The total cost related to medical treatment, illness, and premature death due to tobacco-related diseases is approximately VND108 trillion ($4.5 billion) per year, according to preliminary estimates from the Vietnam Health Economics Association in 2022.
Deputy Director in charge of the Tobacco Harm Prevention Fund (THPF) Phan Thi Hai analyzed that one of the main reasons for the persistently high smoking rate and its slow decline is the relatively low tobacco tax in Vietnam.
In the draft amendment of the Special Consumption Tax Law, the Ministry of Finance has proposed two options for adjusting the tobacco tax. The first option is to maintain the current tax rate of 75%, while the second introduces an absolute tax rate.
(Suc Khoe Doi Song [1], Health Ministry [2])