Six male Chinese nationals, 52 male Filipino nationals, and 11 female Filipino nationals were arrested after the Bureau of Customs (BOC) conducted a joint enforcement operation against an alleged illegal cigarette manufacturing operation in Mexico, Pampanga, on January 28, 2026.
The BOC said the operation targeted a warehouse located at Lot 2645 in Barangay Panipuan following a derogatory report that the facility was engaged in the unauthorized local production of cigarettes.
The enforcement team was composed of personnel from the Customs Intelligence and Investigation Service of the Manila International Container Port, the Enforcement and Security Service, MICP Examiners, and the Legal Service, in coordination with the Philippine Coast Guard and the Philippine National Police-Criminal Investigation and Detection Group.
Local barangay officials were informed in advance and assisted during the conduct of the operation.
Initial findings showed that the warehouse was allegedly operating as an illicit cigarette manufacturing plant without valid permits or authority to locally manufacture cigarettes.
Authorities discovered cigarettes branded “Two Moon,” along with cigarette-making machines and manufacturing paraphernalia bearing the brands Mighty, H&P, Playboy, and Carnival, indicating on-site production activities.
The BOC noted that these brands are the same ones recently seized in a separate enforcement operation in Batangas, pointing to a possible link in the distribution and supply chain of illicit cigarettes currently under investigation.
Cigarette-making machines and raw materials found at the site were also believed to be smuggled, as these were not covered by import permits or proper customs documentation.
Tax stamps were likewise found scattered within the compound and are now subject to verification by the Bureau of Internal Revenue to determine their authenticity and compliance with excise tax laws, amid suspicions of unauthorized local cigarette production.
Inventory and valuation of the seized cigarettes, raw materials, and equipment are ongoing to determine their total quantity and value, as well as the corresponding duties, taxes, penalties, and possible violations of customs, tax, immigration, and other related laws.
The BOC said it is also coordinating with the Bureau of Immigration to verify the legal status and documentation of the foreign nationals arrested during the operation.