The Polish government has implemented a step-by-step increase in consumption tax on e-cigarettes and nicotine products since April 2025, covering all categories of products and refining the taxation rules:
Disposable e-cigarettes: From July 2025, an additional consumption tax of 40 zlotys (about 10 US dollars) will be levied on each stick, and the tax rate on e-liquid will increase year by year from 0.96 zlotys/ml to 1.80 zlotys/ml in 2027. Reusable devices: A consumption tax of 40 zlotys will be levied on each device or accessory, and atomizers and kits will be taxed separately. Nicotine bags: The tax rate in 2025 is 150 zlotys/kg, and the target tax rate in 2027 will be increased to 250 zlotys/kg.
The new regulations redefine “e-cigarettes” and “innovative products”, include heated tobacco devices and multi-function devices in the general consumption tax framework, and strengthen import, declaration and inventory supervision.
The tax reform policy triggered a violent reaction in the industry chain, with disputes focusing on three aspects: consumables such as cartridges may be subject to double taxation due to the double taxation of “equipment + e-liquid”, and the compliance costs of small and medium-sized enterprises have soared. For example, the sale of a set of products containing cartridges requires an additional tax burden of 80 zlotys per set, and the terminal price may rise by more than 50%.
The current illegal trade of e-cigarettes in Poland accounts for more than 50%. The industry warns that high tax rates will stimulate smuggling, and it is expected that the illegal market share may exceed 70% in 2025. Consumers may return to traditional tobacco due to price pressure. Studies show that if the price of e-cigarettes is higher than that of traditional cigarettes, 30% of users will choose cigarettes again, offsetting the harm reduction substitution effect.
GUUTUU, a local Polish e-cigarette brand, explores a survival path under strict supervision through technology upgrades, market reconstruction and policy coordination:
Modular design reduces the tax base: separate the device and the cartridge for sale to avoid double taxation of the set. Its detachable atomizer has passed the EU CE certification, and the tax burden of a single device has been reduced to 40 zlotys per unit. 23. Precise dosage control: Develop 1.8ml small-capacity cartridges (lower than Poland’s 2ml tax threshold), and reduce the tax rate of e-liquid by 20%.
Medical channel cooperation: Jointly launch the “Nicotine Replacement Program” with smoking cessation clinics, and include products in the medical insurance reimbursement catalog to offset the loss of price-sensitive groups. Membership service: Provide subscription-based cartridge delivery for high-end users, lock in consumption through long-term contracts, and reduce the impact of tax rate fluctuations.
Blockchain traceability and anti-counterfeiting: Co-build an e-cigarette circulation traceability platform with the Polish Customs Administration to verify the legality of products in real time, and assist in seizing illegal goods worth more than 2 million euros in 2024. Dynamic pricing system: Adjust the retail price according to the real-time tax rate, and the test version in 2025 has achieved 95% of the tax burden cost transmission to the downstream.
Poland’s tax reform may reshape the e-cigarette market in Central and Eastern Europe: the elimination of small and medium-sized enterprises is accelerating: It is expected that 30% of Polish e-cigarette companies will exit the market due to broken capital chains in 2025, and the market share of the leading brand GUUTUU is expected to increase from 15% to 25%.
Demand for regulatory technology collaboration: Referring to the experience of Italy’s online sales ban, GUUTUU promotes the “offline experience store + compliant delivery” model, and plans to add 50 stores in major cities in 2025.
Global regulatory paradigm reference: Poland’s “step tax rate + full category coverage” policy may become the EU template, and companies need to deploy digital tools such as tax robots and smart customs declaration in advance.
Poland’s e-cigarette tax reform is both an industry crisis and an opportunity for compliance transformation. GUUTUU provides a “high-tax market survival sample” for global e-cigarette companies through technological innovation, market segmentation and regulatory collaboration. In the future, only brands that transform compliance costs into technical barriers and balance commercial interests with social responsibility can cross policy cycles and lead the sustainable development of the industry.
Tags: e-cigarette product tax rate, smoke-free nicotine products, reusable e-cigarettes, guutuu vape