A Melbourne mayor has described parts of the city as a “warzone” as authorities continue to grapple with a surge in violent incidents linked to what is commonly referred to as the “tobacco wars”—an ongoing conflict between organised crime groups over the illegal tobacco market.

The comments were made during an interview on ABC Radio Melbourne’s Mornings program, where the mayor warned that the situation has escalated beyond typical criminal activity, with repeated arson attacks, intimidation, and coordinated strikes on retail stores selling illicit cigarettes and vaping products.

Over the past year, Melbourne has seen a significant number of firebombings and suspicious fires targeting tobacconists, convenience stores, and related businesses, particularly in suburban and industrial areas. Police believe many of these incidents are connected to organised crime syndicates competing for control of the lucrative black market.

Authorities have linked the violence to disputes over supply chains of illegal tobacco and vapes, which are often sold at lower prices than heavily taxed legal products. The profitability of the trade has reportedly attracted criminal groups, leading to extortion, threats, and retaliatory attacks.

Victoria Police have established specialist taskforces, including Taskforce Lunar, to investigate the pattern of attacks and identify those responsible. Despite arrests in some cases, the overall number of incidents has remained a major concern for law enforcement and local communities.

Emergency services have repeatedly responded to large-scale fires that have destroyed entire shopfronts and, in some cases, spread to neighbouring businesses. Some incidents have required dozens of firefighters and extensive emergency resources to bring the blazes under control.

Business owners in affected areas have expressed fear and frustration, saying they are caught in the middle of a conflict they are not part of. Many small retailers have reported financial losses, insurance challenges, and ongoing concerns about safety.

Police and government officials have acknowledged the seriousness of the issue but stress that significant work is underway to dismantle the criminal networks driving the violence. Investigations include tracking financial flows, monitoring known organised crime figures, and disrupting supply chains of illicit tobacco entering the state.

Experts have described the situation as part of a broader national challenge involving the expansion of Australia’s illicit tobacco market, which has grown in recent years due to rising tobacco prices and regulatory changes. Law enforcement agencies say the problem is complex because it involves both local street-level crime and international supply chains.

The mayor’s comments reflect growing concern among local leaders that the violence is no longer isolated but is affecting the perception of safety in parts of Melbourne. Community members in affected suburbs have also reported increased anxiety following repeated incidents near residential and commercial areas.

While authorities continue to investigate and prosecute those involved, the mayor’s warning highlights the pressure on law enforcement to contain what has become a persistent and evolving form of organised crime-related violence.