Japan burns smokers with 40% tax hike

Japan has imposed a 40% tax hike on cigarettes, effectively raising the price on most brands by a third, to curb smoking.

The finance ministry said the increase, which lifted the price of the popular Mild Seven brand to 410 yen (€3.56) per pack, will raise 63.1 billion yen (€553m) over the first year.

But officials at the health and finance ministries say the primary goal is to encourage smokers to quit.

Japan Tobacco, the world’s third-largest tobacco maker, said 36.6% of Japanese men smoked, down from about 50% a decade ago. The rate among women is 12.1%.