for ISEA2026 Dubai26.10.2026 14:09:00 EET | Press release

Dubai Culture and Arts Authority (Dubai Culture) has opened registration for the 31st International Symposium on Electronic/Emerging Art (ISEA2026 Dubai), taking place from 6 to 15 November 2026 under the theme ‘ELYAH: Constellating Place, Data and Identity’. The symposium will be the largest edition to date, bringing together artists, researchers, and innovators from around the world to explore the intersection of art, science, and technology and exchange perspectives on the future of contemporary creative practice. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20261026652826/en/ Dubai Culture Opens Registration for ISEA2026 Dubai (Graphic: AETOSWire) The event supports Dubai Culture’s efforts to advance the digital arts ecosystem, deliver on its Digital Arts Roadmap objectives, and empower local talent. It also reinforces Dubai’s position as a global cultural reference, a leader in innovation, a driver of the creative econo

Agendia Unveils Clinical Validation of AI-Driven Digital Pathology Approach26.10.2026 14:00:00 EET | Press release

Agendia, Inc., a leader in precision oncology for breast cancer, recently presented research introducing its investigational artificial intelligence (AI)-driven digital pathology approach for the MammaPrint®70-gene recurrence signature at the European Society for Medical Oncology (ESMO) Congress 2026 in Madrid. The podium presentation, delivered by co-founder and Chief Research Officer, Laura van ’t Veer, Ph.D., detailed the development and clinical validation of a deep learning pipeline that can infer MammaPrint (MP) risk categories directly from hematoxylin and eosin (H&E)-stained, whole-slide images (WSIs). The company also presented two additional posters highlighting data from the prospective, real-world FLEX Study (NCT03053193). “AI has been part of Agendia’s scientific foundation from the beginning and this study represents its continued evolution,” said Dr. Laura van ‘t Veer. "For the first time, we are presenting our work exploring whether the biological information represente

In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.

Visit our pressroom
World GlobeA line styled icon from Orion Icon Library.HiddenA line styled icon from Orion Icon Library.Eye