The global tobacco industry is dominated by five transnational tobacco companies (TTCs), all with a presence in Asia: China National Tobacco Corporation (CNTC), Philip Morris International (PMI), British American Tobacco (BAT), Japan Tobacco Inc. (JTI), and Imperial Brands. These TTCs have also ventured into electronic nicotine delivery systems (ENDS) and heated tobacco products (HTPs) and are accessing many countries in Asia as fast-growing markets for expansion.

The Asia Pacific region is a key target of tobacco companies, with e-cigarette nearly doubled to USD 1.4 billion between 2014 and 2018. The market continues to grow rapidly to USD 2.2 billion in 2019, it doubled again to USD 4.4 billion in 2021, making it the fastest-growing regional market in terms of value.

In 2019, the Electronic Nicotine Delivery System (ENDS) market value in four ASEAN countries (Indonesia, Malaysia, Philippines and Vietnam) was USD 581.5 million, and it is projected to grow by 30% (to USD 756.7 million) in 2023.
E-commerce is a significant and growing sales channel in the region, with most of the popular or featured brands in online shops originating from China. Southeast Asian youth are targeted with a wide variety of flavours, trendy designs, and point-of-sale promotions, and several e-cigarette related injuries and diseases have been reported in the region.

Tobacco companies continue to promote themselves as “good corporate citizens” to create and maintain a positive public view of its business, to divert attention from and whitewash the diseases and other harms caused by the products they manufacture and sell, and to gain access to high-level officials and policy makers and thereby unduly influence and corrupt tobacco regulatory policy development and implementation.

During the peak of the COVID-19 pandemic, Philip Morris International substantially increased its investment in so-called Corporate Social Responsibility (CSR) endeavors across the ASEAN region from 2019 to 2021, with funds soaring from USD 9,566,715 in 2019 to USD 23,615,833 in 2021. However, it concurrently halved the number of organizations through which these funds were channeled.

PMI continues to dissociate its CSR initiatives from its core tobacco business by engaging foundations or civic organizations to execute these activities. In 2021, the majority of funds were directed to a single entity in the Philippines, the Jaime V. Ongpin Foundation Inc. (JVOFI). By 2022, there was a noticeable decline of nearly 50% in CSR contributions across the region, plummeting from USD 23,615,833 in 2021

to USD 12,286,181 in 2022. Although the USD 12.3 million allotted for CSR initiatives might seem substantial, it represents a mere fraction (0.03%) of the company’s USD 31.8 billion net revenue during the same period.

Of notable importance is the distribution of these contributions, with the Philippines getting the largest share (USD 7,404,496 in 2022). This allocation, primarily directed to JVOFI, surpasses the total CSR disbursements in all other ASEAN nations combined. Meanwhile, in Thailand, the CSR fund is routed through farmers' associations.

A discernible trend over recent years indicates an overall reduction in the number of organizations receiving sponsorship from PMI, though there is a slight increase in contributions to select organizations in Malaysia and Thailand. This consolidation of CSR funds into fewer organizations may suggest that PMI is becoming more discerning in its CSR focus areas or attempting to create the perception of a more substantial impact with its contributions.

In addition, PMI also provided in-kind contributions equivalent to USD 9,959,495 in 2021 (increased from USD 281,123 in 2020) to organizations in Indonesia, Malaysia, Philippines, and Singapore.