The cigarette industry appears to have been hit by further restrictions surrounding the labels on plain packaging.
A WTO dispute settlement panel has backed Australia's argument that the rules it set in 2011 don't violate trade law because they qualify as a legitimate public health measure.
The initial notification of the ruling was circulated to the parties of the dispute on 2 May, according to a spokesman for the WTO who spoke to the Australian Financial Review.
The decision could usher in a new wave of global tobacco restrictions from other countries that have sought to deter smoking among their citizens through the use of plain packaging rules, it said.
Australia was the first country to prohibit tobacco logos, and many countries have hesitated to implement such measures after four tobacco-producing countries filed complaints in 2012 and 2013.
Philip Morris International and Japan Tobacco have argued that such rules could set a precedent for other countries to implement new labelling rules for tobacco, alcohol and junk food.
Plain packaging may hurt smaller cigarette makers the most if smokers increasingly adopt the best-known options such as Marlboro or Camel, given the absence of marketing.
The full WTO ruling will be released in July, according to sources.
