The EU has formally delayed its vote on higher tobacco and nicotine taxes from October to November — and the reason is Sweden.

The Irish presidency of the Council of the EU confirmed that the vote on the revised Tobacco Taxation Directive will move from the 9 October ECOFIN meeting to the November meeting of EU finance ministers. In a statement, the presidency said it would continue to "engage bilaterally with the aim of securing unanimous political agreement at the November ECOFIN".

Four EU diplomats told Politico the delay gives Sweden's next government time to consider the proposal after the 13 September election and potentially break the current stalemate. Sweden is still forming a coalition, and its position is the single biggest obstacle to the file.

What the EU wants to tax

The proposed rewrite of the EU Tobacco Taxation Directive — presented by the European Commission in July 2025 — would raise minimum taxes on cigarettes and, for the first time, set EU-level minimum excise rates on newer products: e-cigarettes, heated tobacco, and nicotine pouches.

For pouches, the Commission's plan would mean either 25% of the retail price or €71.50 per kilogram, whichever applies. Sweden currently applies a levy of €18.36 per kilogram — the divergence that sits at the centre of the fight.

Why Sweden is the holdout

Sweden has emerged as the principal opponent of the proposal, specifically over nicotine pouches. Politicians across the Swedish political spectrum campaigned against higher EU pouch taxes ahead of the election, and the products have become an established part of the country's nicotine market.

Sweden argues its low pouch tax is a model the EU should copy, not override. Daily smoking among Swedes fell from just over 30% in 1980 to 5% in 2024 — a decline Swedish officials credit largely to snus and, increasingly, tobacco-free pouches. Finance minister Elisabeth Svantesson put it bluntly in June: "Other countries do not get to decide over our snus."

The math is unforgiving for the proposal's backers. EU tax legislation requires unanimity, so Sweden can block it alone. One senior EU government official told Politico: "If Sweden's minister says that it doesn't have a mandate to approve the legislation, then it's over."

Why it matters

Nothing changes for shoppers immediately — there is no EU-wide pouch tax today, and the November meeting is another negotiation, not a done vote. But the delay confirms how hard this file is to land. If Sweden's next government keeps its election position, the vote fails or slips again, and the directive could drift toward 2027 under a different presidency.

For pouch brands selling across the EU, the practical ceiling stays national for now: countries that already tax pouches keep doing so, the rest hold off, and the bloc-wide harmonisation that would raise prices in low-tax markets stays parked in Brussels.

SOURCES: Tobacco Asia (14 September 2026) — https://www.tobaccoasia.com/news/eu-delays-tobacco-tax-vote/ ; Politico EU reporting on the October-to-November delay; Euractiv (31 August 2026) on the Swedish election freeze.