Heat Not Burn Products are Rising Price Overall in Japan

In Japan, heating non-burning products are rising the price across the country.

According to “Nihon Keizai Shimbun” reported on August 15, Japan Tobacco Industry Corporation (JT) announced on August 14 that it has applied to the Ministry of Finance to raise the price of a total of 150 types of cigarettes, including paper cigarettes and “heat-not-burn products”.

Heat-not-burn tobacco product use in Japan

The price increase will be between 10 and 90 yen, and the price of the main products will be raised by 20-40 yen. The background is that the Japanese government will raise tobacco taxes, which will be implemented on October 1 if the decision is approved by the finance ministry.

The price of all seven special cartridges for the heating non-burning product “Ploom TECH” will be raised from 460 yen (about RMB 28.5) per box to 490 yen (about RMB 30.4).

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Tobacco giant Philip Morris International also applied for an increase in the price of heated cigarettes in July. British American Tobacco Group is believed to be following the pace of price increases for the near term.

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In the Japanese cigarette industry, whenever tobacco taxes are raised, tobacco companies will raise the price of cigarettes. With the price increase, the market size will inevitably shrink. At present, the share of paper cigarettes accounts for 80% of Japan’s domestic tobacco market, but heating and non-burning products are becoming more and more popular.


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