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Original site: www.cdc.gov/tobacco/php/data-statistics/economic-trends/index.html | RestoredCDC.org is an independent project, not affiliated with CDC or any federal entity. Visit CDC.gov for free official information. Due to archival on January 6, 2025, recent outbreak data is unavailable. Videos are not restored. Access data.restoredcdc.org for restored data. Use of this site implies acceptance of this disclaimer.[More]About Us Report Bug Compare ContentSkip directly to site content Skip directly to search Skip directly to On This PageAn official website of the United States governmentHere's how you knowOfficial websites use .govA .gov website belongs to an official government organization in the United States.Secure .gov websites use HTTPSA lock ( ) or https:// means you've safely connected to the .gov website. Share sensitive information only on official, secure websites.Smoking and Tobacco UseExplore TopicsSearchSearchClear InputFor Everyone* Cigarette Smoking* Secondhand Smoke* E-cigarettes (Vapes)* Menthol Tobacco Products* Nicotine Pouches* Morbidity and Mortality Weekly Reports (MMWR)* About Surveys* Other Tobacco Products* View allHealth Care Providers* Patient Care Settings and Smoking Cessation* Patient Care* View allPublic Health* Funding Opportunity Announcements* Scientific Evidence Briefs* Current Cigarette Smoking Among Adults in the United States* Youth and Tobacco Use* Smoking Cessation: Fast Facts* Economic Trends in Tobacco* Tobacco Industry Spending* State and Community Work* View allRelated Topics:Tobacco - Health Equity | Tobacco - Surgeon General's Reports | State Tobacco Activities Tracking and Evaluation (STATE) System | Global Tobacco ControlView Allsearch close searchsearchSmoking and Tobacco Use Menu CloseSmoking and Tobacco Use MenusearchFor Everyone* Cigarette Smoking* Secondhand Smoke* E-cigarettes (Vapes)* Menthol Tobacco Products* Nicotine Pouches* Morbidity and Mortality Weekly Reports (MMWR)* About Surveys* Other Tobacco Products* View All HomeHealth Care Providers* Patient Care Settings and Smoking Cessation* Patient Care* View AllPublic Health* Funding Opportunity Announcements* Scientific Evidence Briefs* Current Cigarette Smoking Among Adults in the United States* Youth and Tobacco Use* Smoking Cessation: Fast Facts* Economic Trends in Tobacco* Tobacco Industry Spending* State and Community Work* View AllRelated Topics* Tobacco - Health Equity* Tobacco - Surgeon General's Reports* State Tobacco Activities Tracking and Evaluation (STATE) System* Global Tobacco ControlView All Smoking and Tobacco UseFunding Opportunity Announcements Scientific Evidence Briefs Current Cigarette Smoking Among Adults in the United States Youth and Tobacco Use Smoking Cessation: Fast Facts Economic Trends in Tobacco Tobacco Industry Spending State and Community Work View AllSeptember 17, 2024Economic Trends in TobaccoAt a glanceThe United States spends billions of dollars treating diseases caused by tobacco use. Get the facts about tobacco production, tobacco-related spending, tobacco sales, state spending on tobacco prevention, and the economic costs of cigarette smoking.Tobacco productionThe number of U.S. farms producing tobacco has decreased significantly over time, from 93,530 farms in 1997 to about 3,000 in 2022.1 Even so, the United States continues to be a leading producer of tobacco leaves.* In 2021, the United States was the fifth largest tobacco-producing country in the world, following China, India, Brazil, and Indonesia.2* U.S. farms harvested about 431.6 million pounds of tobacco in 2022, down from 1.74 billion pounds in 1997.1* In 2022, two states—North Carolina and Kentucky—accounted for about 77% of total domestic tobacco production.3Tobacco-related spendingTobacco manufacturers spent about $8.6 billion on advertising and promoting cigarettes and smokeless tobacco products in the United States in 2022.45 This amount translates to nearly $1 million spent every hour.6* Cigarette advertising and promotional expenses totaled about $8.01 billion in 2022.4* Smokeless tobacco advertising and promotion expenses totaled $572.7 million in 2022. Smokeless tobacco products include dry snuff, moist snuff, plug/twist, loose-leaf chewing tobacco, snus, and dissolvable products.5Cigarette companies spend a large share of their advertising and promotional dollars on price discounts paid to cigarette retailers. Price discounts reduce the consumer cost of cigarettes. In 2022, price discount expenses totaled $5.7 billion, almost 72% of companies' advertising budget.4Information on spending for marketing and promoting electronic products, such as e-cigarettes, e-cigars, and e-pipes, is limited because the market is fragmented. The 2024 Federal Trade Commission (FTC) report on e-cigarettes found that:7* In 2021, e-cigarette advertising and promotion expenses totaled $859.4 million.