Adnkronos (Adnkronos) – At a crucial moment for Europe's competitiveness, Philip Morris International (PMI) today publishes the second edition of its EU Economic Footprint Study, conducted by EY-Parthenon. Covering the period 2021-2025, the study highlights the extent of SMEs' contribution to the European Union and the capabilities developed through its transformation.
The company's economic footprint extends far beyond its own operations: it involves suppliers, manufacturers, researchers, retailers, farmers, employees, and communities across Europe. Five key findings from the EU Economic Footprint Study 2021-2025: approximately €343 billion in overall contribution to the EU economy between 2021 and 2025; €22,3 billion spent on European suppliers and €27,4 billion invested in European SMEs, strengthening industrial capacity and supply chain resilience; €39,5 billion in exports, confirming Europe's role as a manufacturing and export hub; approximately 164.000 jobs supported in 2025, including 22.500 direct jobs, plus employment at suppliers and in the broader economy; €422 million invested in research and development in Europe, plus approximately €2,2 billion in R&D activities in Switzerland, to build scientific and innovation capabilities for the future.
Marco Hannappel, President of the Europe Region at Philip Morris International, said: “Europe is undergoing profound change, which offers the opportunity to rethink, adapt and choose the future we want to build.
This study provides new evidence of the contribution our company continues to make across the European Union. Behind the billions of euros of economic value are people: farmers, producers, scientists, entrepreneurs, retailers, and employees, whose work strengthens the foundations of the European economy every day. These findings also reflect our transformation.
In the fourth quarter of 2025, more than half of our net revenues in Europe came from non-combustion products. Now we must transform our strengths into lasting competitiveness. We need pragmatism, constructive dialogue between institutions and industry, and a regulatory framework that gives companies the confidence to invest, innovate, and grow. We have chosen which side of history we are on: we want to be part of the solutions that will define the New Europe and help build a future built to last.” The results confirm how constant investment, innovation, and the industrial presence of SMEs strengthen Europe's competitiveness, while generating long-term value for economies and communities.
Philip Morris International, a leading global consumer goods company, is actively working to achieve a cigarette-free future and to expand its portfolio to products beyond tobacco and nicotine in the long term. The company's current product portfolio consists primarily of cigarettes and smokeless products, including heated tobacco products, nicotine pouches, and e-cigarettes. These products are not risk-free and contain nicotine, an addictive substance. Smokeless products are sold in over 105 markets, and as of December 31, 2025, PMI estimates they were used by over 43 million adults worldwide, many of whom have quit cigarettes or significantly reduced their consumption. The smokeless products segment accounted for approximately 42% of PMI's total net revenue in the second quarter of 2026. Since 2008, PMI has invested over $16 billion to develop, scientifically validate, and commercialize innovative smokeless products for adults who would otherwise continue to smoke or use other nicotine-containing consumer products, with the goal of eliminating cigarette sales altogether. This includes building world-class scientific evaluation capabilities, particularly in preclinical systems toxicology, clinical and behavioral research, and post-market studies.
Following a rigorous science-based review, the U.S. Food and Drug Administration has authorized the marketing of Swedish Match General snus, Zyn nicotine sachets, and versions of PMI's IQOS devices and consumables—the first such authorizations in their respective categories. Versions of IQOS devices and consumables, General snus, and 20 variants of Zyn nicotine sachets also received the first-ever authorizations from the FDA as Modified Risk Tobacco Products (MRTPs) in their respective categories. Building on a strong foundation and significant experience in the life sciences, PMI has ambitions to expand into wellness areas. This press release contains estimates of future results, objectives, and other forward-looking statements, including statements regarding financial and business performance, capital allocation plans, investment strategies, regulatory outcomes, market expectations, and business plans and strategies. The achievement of future results is subject to risks, uncertainties, and inaccurate assumptions. If these risks or uncertainties materialize, or if underlying assumptions prove incorrect, actual results could differ materially from those contained in forward-looking statements. Pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, PMI identifies important factors that, individually or in the aggregate, could cause actual results and outcomes to differ materially from those contained in any forward-looking statements made by PMI.
Risks to PMI's operations include: marketing and regulatory restrictions that could reduce the company's competitiveness, hinder the marketing of smokeless products, impede communication with adult consumers, or ban certain products in certain markets or countries; increased excise taxes and discriminatory tax structures; health concerns related to the use of tobacco products and other nicotine-containing products; litigation related to tobacco and/or nicotine products and intellectual property rights; intense competition; inability to anticipate changes in adult consumer preferences; reliance on and dependence on third parties; the adverse effects of global and national economic, regulatory, and political developments, natural disasters, and conflicts; geopolitical instability; the impact and consequences of Russia's invasion of Ukraine; changes in adult smoking behavior; the continued decline in excise-paid cigarettes; lost revenues due to counterfeiting, smuggling, and cross-border purchases; government investigations; unfavorable exchange rates and currency devaluations, prolonged periods of high inflation, and limitations on the ability to repatriate funds; adverse changes in applicable corporate tax laws; disruptions in credit markets or changes in credit ratings; recent and possible future tariffs imposed by the United States and other countries; adverse changes in the cost, availability, and quality of tobacco and other agricultural products and raw materials, as well as electronic device components; the integrity of information systems and the effectiveness of data protection policies.
PMI's future profitability could also be adversely affected by the failure, in key markets or at a systemic level, of efforts to introduce, commercialize, and grow smokeless products, or by regulatory or tax failures to distinguish between such products and cigarettes; by the inability to successfully launch new products and promote the value of brands; by prolonged disruptions to manufacturing facilities; by the inability to enter new markets or improve margins through price increases and productivity gains; by the greater success of other players in commercializing smokeless products; by the inability to attract and retain top talent globally; or by the inability to successfully integrate, and realize the expected benefits from, recent transactions and acquisitions. Future results are also subject to less predictability in the performance of our smokeless products. PMI is also subject to other risks discussed from time to time in its publicly disclosed documents, including its Annual Report on Form 10-K for the fourth quarter and fiscal year ended December 31, 2025, and its Quarterly Report on Form 10-Q for the second quarter ended June 30, 2026. PMI cautions that the above list of factors does not constitute a complete discussion of all potential risks and uncertainties. PMI does not undertake to update any forward-looking statements it may make from time to time, except as part of its normal public disclosure obligations.
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