What to Expect for Premium Cigars in State Legislatures in 2025: Key Threats and Potential Protections

With the conclusion of the 2024 election, it’s now time to turn the page to what premium cigars will be up against in the states in 2025. As we look forward, state legislatures across the U.S. will present challenges and opportunities for the premium cigar industry. CRA remains committed to monitoring and engaging in legislative efforts, from restrictive proposals that threaten cigar rights to protective measures that defend against excessive regulations. Here’s an overview of the significant issues, broken down by threats to premium cigar freedom and favorable legislation expected in the states.

Legislative Threats: Restrictive Policies on the Horizon

Numerous states are likely to introduce or reintroduce restrictive measures that, while often framed as general tobacco control, risk penalizing premium cigars. Here’s what CRA is closely watching for the beginning of 2025:

1. Smoking Bans and Outdoor Restrictions: Proposals to expand indoor smoking bans or limit outdoor smoking in public areas are expected. CRA will advocate for exemptions in all areas to ensure that premium cigars, cigar lounges, and cigar-centric venues are not unfairly targeted.
2. Generational Tobacco Bans: Generational tobacco bans (GTB), which prohibit younger generations from ever legally purchasing tobacco, pose a significant long-term threat to premium cigars. Massachusetts spearheaded this movement in 2024, with several towns adopting generational bans. Notably, Belchertown, Peabody, Lexington, Northampton, and Medford also considered generational tobacco bans but ultimately decided against implementing the policies. CRA’s efforts, alongside the input of local businesses and community members, contributed to these towns’ decisions to pause on moving forward. This hesitation reflects a growing awareness of the broader economic and cultural impact such bans may have, particularly on premium cigar retailers and adult consumers. While this policy proposal has already spread to states like Hawaii and Tennessee, which introduced bills to implement this type of policy last year, CRA expects these proposals to proliferate next year and increase in tempo and frequency. CRA will continue to argue against these measures, stressing that they infringe on adult choice and misrepresent premium cigars’ unique, adult-only market.
3. Flavor Bans: Broadly written flavor bans on tobacco products have continued to threaten premium cigars by including them in general language meant to target flavored cigarettes or vape products. In 2024, numerous states considered such bans, which would have unintentionally affected premium cigars and, in some cases, banned their sales in the state. One bill in particular in Vermont made its way to the governor’s desk, where it was vetoed, showing the threat of these bills. CRA anticipates that these types of bills will continue, and our focus will be to advocate clear definitions and exemptions to protect premium cigars from these restrictions.
4. Tax Increases: Taxation proposals for tobacco often fail to distinguish between mass-produced tobacco products and premium cigars. States like Massachusetts and New York have already signaled plans to introduce cigar tax increases in 2025. CRA will focus on opposing these measures and advocating for tax fairness alternatives that recognize the unique nature of premium cigars and avoid placing unnecessary financial burdens on consumers and small businesses.

Opportunities for Protection: Positive Legislation in 2025

While specific legislative threats loom, 2025 also presents opportunities to support favorable legislation that protects the premium cigar industry. 

1. Cigar Tax Fairness: Cigar tax fairness measures are gaining support to protect small businesses and consumers from excessive taxation. In 2025, CRA anticipates initiatives being introduced in Nebraska and Georgia and reintroduction efforts in Wyoming, Illinois, New York, New Jersey, and Virginia. We also expect “tax ceiling” legislation in Colorado and a possible tax-lowering bill in Indiana. Tax fairness measures help shield premium cigars from policies aimed at mass-produced tobacco products and are key to supporting the premium cigar community. All of these bills are in the proposal stage based on efforts in 2024, and their final introduction will come after state legislatures convene in 2025
2. Defining Premium Cigars: Establishing clear definitions for premium cigars remains essential in 2025. Integrating the definition adopted in the U.S. District Court decision to vacate U.S. Food and Drug Administration regulatory authority remains crucial. Various states introduced bills using this definition or degrees of this definition in 2024 to differentiate premium cigars from other tobacco products. While none passed, these efforts showed promising movement. CRA will work to support expected bills that will be introduced.
3. Cigar Lounge Exemptions and Cigar Bar Legislation: In response to expanding smoking bans, many states may consider exemptions specifically for cigar lounges and bars catering to an adult-only audience. CRA expects new cigar bar legislation in Ohio, Wisconsin, New York, and possibly Maryland and Michigan based on efforts in 2024 and discussions with industry partners and state retail associations. These legislative efforts would protect or expand the ability of cigar lounges and bars to permit indoor smoking, preserving spaces where adults can responsibly enjoy premium cigars. 

CRA’s Role in 2025 and How You Can Help

CRA will remain actively involved in these state-level legislative developments to protect premium cigar rights through grassroots advocacy, direct lobbying, and collaboration with industry stakeholders. We will continue to mobilize our members to take action when needed and keep our community informed with regular updates.

The engagement of our membership and supporters is vital as we address these challenges and opportunities. We encourage you to stay informed, respond to CRA’s calls to action, and participate in the legislative process. By joining forces, we can help shape policies that protect premium cigar freedoms and ensure these products remain accessible to those who value them.

CRA is committed to working with our members, industry partners, and state legislators in 2025 to preserve the premium cigar experience. Together, we can advocate for a balanced approach that respects public health and adult cigar enthusiasts’ rights.