By Timothy S. Donahue
Top Takeaways:
- Quota locked in: Vietnam set its 2026 raw tobacco import tariff quota at 79,199 tons, effective March 15.
- Permits required: Imports will be allocated via permits to licensed cigarette manufacturers and tobacco processors that use the leaf for domestic production.
- Policy continuity signaled: The framework preserves Vietnam’s tightly managed tobacco supply system under existing foreign trade rules.
Vietnam has set its import ceiling for raw tobacco in 2026, maintaining tight state control over foreign leaf supplies used in domestic cigarette production.
Under Circular No. 04/2026/TT-BCT, issued by the Vietnam Ministry of Industry and Trade, the country will allow the import of 79,199 metric tons of raw tobacco next year. The quota takes effect on March 15, 2026, and applies to raw tobacco classified under HS code 2401.
The quota will be administered through an import permit system, with access limited to companies that already hold valid licenses for cigarette manufacturing or tobacco processing. Crucially, imported tobacco must be used exclusively for domestic cigarette production, reinforcing Vietnam’s long-standing policy of preventing quota allocations from being diverted into trading or resale.
According to the circular, quota allocations will be made under Vietnam’s existing foreign trade management framework. Import permits will be issued in accordance with Decree No. 69/2018/ND-CP and Circular No. 12/2018/TT-BCT, which govern licensed and conditional imports.
Vietnam operates a tightly regulated tobacco system in which domestic cigarette production relies on a mix of local leaf and controlled imports. Annual tariff quotas are used to balance supply needs while limiting exposure to foreign tobacco beyond what manufacturers can justify for production.
By tying quota access directly to licensed manufacturers and processors—and requiring proof of end use—the 2026 framework continues Vietnam’s approach to supply discipline, traceability, and industrial control across the tobacco sector.
The ministry did not indicate whether the 2026 quota is higher or lower than the prior year, but the structure mirrors previous quota regimes, signaling policy continuity rather than liberalization.
