Key Proposal of E-cigarette Tax Adjustment in Indonesia

Regulations by 2FIRSTS.ai
Nov.29.2023
Key Proposal of E-cigarette Tax Adjustment in Indonesia
The Indonesian Ministry of Finance proposes revisions to the public health law, including increasing taxes on e-cigarette liquid and combating illegal cigarettes.

According to a report by The New York Times, the Ministry of Finance of Indonesia (Kemenkeu) has recently put forth a series of crucial recommendations aimed at revising the draft public health law. One of the significant proposals involves adjusting the tax rate on e-cigarette liquid and intensifying efforts to combat the illicit tobacco market.

 

The Ministry of Finance has proposed specific measures aimed at standardizing tax collection, curbing the production and sale of illegal cigarettes, and specifying the extent of tax rate adjustments. The objective of this revision is to optimize the public health environment and prevent the exacerbation of social health problems.

 

It should be noted that there will be a stronger crackdown on the issue of illegal cigarettes as emphasized by the Ministry of Finance. Simultaneously, there will be new adjustments to the tax rate for e-cigarettes, which may result in an increase in their consumption tax.

 

The revision of the Public Health Law by the Indonesian government is a significant step towards improving health regulations and ensuring public health safety. The Ministry of Finance is currently conducting research on the various provisions of the bill and plans to make comprehensive tax adjustments to cigarettes and e-cigarettes after the revision is completed.

 

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

Smoore Seeks to Toss CCELL Price-Fixing Claim as Court Weighs Vertical Distribution Versus Horizontal Conspiracy
Smoore Seeks to Toss CCELL Price-Fixing Claim as Court Weighs Vertical Distribution Versus Horizontal Conspiracy
Smoore and four authorized U.S. CCELL distributors are asking a California federal court to permanently dismiss a core antitrust claim brought by direct purchasers. Plaintiffs allege that Smoore coordinated minimum wholesale prices, customer allocation and limits on price competition among distributors, amounting to a per se unlawful horizontal conspiracy. The defendants say the alleged conduct reflects ordinary vertical relationships between a manufacturer and its distributors. The court previously dismissed a similar claim, and the latest dispute centers on whether the second amended complaint adds sufficient facts to establish a horizontal agreement.
Sep.14
NAS 2026 | FDA CTP Director Says PMTA Pathway Is “Predicated on Tobacco Harm Reduction”
NAS 2026 | FDA CTP Director Says PMTA Pathway Is “Predicated on Tobacco Harm Reduction”
At the 2026 New Approaches Summit in New York, FDA Center for Tobacco Products Director Bret Koplow said the PMTA pathway is “predicated on tobacco harm reduction.” He outlined four CTP priorities: youth prevention, helping adults quit or switch to lower-risk products, improving relative-risk communication, and reducing unauthorized products. Koplow also addressed flavored e-cigarettes, public risk perceptions, industry credibility and efforts to make PMTA reviews more efficient and predictable.
Sep.26
NATO Executive Director David Spross Sees U.S. Vape Regulation Improving, Calls for More PMTA Authorizations and Warns of 2027 State Tax Pressure
NATO Executive Director David Spross Sees U.S. Vape Regulation Improving, Calls for More PMTA Authorizations and Warns of 2027 State Tax Pressure
The National Association of Tobacco Outlets is calling for more FDA marketing authorizations, greater transparency in the PMTA process and continued enforcement against unauthorized e-cigarettes, even as its executive director, David Spross, points to recent regulatory developments as signs of progress. At the state level, excise taxes, flavor restrictions and vapor product directories remain major issues for tobacco retailers. By August 2026, 17 states had enacted laws establishing state-managed e-cigarette directories or similar systems.
Innovation
Sep.29 by 2Firsts Perspectives
Reynolds Puts Nearly 183,000 U.S. Contracted Outlets Under Age-Verification Rules, Covering 94% of Volume — Can It Shift an Unauthorized Vape Market?
Reynolds Puts Nearly 183,000 U.S. Contracted Outlets Under Age-Verification Rules, Covering 94% of Volume — Can It Shift an Unauthorized Vape Market?
Reynolds American says nearly 183,000 U.S. retail outlets are under contract, with its Retail Marketing Plan Contract covering about 94% of company volume and requiring point-of-sale age verification. The company combines those contracts with We Card, TruAge, NACS-linked infrastructure and POS integration, while enhanced Vuse Pro retail rules add ID scanning, purchase limits and stronger underage-sales accountability. The initial Vuse Pro rollout targets about 50,000 stores. The system is taking shape as unauthorized vapor products remain dominant in parts of the U.S. market: a 2026 study estimated they accounted for 69.4% of tracked brick-and-mortar e-cigarette dollar sales in December 2025.
Special Report
Oct.15
Zhang Xiaotang Appointed Deputy Director of China’s Tobacco Regulator, Adding Another Finance-Background Official to Top Leadership
Zhang Xiaotang Appointed Deputy Director of China’s Tobacco Regulator, Adding Another Finance-Background Official to Top Leadership
China’s State Council has appointed Zhang Xiaotang as deputy director of the State Tobacco Monopoly Administration, with the regulator’s official website now listing him as a Party leadership group member and deputy director. Zhang previously led Hebei China Tobacco and earlier headed the STMA’s finance and audit department. His appointment follows the elevation earlier this year of former tax official Yao Laiying to head the STMA, adding another senior official with a strong fiscal or financial-management background to China Tobacco’s top leadership in 2026.
News
Sep.20
Special Report|Virginia Vape Directory Shows Contrast Between Vuse and JUUL Pod Systems and CrossBar 20K, Loon Flavored Disposables
Special Report|Virginia Vape Directory Shows Contrast Between Vuse and JUUL Pod Systems and CrossBar 20K, Loon Flavored Disposables
A 2Firsts analysis of Virginia's liquid nicotine and vapor product certification directory identified 213 product records from 15 manufacturers. Companies associated with BAT, Altria, Imperial Brands, JTI and JUUL account for 127 entries. The directory also includes independent brands CrossBar 20K, Loon and Breeze. CrossBar advertises a 13mL disposable capable of up to 20,000 puffs, while Loon has 16 disposable entries featuring fruit, cooling and beverage-related flavors. Of all records, 120 are labeled as under FDA PMTA review. Virginia introduced revised penalties on October 1, 2026, including a minimum first-violation civil penalty of $5,000 per unlisted product, alongside new retail tobacco permitting requirements.
Regulations
Oct.30