* Disposable product advertising and promotion expenses were less than $500,000 in 2021.Tobacco salesCigarette Sales* During 2015–2021, annual U.S. sales of cigarette packs declined about 27%, from 12.5 billion packs to 9.1 billion.8 Parent companies of the major manufacturers of cigarettes sold in the United States are Altria Group, Inc.; ITG Holdings USA, Inc.; Reynolds American, Inc.; and Vector Group Ltd.4* In 2024, the average state tobacco tax was $1.93 per pack. State tobacco taxes range from a high in New York of $5.35 per pack to a low in Missouri of 17 cents per pack. The federal tax rate on a pack of cigarettes was $1.01.9Other Tobacco and Nicotine Product Sales* During 2016–2020, monthly U.S. cigarillo unit sales grew from 131 million to 190 million, and the price remained unchanged. The sales of large and little cigars declined while the price of large cigars increased, and little cigars remained unchanged.10* In 2022, manufacturers sold about 113.3 million pounds of smokeless tobacco. This amount was a decrease from the high of 131.4 million pounds sold in 2016.5* In 2022, five companies—Altria Group, North Atlantic Trading, Reynolds American, Swedish Match, and Swisher International Group—accounted for almost $5 billion in U.S. smokeless tobacco sales.5* U.S. sales of nicotine lozenges, pucks, and pouches more than doubled—from $452.76 million in 2020 to $1.06 billion in 2022.5E-cigarette SalesFrom January 2017 to March 2022, U.S. monthly e-cigarette sales increased from $75 million to $469 million.11 The percentage of monthly sales of e-cigarette products that contained more than 5% nicotine strength also increased.11* From about 6% to 80% of total dollar sales overall among all e-cigarette products sold.* From 0% to about 94% of total dollar sales of disposable e-cigarettes.* From about 7% to 73% of total dollar sales of refilled cartridges.State spending on tobacco preventionState spending on tobacco prevention and control does not meet CDC recommended levels.612States receive billions of dollars to prevent smoking and help smokers quit. The money comes from tobacco product taxes and settlements from lawsuits against cigarette companies. However, states only use a small amount of this money for tobacco prevention.In 2024, states will collect nearly $26 billion from tobacco taxes and the 1998 Tobacco Settlement. They will also be getting $1.1 billion from a lawsuit against Juul.6 The CDC recommends that states, in total, spend $3.3 billion on tobacco prevention.CDC provides each state with a recommended spending level:6* Maine is the only state that funds its program at CDC's recommended level ($15.9 million).* Eight states spend more than half the amount the CDC recommends: Utah, Oklahoma, Delaware, Oregon, North Dakota, California, Hawaii, and Alaska.* Thirty-one states and the District of Columbia spend less than 25% of what the CDC recommends.* Nineteen states spend less than 10%.* Ten states spend less than 5%.For every $1 states invest to reduce tobacco use, tobacco companies spend about $12 promoting its use.6Economic cost of cigarette smokingIn 2018, cigarette smoking cost the United States more than an estimated $600 billion, including:* More than $240 billion in health care spending.1314* Nearly $185 billion in lost productivity from smoking-related illnesses and health conditions.14* Nearly $180 billion in lost productivity from smoking-related premature death.1214* About $7 billion (updated to 2018 dollars) in lost productivity from premature death from secondhand smoke exposure.1215Cigarette smoking cost the United States more than an estimated $600 billion in 2018.Effects of Increased PricesIncreasing the price of tobacco products is an effective way to reduce demand.12A 10% increase in the average price of a pack of cigarettes is estimated to reduce cigarette sales per person by an average of 7.0%.16On This Page* Tobacco production* Tobacco-related spending* Tobacco sales* State spending on tobacco prevention* Economic cost of cigarette smokingRelated Pages Tobacco Industry SpendingRelated Pages** Youth and Tobacco Use* Smoking Cessation: Fast Facts* Tobacco Industry Spending* State and Community Work* National and State Tobacco Control Program*View All Smoking and Tobacco UseTobacco Industry SpendingBack to TopSeptember 17, 2024Sources Print ShareFacebook LinkedIn Twitter SyndicateContent Source:National Center for Chronic Disease Prevention and Health Promotion; Office on Smoking and HealthReferences1. U.S. Dept of Agriculture. 