California has one of the largest premium cigar markets in the United States. Despite the state’s strict tobacco regulations, demand for premium cigars remains high, particularly in urban areas like Los Angeles, San Francisco, and San Diego. California’s affluent population has helped sustain the market, with many consumers willing to pay a premium for high-quality cigars. The state’s warm climate also makes it an ideal place for outdoor smoking, which has contributed to the popularity of cigar lounges. As more consumers become interested in premium tobacco products, the state’s market is expected to continue its growth trajectory.