Philip Morris International: Building a Smoke-Free Future

Philip Morris International (PMI) is an international consumer goods company focusing on cigarettes and smoke-free products in the tobacco and nicotine sector.

It has concluded its 2025 Roadmap, introduced in 2020, which aims to create value and operate sustainably, creating a positive impact in its industry.

The company has launched its Value Plan 2030+, outlining its plans to build sustainability through product health impact, circularity and biodiversity.

PMI’s 2025 impact

For more than a decade, PMI has been working on shifting the industry away from cigarettes, through reshaping its business model.

In 2025, it achieved key milestones in its sustainability and impact journey, including having three smoke-free product categories commercialised.

It had 99% of its tobacco sourced at no risk of net deforestation of managed natural forest and no conversion of natural ecosystems.

By the end of 2025, PMI had approximately 43.5 million users of its smoke-free products.

Jacek Olczak, Group CEO of PMI, says: “As we close the chapter on our 2020-25 Roadmap, I am proud to reflect on the remarkable journey our organisation has undertaken and the progress achieved.

“The goals we set for ourselves in 2019 were ambitious, and through the dedication and resilience of our teams, we have reached significant milestones that have strengthened our position in the market and enhanced our ability to deliver value to our employees, consumers, suppliers, shareholders and society.

“Central to these achievements has been our unwavering commitment to our purpose: transforming our company to no longer base its success on making or selling cigarettes. We do this by focusing on maximising access to smoke-free products for adult smokers, empowering them to switch from cigarettes to less harmful alternatives.”

Sustainability strategy for 2030

PMI’s Value Plan 2030+ focuses on creating value while reducing harm, centred around six main priorities: consumers, circularity, workforce, workers in the value chain, climate and nature.

It has set targets to achieve net zero Scope 1, 2 and 3 greenhouse gas emissions by 2040 and to have no net loss on ecosystems connected to its value chain by 2033.

PMI aims to embed sustainability across the full lifecycle of its product portfolio, including electronic devices, consumables and packaging.

It plans to increase circularity by prioritising the use of recycled and responsibly sourced materials, optimising product durability and recyclability and fostering responsible end-of-life management.

Its target is to reach more than 10% recycled content in its electronic device portfolio by 2030 and to have 80% of its shipment volume to be covered by markets with anti-littering programmes in place for cigarettes.

Jennifer Motles, Chief Sustainability Officer at PMI, says: “Transformation is rarely straightforward. It demands courage to step away from what made us successful in the past, but it also requires the collective will of an entire ecosystem to embrace new pathways.

“Real change emerges when diverse actors unite around shared objectives, each bringing their unique perspective and capabilities to bear. This is why stakeholder engagement sits at the heart of our approach to value creation.

“We advocate for regulatory frameworks that create space for innovation while protecting public health, seek dialogue with those who challenge us and collaborate across our value chain to address systemic challenges that no single company can solve alone.

“The world needs organisations with global reach, established infrastructure and unwavering determination to drive change at scale.”

Reducing product impact

As part of the Value Plan, PMI’s aspiration is to lead the change by maximising access to smoke-free products among legal-age consumers and continue working to make cigarettes obsolete, while continuing to uphold robust safeguards that help ensure responsible marketing, sale and use of its products.

Its target is to be a substantially smoke-free business by 2030, with smoke-free-related net revenues representing more than two-thirds of its total annual net revenues globally.

It is also investing in R&D to find options that contribute to avoiding or significantly reducing the environmental impact of cigarette butts, with littering being one of the largest issues for the tobacco industry.

In 2025, it engaged approximately 60 of its markets in cleanup campaigns for World Cleanup Day, promoting litter prevention and engaging employees, families and partners.

Through this initiative, it engaged more than 16,000 stakeholders to combat littering worldwide and advance its commitment to reducing post-consumer waste.

Emmanuel Babeau, Group Chief Financial Officer at PMI, says: “Achieving meaningful and lasting progress requires the commitment and alignment of our entire organisation, at every level of seniority and in every geography.

“Our experience over the past decade, particularly in driving the transition away from cigarettes to smoke-free products, has shown that real change happens when everyone works towards a shared vision.

“By uniting our global teams behind clear objectives and empowering them to take ownership, we are able to deliver tangible results at scale and accelerate our impact across all areas of our business.

“As we enter this next chapter, we are confident that our disciplined approach – grounded in strong governance, rigorous measurement and clear-eyed investment in what drives long-term value – will continue to deliver sustainable value for our shareholders.”