Health group warns proposed import duty cut could slow quitting
Public Health Association of Australia has warned that a proposed 80% cut to Australia’s tobacco import duty could increase nicotine addiction among children and slow quitting by adults.
On 3 September 2026, the group attacked Coalition and One Nation proposals and called them a break from decades of bipartisanship on tobacco control.
By 2025, Australia’s daily smoking rate had fallen to 5.6%. Regular vaping use had stabilised at 3.6% after a decade of growth.
Under Australia’s tax system, tobacco products do not face a counter sales tax. Instead, imported tobacco is taxed through a customs duty.
PHAA attacks Coalition and One Nation plan
PHAA argued that an 80% cut to that duty would mainly benefit international tobacco companies that import products into Australia.
Prices would stay the same unless importers chose to pass on the tax cut. As a result, the group said the policy could lift company profits without helping smokers quit.
PHAA also said there is no evidence an 80% cut would eliminate the illegal tobacco market. It argued the change would not raise revenue and would not reduce nicotine addiction.
However, if importers lowered prices, criminal sellers could follow with cheaper products of their own. PHAA warned that outcome could be disastrous.
About 90% of nicotine addiction begins before the age of 18. Because price and policy settings shape uptake and social norms, PHAA linked the proposal to higher risks for young people.
More than 90% of young Australians reject nicotine addiction and understand the health risks, according to the association. Even so, it said lower prices could still influence behaviour.
Meanwhile, PHAA said the cost of tobacco goes far beyond the price of a packet. It pointed to illness, medications, hospital appointments, time away from work, caring responsibilities, lost income and premature death.
Families, communities and the health system carry those costs. The association also warned that reducing tobacco tax could deepen inequities.
While debate often focuses on housing and the cost of living, PHAA argued that health is essential to quality of life.
PHAA called on all Australian politicians to put the health and safety of young people first. It also urged all political parties to refuse donations from tobacco industry interests.
The association is Australia’s peak public health body. It represents about 2,000 individual members from more than 40 professional groups.
