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Australia’s Illegal Cigarettes Hit 80% Amid Tax Surge

6/3/2026

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Story summary
  • Australia’s black-market tobacco supplies four-fifths of nicotine, with the Bureau of Statistics saying 80 % of cigarettes consumed in 2025 were illegal.
  • Excise taxes have tripled since 2016, raising legal packs above $50 while illicit packs sell for $25.
  • The surge created a $6.9 billion revenue shortfall and an $8 billion excise downgrade over five years.
  • New laws impose fines up to $370,000 and 15 years jail for landlords and sellers of illegal tobacco.