Europe's shisha tax war: what Germany and the EU are planning

In short: Germany plans to more than triple its tax on shisha tobacco by 2030, and the European Union wants shisha to have its own, much higher minimum tax. Neither has become law yet. Neither applies in Great Britain.

Germany: from about €57 to €188 a kilo

Germany's government has proposed raising the tax on shisha tobacco in steps, from about €57 per kilo today to €188.46 per kilo by 2030. The first step, reported for 1 January 2027, would take it to €107.71: almost double in one go.

• Where it stands: the German cabinet approved the bill in July 2026. It had its first reading in the Bundestag on 24 September, and the finance committee held a public hearing on 5 October. It is not law yet.
• What the industry says: the German shisha tobacco trade association estimates that a 200g tin costing €25 to €30 today could cost around €60. It says Germany has about 5,000 shisha bars, and it warns that higher prices will push more people to the black market.

The EU: shisha gets its own tax category

In July 2025 the European Commission proposed updating the EU's tobacco tax rules. For the first time, shisha tobacco would be its own category, with rising minimum taxes:

• 2028 to 2029: at least €22 per kilo, or 20% of the retail price
• 2030 to 2031: at least €54 per kilo, or 25%
• From 2032: at least €107 per kilo, or 50%

On 17 June 2026 the European Parliament voted against it, by 439 votes to 181. Parliament's vote is advisory, though: the decision rests with the EU's member states, which must agree unanimously. They haven't so far, and the plan is due to return to EU finance ministers in November.

Does any of this affect the UK?

• Great Britain: no. The UK sets its own tobacco duty. It went up on 1 October 2026; see the 2026 duty rise explained.
• Northern Ireland: possibly. Under the Windsor Framework some EU tobacco tax rules still apply there, and the UK government has said it is monitoring the proposals.

What about shishas themselves?

These taxes are on tobacco only. Shishas, bowls, hoses and accessories, including German-made shishas such as Aeon and Steamulation, are not affected.

Shisha tobacco is for adults aged 18 and over.

Sources: German Bundestag, European Commission proposal COM(2025) 580, European Parliament legislative record, UK government explanatory memorandum (September 2025), German shisha tobacco trade association via dpa.