2FIRSTS Interview with MVCC: License System Analysis, Recommend Building Business in Malaysia

Market by 2FIRSTS, edited by Sophia
May.10.2024
2FIRSTS Interview with MVCC: License System Analysis, Recommend Building Business in Malaysia
China's e-cigarette exports to Malaysia were valued at $21.72 million in February 2024, raising questions about upcoming regulations.

Malaysia, with a population of 33.94 million, is not only a populous country in Southeast Asia but also a major consumer of e-cigarettes. China has a huge export quantity of e-cigarettes to Malaysia, with exports reaching approximately 21.72 million US dollars in February 2024. Whether it's vape, heated e-cigarettes, nicotine pouches, or other novel tobacco products, the Malaysian market shows considerable potential.

 

Recently, there has been a viral rumor that Malaysia is planning to introduce a licensing system for e-cigarettes, where holding a local Electronic Vape Liquid/Gel Production License will become the standard for operating in the market. Some companies have already obtained these licenses, but is this true? As Malaysia prepares for a period of intensive regulatory implementation in 2023, which direction will the recent compliance regulations take? For Chinese companies looking to enter the Malaysian market and achieve success locally, what can they do? To answer these questions, 2FIRSTS conducted an interview with Ridhwan Rosli, the Secretary-General of the Malaysian Vape Chamber of Commerce.

 

Malaysia will implement a "license system," where an e-cigarette license (Electronic Vape Liquid/Gel Production License) will become the standard for regulating the market.

 

Secretary-General Ridhwan Rosli stated that currently, overall, any single license/permit cannot guarantee that a company is fully legal and compliant with e-cigarette-related laws in Malaysia.

 

In general, Malaysia's regulation of e-cigarettes is similar to that of other food and drug consumer products, divided into three levels: federal, state, and local. These three levels are relatively independent of each other, with their own legislative proposals and mechanisms for approval, and enforcement is also largely separate. Therefore, in order to comply with regulations in Malaysia, companies need to ensure compliance at all three levels.

 

How credible is the article about "INGOO" published on "The Page"?

 

Based on the above reasons, the article mentioned that "INGOO International team has become the first company in Malaysia to obtain a license for the full production and sale of e-cigarettes," but Ridhwan Rosli expressed skepticism about this claim. The concept of a "full production and sale license for e-cigarettes" is merely a vague idea. To his knowledge, no formal proposals have been submitted in writing from any party.

 

During the year 2024, the topic of discussion was the e-cigarette shop licensing system. This idea was proposed by Malaysia's former Health Minister Khairy Jamaluddin. Current Health Minister Dzulkefly Ahmad announced that he will be submitting a memorandum to the cabinet regarding regulatory suggestions based on the Public Health (Control of Smoking Product) Act 2024, proposed under the 852nd act. In the memorandum, former minister Khairy Jamaluddin suggested that the government should introduce a licensing system to restrict the sale of e-cigarettes to licensed specialty stores.

 

Ridhwan Rosli stated that it is possible for the companies mentioned in the article to have or be similar to traditional tobacco manufacturers with a "nicotine product license".

 

In which direction will Malaysia's compliance regulations develop in the near future?

 

In January 2023, the Malaysian Ministry of Health announced during a meeting with the Malaysian e-cigarette association that they are considering implementing a product-based approval system. Reidwan Rosli explained to 2FIRSTS that this approval system will be similar to the Pre-Market Tobacco Application (PMTA) introduced by the US Food and Drug Administration (FDA).

 

The product approval system is still under review. Reedwan-Rosli emphasized that even though domestic transactions in Malaysia are high and the black market is extensive, implementing the system and enforcing it will be a long process. However, the Malaysian e-cigarette association is working to establish a traceability mechanism for individual products to protect consumer rights.

 

What advice do you have for Chinese companies looking to enter the Malaysian market?

 

Ridhwan Rosli told 2FIRSTS that the chamber welcomes Chinese e-cigarette companies to develop and expand their market in Malaysia, a densely populated and potential-rich market. However, he also feels that the Chinese companies he has come across lack professionalism. He cited examples such as British American Tobacco (BAT), Philip Morris International (PMI), and Japan Tobacco International (JTI), which have been able to quickly establish distribution channels and dominate shelves in Malaysia, a "non-core" market, because they have built a professional team familiar with the local situation, market, and regulations. On the other hand, Chinese e-cigarette companies in Malaysia are mainly focused on "exporting to Malaysia" and have a sales-oriented approach, which Warren-Rossley believes lacks professionalism.

 

Ridhwan Rosli reminded that the lack of a professional team can result in significant hidden costs. For example, when applying for licenses, considerations such as the order of applying for multiple licenses and which state may have easier regulations for a certain type of license all require prior research and investment, or else companies may face various regulatory hurdles. Van-Rossley cited a real-life example where he encountered several Chinese e-cigarette companies wanting to host e-cigarette events, only to be temporarily shut down due to local regulations that did not allow it. These situations were all caused by a lack of understanding of local information.

 

During an interview with 2FIRSTS, he suggested that Chinese companies looking to enter the Malaysian market should consider establishing a local company in Malaysia. This would not only reduce the need for multiple licenses but also allow them to operate as a local business, streamline their sales channels, build their brand reputation, and establish good relationships with local regulatory authorities. He pointed out that this is also the approach taken by big companies like BAT and JTI. "Just by having an office," he mentioned, these e-cigarette companies can take control of their operations, reduce friction costs, and move forward smoothly.