2022 Census of Agriculture: United States Summary and State Data, Volume 1, Geographic Area Series, Part 51. U.S. Dept of Agriculture, National Agricultural Statistics Service; 2024. Accessed July 30, 2024. https://www.nass.usda.gov/Publications/AgCensus/2022/Full_Report/Volume_1,_Chapter_1_US/usv1.pdf2. The Tobacco Atlas. Tobacco Production. Accessed July 30, 2024. https://tobaccoatlas.org/challenges/growing/3. U.S. Dept of Agriculture. Crop Production 2022 Summary. U.S. Dept of Agriculture, National Agricultural Statistics Service; 2023. Accessed July 30, 2024. https://downloads.usda.library.cornell.edu/usda-esmis/files/k3569432s/9306v916d/wm119139b/cropan23.pdf4. U.S. Federal Trade Commission. Cigarette Report for 2022. Federal Trade Commission; 2023. Accessed July 30, 2024. https://www.ftc.gov/system/files/ftc_gov/pdf/2022-Cigarette-Report.pdf5. U.S. Federal Trade Commission. Federal Trade Smokeless Tobacco Report for 2022. U.S. Federal Trade Commission; 2023. Accessed July 30, 2024. https://www.ftc.gov/system/files/ftc_gov/pdf/2022-Smokeless-Tobacco-Report.pdf6. Campaign for Tobacco-Free Kids. Broken Promises to Our Children: A State-by-State Look at the 1998 Tobacco Settlement 25 Years Later. Campaign for Tobacco Free Kids; 2024. Accessed July 24, 2024. https://www.tobaccofreekids.org/what-we-do/us/statereport/7. U.S. Federal Trade Commission. Federal Trade Commision E-Cigarette Report for 2021. U.S. Federal Trade Commission; 2024. https://www.ftc.gov/system/files/ftc_gov/pdf/E-CigaretteReportfor2021.pdf8. Ali FRM, Seaman EL, Schillo B, Vallone D. Trends in Annual Sales and Pack Price of Cigarettes in the US, 2015–2021. JAMA Network Open. 2022;5(6):e2215407.9. American Lung Association. State of Tobacco Control 2024 Report. Accessed July 24, 2024. https://www.lung.org/getmedia/1b4b0ccc-6a41-41dd-ba13-7fadc86a7dc3/ALA-SOTC-2024.pdf10. Wang X, Kim Y, Borowiecki M, Tynan MA, Emery S, King BA. Trends in Cigar Sales and Prices, by Product and Flavor Type—the United States, 2016–2020. Nicotine Tob Res. 2022;24(4):606–611.11. Ali FRM, Seaman EL, Crane E, Schillo B, King BA. Trends in US E-cigarette Sales and Prices by Nicotine Strength, Overall and by Product and Flavor Type, 2017–2022. Nicotine Tob Res. 2023;25(5):1052–1056.12. U.S. Dept of Health and Human Services. The Health Consequences of Smoking—50 Years of Progress: A Report of the Surgeon General. U.S. Dept of Health and Human Services, Centers for Disease Control and Prevention; 2014. Accessed February 22, 2018. https://www.ncbi.nlm.nih.gov/books/NBK179276/13. Xu X, Shrestha S, Trivers KF, et al. U.S. Healthcare Spending Attributable to Cigarette Smoking in 2014. Prev Med. 2021;150:106529.14. Shrestha SS, Ghimire R, Wang X, Trivers KF, Homa DM, Armour BS. Cost of Cigarette Smoking-Attributable Productivity Losses, U.S., 2018. Am J Prev Med. 2022;63(4):478–485.15. Max W, Sung HY, Shi Y. Deaths From Secondhand Smoke Exposure in the United States: Economic Implications. Am J of Pub Health. 2012;102(11):2173–2180.16. Tauras JA, Pesko MF, Huang J, Chaloupka J, Farrelly MC. The Effect of Cigarette Prices on Cigarette Sales: Exploring Heterogeneity in Price Elasticities at High and Low Prices. National Bureau of Economic Research; 2016. http://www.nber.org/papers/w22251Related Pages Tobacco Industry SpendingRelated Pages** Youth and Tobacco Use* Smoking Cessation: Fast Facts* Tobacco Industry Spending* State and Community Work* National and State Tobacco Control Program*View All Smoking and Tobacco UseBack to TopSmoking and Tobacco UseCommercial tobacco use is the leading cause of preventable disease, disability, and death in the United States.View AllFor Everyone* Cigarette Smoking* Secondhand Smoke* E-cigarettes (Vapes)* Menthol Tobacco Products* Nicotine Pouches* Morbidity and Mortality Weekly Reports (MMWR)* About Surveys* Other Tobacco Products* View allHealth Care Providers* Patient Care Settings and Smoking Cessation* Patient CarePublic Health* Funding Opportunity Announcements* Scientific Evidence Briefs* Current Cigarette Smoking Among Adults in the United States* View AllSign up for Email UpdatesContact UsContact Us* Call 800-232-4636* Contact CDCAbout CDCAbout CDC* Pressroom* Organization* Budget & Funding* Careers & JobsPolicies* Accessibility* External Links* Privacy* Web Policies* FOIA* OIG* No Fear Act* Nondiscrimination* Vulnerability Disclosure PolicyLanguagesLanguages* EspañolLanguage Assistance* Español* 繁體中文* Tiếng Việt* 한국어* Tagalog* Русский* العربية* Kreyòl Ayisyen* Français* Polski* Português* Italiano* Deutsch* 日本語* فارسی* EnglishArchive* CDC Archive* Public Health PublicationsContact UsContact Us* Call 800-232-4636* Contact CDCAbout CDC* Pressroom* Organization* Budget & Funding* Careers & Jobs* About CDCPolicies* Accessibility* External Links* Privacy* Web Policies* FOIA* OIG* No Fear Act* Nondiscrimination* Vulnerability Disclosure PolicyLanguagesLanguages* EspañolLanguage Assistance* Español* 繁體中文* Tiếng Việt* 한국어* Tagalog* Русский* العربية* Kreyòl Ayisyen* Français* Polski* Português* Italiano* Deutsch* 日本語* فارسی* EnglishArchive* CDC Archive* Public Health PublicationsHHS.gov USA.gov
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