Imports Through Q3: Volume Down, Premiums Hold
Through September 2025, U.S. cigar import data point to a market still adjusting after the post-pandemic surge, now further shaped by tariffs, rising labor and production costs, and shifting consumer demand. While overall large cigar volumes remain below last year’s levels, underlying trends suggest a market increasingly driven by product mix and value rather than sheer unit growth. At the same time, little cigar imports continue to expand, standing out as one of the few segments showing sustained volume growth in 2025.
(Source note: Import data in this post is based on U.S. Census Bureau, Imports of Merchandise for Consumption, IM-146, U.S. Customs Service data.)
| U.S. Imports | 2025 YTD | 2024 YTD | Change | % Change |
|---|---|---|---|---|
| Large Cigars | 5.70B | 6.33B | (630M) | -10.0% |
| Little Cigars | 180.7M | 143.2M | 37.5M | 26.2% |
Large Cigars: Volume Pressure Continues, but the Decline Slows
Total U.S. large cigar imports declined 10.0% year over year through September, with volume losses concentrated in lower-value, mass-market HTS categories that make up the bulk of total units. These segments remain most exposed to inventory normalization and tariff-related cost pressures, where price sensitivity is highest.
September year-to-date data suggest the pace of decline has moderated compared with earlier months, indicating the market may be approaching a new equilibrium as elevated inventories continue to work through the system.
Price Mix Shifts Upward
Despite overall volume declines, the composition of large cigar imports continues to shift up the value spectrum. Lower-priced categories are contracting and remain under pressure, while higher-value HTS categories steadily gain share. This shift reflects both cost-driven pricing adjustments that have pushed more mass-market cigars into higher-value HTS codes and sustained demand for premium cigars.
The result is a large cigar market that is smaller in unit volume but increasingly concentrated in higher-value large cigars.
Premium Large Cigars: Quiet Strength
Estimated premium large cigar imports increased 4.6% year to date, standing in contrast to the broader decline in total large cigar volumes. While premium cigars represent only about 5% of total large cigar import units, their economic impact is far greater. Based on estimated retail pricing and unit volumes, premium large cigars are estimated to account for as much as 20–25% of total U.S. retail cigar sales dollars.
(Source note: Premium retail sales share estimates are based on CAA import unit data, domestic production reporting, and conservative retail pricing; scanner-based retail data do not fully capture specialty and online premium cigar sales.)
| Country of Origin | 2025 YTD | 2024 YTD | Change | % Change | 2025 YTD | 2024 YTD |
|---|---|---|---|---|---|---|
| UNITS IN 1,000's | $ VALUE PER 1,000 CIGARS | |||||
| Nicaragua | 190,396 | 186,508 | 3,888 | 2% | $1,403 | $1,403 |
| Dominican Republic* | 69,898 | 67,344 | 2,554 | 3.8% | N/A | N/A |
| Honduras | 55,451 | 48,297 | 7,154 | 15% | $1,345 | $1,319 |
| Costa Rica | 2,460 | 2,025 | 435 | 21% | $1,239 | $1,188 |
| Philippines | 306 | 375 | (69) | -19% | $321 | $304 |
| Mexico | 32 | 79 | (47) | -59% | $2,258 | $2,849 |
| Panama | 14 | 20 | (6) | -30% | $973 | $727 |
| Bahamas | 4 | 5 | (1) | -20% | $840 | $1,289 |
| TOTAL | 318,558 | 304,653 | 13,905 | 4.6% | ||
Quarterly trends from 2019 through 2025 reinforce the durability of premium demand, with consistent growth across key producing countries—led by Nicaragua, followed by the Dominican Republic and Honduras.
Little Cigars: One of the Few Growth Areas
Little cigar imports continue to stand out as a bright spot in the import landscape. Through September 2025, little cigar imports increased 26.0% year to date, with growth spread across filtered and machine-made, 100% tobacco products. The Dominican Republic remains the leading source of increased shipments, followed by Honduras and Spain.
What Changed in September
September reinforced the defining themes of 2025 rather than reversing them. Mass-market large cigars remain under pressure, while higher-value and premium segments continue to gain share. Tariffs and cost pressures appear to be accelerating the shift away from lower-priced products, even as demand for premium cigars remains resilient.
Bottom Line
As the industry moves into the final quarter of 2025, U.S. cigar imports reflect a market increasingly shaped by pricing, product mix, and value. Mass-market cigars still drive total units, but premium large cigars and little cigars are playing a growing role in defining market direction. Volume may be down, but the premium segment continues to hold its ground—and expand its influence—within the broader cigar import market.
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