 

Regarding Ridhwan Rosli

 

Ridhwan Rosli is a Malaysian entrepreneur with a strong interest in academia and civil society, holding both a bachelor's and master's degree. His academic contributions include co-authoring two books and publishing multiple articles in journals. Currently, he holds strategic positions as a shareholder and director in several public limited companies and private companies, spanning various industries. These companies include the Malaysian E-cigarette Association and Permodalan Tanah Melayu Berhad (TMCB), which was established in 2017.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

U.S. Health Groups Seek to Overturn FDA Enforcement Discretion for Pending PMTAs as Altria's Helix, NJOY and AVM Move to Intervene
U.S. Health Groups Seek to Overturn FDA Enforcement Discretion for Pending PMTAs as Altria's Helix, NJOY and AVM Move to Intervene
American Vapor Manufacturers (AVM) and Altria subsidiaries Helix Innovations and NJOY filed separate motions on October 7, 2026, seeking to intervene on the FDA's side in a lawsuit challenging its enforcement guidance for certain e-cigarette and nicotine pouch products with pending premarket tobacco product applications (PMTAs). Seven public health and tobacco-control organizations, including the Campaign for Tobacco-Free Kids, sued the agency in July to overturn the policy. AVM argues that vacating the guidance could disrupt orders, inventory, retail distribution and investments in regulatory submissions.
Regulations
Oct.09
Australian Coalition Taskforce Calls for 80% Tobacco Tax Cut to Combat Illicit Market
Australian Coalition Taskforce Calls for 80% Tobacco Tax Cut to Combat Illicit Market
According to SGST on August 26, 2026, Australia’s Coalition Illegal Tobacco Taskforce released a report recommending an up to 80% cut in tobacco excise to reduce the appeal of the illicit tobacco market. The report claimed organised crime groups now control about 80% of Australia’s tobacco market and argued that high excise rates have widened the price gap between legal and illegal products. The recommendation remains a policy proposal and has not been adopted by the Australian government, which said its focus remains on enforcement, compliance and additional resources.
Aug.27
Product | KT&G Launches lil HYBRID 3.0 Misty Rosé Edition II in South Korea With Two Pink Finishes at 88,000 Won
Product | KT&G Launches lil HYBRID 3.0 Misty Rosé Edition II in South Korea With Two Pink Finishes at 88,000 Won
South Korean tobacco company KT&G launched the limited-edition lil HYBRID 3.0 Misty Rosé Edition II on September 30, 2026, following the original Misty Rosé Edition introduced in November 2025. The new release comes in two pink finishes, Bloom Rosé and Viva Rosé, each priced at 88,000 won. Both versions initially went on sale through the lil Store online shop and lil MINIMALIUM flagship stores. From October 7, Bloom Rosé became available at approximately 1,500 lil Station retail outlets nationwide. The release retains the existing lil HYBRID 3.0 hybrid heated tobacco platform, with changes focused on exterior design and distribution.
product
Oct.10
PMI CEO Attends Opening of IQOS Global Flagship in Tokyo’s Ginza as 1,814 Limited ILUMA i PRIME Sets Launch
PMI CEO Attends Opening of IQOS Global Flagship in Tokyo’s Ginza as 1,814 Limited ILUMA i PRIME Sets Launch
IQOS opened its first global flagship, IQOS Flagship Ginza, in Tokyo on September 4, 2026, replacing the former IQOS Store Ginza after nearly a decade of operation. The new location expands conventional product retail into member lounges, digital experiences, art installations and brand programming. IQOS also launched a Ginza-exclusive IQOS ILUMA i PRIME set limited to 1,814 individually numbered units, priced at JPY11,980, or about US$77. PMI Sales Strategy Consultant Yuji M. later said on LinkedIn that more than 500 people had lined up from the night before the opening.
Sep.07
Product | PMI Launches TEREA Black Mint Pearl in Japan, Adding First Capsule Variant to Black Range With Nationwide Rollout From October 19
Product | PMI Launches TEREA Black Mint Pearl in Japan, Adding First Capsule Variant to Black Range With Nationwide Rollout From October 19
Philip Morris Japan (PMJ) launched TEREA Black Mint Pearl on October 15, 2026, introducing the first capsule-equipped heated tobacco stick in the TEREA Black range for IQOS ILUMA devices. The product combines a strong menthol profile with a crushable mint capsule and is priced at ¥640 per 20-stick pack, including tax. Sales began at four IQOS stores and selected retail partners on October 15, with distribution expanding to convenience stores and other tobacco retailers nationwide from October 19. The launch brings Japan's TEREA portfolio to 28 variants, including 21 menthol-related products, or 75% of the range.
product
Oct.16 by 2Firsts Perspectives
Imperial Brands Sees Double-Digit NGP Growth as Sixth Year of Tobacco Revenue Gains Backs £1.5 Billion Buyback
Imperial Brands Sees Double-Digit NGP Growth as Sixth Year of Tobacco Revenue Gains Backs £1.5 Billion Buyback
Imperial Brands reaffirmed its FY26 guidance in its October 8 pre-close trading update, forecasting double-digit net revenue growth in next-generation products and share gains across heated tobacco, vape and modern oral. Tobacco net revenue is expected to grow at a low-single-digit rate, marking a sixth consecutive year of growth. The company has completed its £1.45 billion FY26 share repurchase and announced a £1.5 billion buyback for FY27. Group adjusted operating profit is expected to increase 3% to 5%, while free cash flow is forecast to exceed £2.2 billion.
Oct.09