9 May 2025
On 7 May 2025, World No.1 transnational tobacco company, Philip Morris International (PMI), held its annual shareholders meeting celebrating its profits, claiming “2024 was a remarkable year for PMI” and that its cigarette sales had a “robust performance”, while sales of its other nicotine products grew. PMI’s presentation on its performance during the 24:55 min meeting was thin on information about its cigarette business as it focused on its so-called smoke-free products to assure its shareholders.
Its annual report provides details which shows the bulk of PMI’s revenue is still in cigarette sales.
- Combustible represented 79.6% of PMI’s total shipment volume and 61.7% of its total revenue, gross profit from sales of cigarettes increased 6.8%;
- In 2024, PMI sold 665 billion cigarettes globally, compared to 633 billion sticks in 2023. Sales increased 8.7% in 2024;
- 35 out of its 51 factories manufacture cigarettes.
During PMI’s shareholders’ meeting at question time, a Corporate Accountability representative asked the Chairman, “If PMI is truly committed to smoke-free future, why not take a logical step would be to stop marketing Marlboro and stop marketing both cigarettes and new nicotine products to youth?” The Chairman’s gave the standard response that they are marketing their products legally and they don’t market to youth: “This is the same allegation I hear, but if you look at the number for IQOS, no issue with marketing to youth … some spending on cigarettes because we need to compete.”
While PMI trumps up its smoke-free business, the figures in some countries, including Indonesia and Philippines in the ASEAN region, show cigarettes sales are actually increasing. Cigarettes sales in Egypt, Indonesia, Philippines and Turkey show they increased in 2024 compared to 2023 (Table 1). This is hardly surprising because in the Philippines, PMI relaunched its Marlboro cigarettes. In Indonesia 2 out of 3 men smoke and regulations are laxed. In Turkey, PMI’s cigarettes sales have been on an increasing trajectory for several years.
Table 1: PMI Cigarettes Sales (Billion sticks)
| 2016 | 2018 | 2020 | 2022 | 2023 | 2024 | |
| Egypt | 83.2 | 86.0 | 85.8 | 92.8 | 72.9 | 81.0 |
| Indonesia | 315.6 | 302.5 | 275.9 | 304.0 | 291.6 | 294.3 |
| Philippines | 79.3 | 73.2 | 61.8 | 53.2 | 42.7 | 45.8 |
| Turkey | 105.5 | 118.5 | 114.8 | 116.8 | 137.4 | 150.5 |
PMI’s cigarette brands are sold in about 170 markets, in many of which PMI’s brand holds the No.1 or No.2 of market share. PMI owns 5 of the top 15 cigarettes brand in the world with Marlboro cigarettes still the world No. 1 cigarette brand. (Figure 1).
Figure 1: PMI’s Cigarette brands performance globally 2024
The addiction to profits from cigarettes is also seen in World No.2 company, British American Tobacco. BAT touts the tagline, “A Better Tomorrow” by “Building a Smokefree World”, but has just launched three new editions of its Dunhill cigarettes brand in South Korea through its local subsidiary, BAT Rothmans (Figure 2). The new brands are cheekily namedNew York, Paris, and London although smoking is banned in public spaces in all 3 cities. Each pack is sold at a cheap price of only 4,500 won (US$3.22).
Figure 2: BAT’s 3 new brands of cigarettes
BAT’s profits are still dependent on cigarettes sales as it sold 605 billion sticks in 2023. Similar to PMU, BAT also intends to continue selling cigarettes, stating it is “establishing a strong presence in the combustible cigarette market.” And has planned to roll these new brands of cigarettes globally.
According to WHO all forms of tobacco use is harmful. Hence switching from one tobacco product to another is not a solution to the tobacco epidemic. Nicotine is addictive and is a poison. The tobacco industry is in the addiction business.
The global tobacco market was valued at about US$ 900 billion in 2024 and is poised to grow to US$ 1,157.8 billion by 2032. The tobacco industry will not give up on this lucrative business. The Chinese National Tobacco Corporation and Big Tobacco dominate global tobacco market (Figure 3).
Figure 3: CNTC and Big Tobacco dominate global tobacco market
Asia Pacific dominated the global tobacco market in 2022, accounting for almost 61% of the total revenue. The number of tobacco users is increasing in developing countries in Asia, with India and Indonesia having a particularly high number of consumers due to their large population.
Besides implementing the WHO FCTC, facing out the tobacco industry should be on government’s policy consideration.
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