Electronic cigarette liquids will soon be taxed

French vapers are about to see the price of their e-liquids change. Until now, France has been an exception in Europe, with no specific tax on electronic cigarette liquids. That situation is coming to an end: whether through a national decision or through European harmonisation, e-liquids will soon be subject to tax. Here is the background, the reasons behind the measure and the consequences to expect for those who vape.

The current position: the end of a French exception

At present, buying a bottle of e-liquid in France involves only the usual VAT, with no additional excise duty. That has long set France apart, while most of its neighbours have already introduced specific taxes on these products. According to estimates, 23 of the 27 European Union countries already tax e-liquids. For example:

• Belgium: excise duty of about 0.15 € per millilitre of liquid.
• Germany: excise duty of about 0.20 € per ml (with an increase planned in the coming years).
• Italy: between 0.10 € and 0.13 € per ml depending on the liquid.
• Spain: since 1 April 2025, a tax of 0.15 € per ml on e-liquids with a low nicotine content, and 0.20 € per ml for more heavily nicotine-containing liquids.

France has so far not taken the step of taxing vaping in this way. In late 2024, an amendment to the 2025 finance bill did propose a tax of 0.15 € per millilitre on all electronic cigarette liquids (including those without nicotine). The proposal promised around 150 to 200 million euros in annual revenue and was intended to “put an end to a tax anomaly” by aligning vaping with tobacco. Adopted by the National Assembly in November 2024, the plan was blocked a few weeks later: the Senate, with the government’s support, withdrew the amendment before the final law, citing the risk of vapers returning to tobacco. That was only a reprieve, however. Neither the French nor the European authorities have abandoned the idea of taxing vaping, considering it is probably a matter of time.

The reasons: public health, young people and harmonisation

Why tax electronic cigarette liquids? Several official reasons are put forward:

• Protecting young people: the public authorities are concerned about the growing popularity of vaping among young people. The argument advanced is that the presence of nicotine, an addictive substance, in many e-liquids justifies limiting the appeal of the electronic cigarette. By making these products more expensive, decision-makers hope to deter minors and young adults from using them, and so prevent vaping from becoming a way into nicotine dependence.
• Alignment with tobacco: conventional tobacco has been heavily taxed for decades, for public health reasons (higher prices to discourage consumption) and for revenue. The electronic cigarette, however, is often used as an alternative to tobacco. Supporters of a tax consider it logical to harmonise taxation between conventional cigarettes and e-liquids, so as not to give vaping a purely financial advantage over tobacco.
• European harmonisation: with each country having its own rules, significant price differences arise within the EU and encourage cross-border purchases. The European Commission therefore wants to introduce a common minimum tax on nicotine products (heated tobacco, nicotine pouches and e-liquids) in all member states. In July 2025, Brussels formalised a draft directive requiring all EU countries to apply an excise duty on e-liquids by 2026-2027, with defined minimum rates. The Commission proposes, for example, a minimum of 0.12 € per ml on liquids with less than 15 mg/ml of nicotine, and 0.36 € per ml above that (or a tax equivalent to 20% and then 40% of the retail price). This reflects a double aim: to avoid price differences from one country to another, and to meet public health objectives at European level.
• Tax revenue: finally, the financial aspect should not be overlooked. With close to 4 million vapers in France, vaping represents a substantial market. Introducing a special tax would generate significant revenue for the State. In a tight budgetary context, these new resources (put at several hundred million euros a year) are a weighty argument in favour of the measure.

Concerns and criticism: a risk of a return to tobacco?

Faced with these official justifications, many voices are raised in criticism of taxing e-liquids. Doctors specialising in smoking, risk-reduction associations (such as FIVAPE, the inter-trade federation for vaping) and, of course, professionals in the sector are expressing their concerns:

• A blow to the fight against tobacco: the electronic cigarette is regarded by many experts as an effective tool for stopping smoking. In France, vaping is estimated already to have helped hundreds of thousands of smokers to reduce or give up their tobacco use. Taxing vaping like tobacco sends a confused message to smokers, they argue: it amounts to treating as equivalent to the conventional cigarette a product they consider markedly less harmful. Smoking specialists warn that a sharp increase in the price of e-liquids could tempt some vapers back to conventional cigarettes, more affordable but, in their words, far more dangerous to health. In other words, the measure could be counter-productive by slowing the fall in smoking.
• An advantage for the tobacco manufacturers? Several observers note that the tobacco industry has established itself on the vaping market, notably through disposable electronic cigarettes (“puffs”) or devices with pre-filled pods. These products, often made by subsidiaries of the large tobacco companies, contain little liquid and would be relatively less affected by a per-millilitre tax. Independent e-liquid manufacturers and specialist shops (which make up most of the current market), by contrast, would be heavily hit. Those in the vaping sector therefore fear that a uniform tax would favour the “closed” vaping products of the tobacco companies at the expense of e-liquids sold by the bottle, shifting part of the market towards the tobacco multinationals.
• Impact on purchasing power and the black market: for consumers, the concern is the increased cost. A tax of 0.15 € per ml, for example, would add about 1.50 € to a standard 10 ml bottle (before VAT). For a large 50 ml bottle, that means 7.50 € more, a sharp rise in the final price. Those who make their own e-liquids (DIY) would be penalised even more, since nicotine bases in large volumes would become very expensive. There is also a risk that some users will turn to parallel channels to avoid the tax: undeclared imports from abroad, purchases on non-EU websites, or even home-made, uncontrolled liquids. Health professionals point out that a black market in vaping could expose users to poor-quality products with no health guarantee, as with the adulterated liquids that caused a wave of lung illness in the United States in 2019.

What impact for French vapers?

In practical terms, what will this change for users of the electronic cigarette in France? If a tax is introduced, the price of e-liquids will inevitably rise. A fixed sum per millilitre would be added to every bottle. A 10 ml bottle costing 5 € today, for example, could go to about 6.50 € with a tax of 15 cents per ml (leaving aside any VAT charged on that tax). For an average vaper using 2 ml a day, that would mean about 9 € more to pay each month. Heavy users would be more affected. It is worth noting, as a matter of arithmetic, that a smoker of one pack of cigarettes a day easily spends 10 € to 12 € daily, or more than 300 € a month. Even with a tax, the amounts spent on the two products would remain of a different order, particularly for those who buy large bottles or make their own liquid. Some shops and vaping brands are also already looking for ways to soften the effect of the tax: promotional offers, loyalty schemes, or absorbing part of the increase in order to protect the budgets of regular customers.

Towards imminent adoption of the tax

At this stage, the question is no longer really “whether” e-liquids will be taxed, but “when” and how. Nationally, the French government has so far held back from direct taxation, no doubt preferring to wait for a coordinated decision at European level. That strategy buys time, but France is very likely to end up aligning itself with the coming European directive. Brussels is aiming for harmonised taxation by 2026-2027, with entry into force by 1 January 2028 at the latest in all Union countries. That still leaves a few years’ respite, but the process is under way. In conclusion, electronic cigarette liquids will soon be taxed, whether through a French law or by European obligation. Vapers and professionals need to prepare for it. This development is part of a wider debate about the place of the electronic cigarette in public health policy: a risk-reduction tool to be encouraged, or a nicotine-containing product to be regulated and taxed like tobacco? Until the tax actually applies, discussion continues between supporters and opponents of the measure. In every case, it will be essential to monitor the effect of this taxation on behaviour: the stated aim is to protect young people and public health, without penalising smokers in the process of quitting. Whether the measure, once in place, finds the right balance between those aims remains to be seen. In the meantime, vapers would do well to keep informed: the price of their usual bottle could well rise in the near future.