HQ
Japan
OWNERSHIP
Publicly Traded150
RANK
6
(out of 15)
FINAL SCORE
1.15
(out of 5)

Company Overview

A third of JTI is owned by the Japanese government. The company operates in over 70 countries and sells high-risk products in more than 130 markets. Between 2017 and 2019, five substantial high-risk-related acquisitions have resulted in growth in the company’s cigarette volume sales. As a result, cigarettes remain the exclusive revenue generator for the company, with market-leading positions in countries such as the UK and Russia. The company has also expanded its portfolio in reduced-risk categories, recently adding non-tobacco nicotine pouches alongside cartridges and heated tobacco. This was supported by an increasing share of R&D investments focused on reduced-risk products.

Stance on Harm Reduction

JTI has a commitment to harm reduction, but it is focused only on offering choices for consumers, without a clear aim to phase out high-risk products. It states: “We are committed to developing and bringing to market Reduced-Risk Products that meet consumer expectations.” The company has set a target to invest USD1 billion in R&D of reduced-risk products between 2018 and 2020. However, it provides only limited disclosure on its performance against this objective.

Notable Performance

0

Strategy and Management

JTI has made a commitment to tobacco harm reduction as part of providing consumer choice and has set investment targets to support reduced-risk product development.
0

Product Sales

JTI has grown its sales of cartridges and heated tobacco, while also registering an increase in its cigarette sales.
0

Capital Allocation

JTI acquired five high-risk companies, expanding its presence in high-risk products mainly in low-medium income countries.
0

Product Offer

JTI offers the largest portfolio of high-risk products, but the geographic reach of its reduced- risk product has increased.
0

Marketing

JTI has an internal marketing policy including measures for youth access prevention, and it monitors and discloses violations.
0

Lobbying and Advocacy

publishes details of its policy positions with separate headings for each on its website and links to relevant submissions.

Net Value Sales

In 2019
High-Risk Products
97.0%
Reduced-Risk Products
3.0%

Products Offered

In 2019
High-Risk Products
6
Reduced-Risk Products
5

Capital and R&D Investment

Over 2017-2019
High-Risk Products
70.2%
Reduced-Risk Products
29.8%

To search, type what you're looking for and results will appear automatically