Malaysian PM reports more than $40 million in e-cigarette taxes collected in 3 years, revenue to fund government projects

Oct.23.2024
Malaysian PM reports more than $40 million in e-cigarette taxes collected in 3 years, revenue to fund government projects
The Malaysian Prime Minister revealed in a parliamentary reply that Malaysia will collect $42.08 million in taxes from e-cigarettes and vaping products, including those with and without nicotine, between 2021 and 2024. The funds will support the government's administrative and development costs.

Malaysia's Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim said in a written reply to Parliament that Malaysia will collect a total of RM183.1 million (US$42.08 million) in taxes from e-cigarettes and vaping products from 2021 to 2024, according to The Star on 23 October.

 

This amount includes taxes from both nicotine-containing and nicotine-free e-cigarette products, with taxes from nicotine-containing products amounting to RM100.3 million (US$23.05 million).

 

The regulations require that all e-liquids or gels used in e-cigarettes and vapor products, regardless of nicotine content, are subject to excise tax of 40 cents per millilitre.
 

The minister emphasised that all types of electronic and non-electronic devices, including e-cigarettes, will also be subject to the excise tax at a flat rate of 10%. The tax on nicotine-free products will be implemented from 1 January 2021, while those containing nicotine will be implemented from 1 May 2023.

 

He pointed out that these taxes will be allocated to the Consolidated Fund of the Government, as required by Article 97(1) of the Constitution. Funds for administrative and development expenditure, including funding for health plans and projects, will be allocated through the annual national budget process.

 

Earlier reports indicated that a health organization urged the government to allocate 50% of the revenue from e-cigarette taxes to support public health projects. They believe that e-cigarette tax revenue should be used to address the negative consequences of disposable nicotine e-cigarette device marketing and sales.

 

It is reported that in the budget speech of the Finance Minister on February 24, 2023, it was also mentioned that the tax revenue from e-cigarette products will be used in the health-related field. With the introduction of taxes on nicotine e-liquid for e-cigarettes in the 2023 budget, it also means that nicotine e-liquid and gels are excluded from the 1952 Poison Act.

 

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

German Environment Minister Backs Ban on Disposable E-Cigarettes, Citing Safety Risks
German Environment Minister Backs Ban on Disposable E-Cigarettes, Citing Safety Risks
Germany’s Environment Minister Carsten Schneider has expressed clear support for banning disposable e-cigarettes, citing safety hazards, environmental damage, and waste management risks. While the ban has not yet been finalized, Germany’s parliament has instructed the government to examine the proposal. Several European countries, including Belgium, France, and the UK, have already implemented similar bans.
Dec.30 by 2FIRSTS.ai
CBSA discloses seizure of 212,000 nicotine pouches at Pigeon River port of entry
CBSA discloses seizure of 212,000 nicotine pouches at Pigeon River port of entry
The Canada Border Services Agency said officers inspecting an incoming vehicle at the Pigeon River port of entry in June found 212,000 nicotine pouches and seized more than 29,000 Canadian dollars (about 21,170 U.S. dollars) in currency and cheques. A CBSA spokesperson disclosed the seizure this week in a Newswatch interview about enforcement operations over the past year.
Dec.30 by 2FIRSTS.ai
Spain’s new e-cigarette e-liquid tax, in force since April 1, raises €26 million through November
Spain’s new e-cigarette e-liquid tax, in force since April 1, raises €26 million through November
Spain’s Tax Agency monthly collection report shows the new tax on e-cigarette e-liquids, in force since April 1, raised €26 million through November, including €4 million in November. The levy began three months later than the usual fiscal timetable to allow the sector to adapt, making 2025 the first year in which vaping products are taxed under a specific category.
Dec.30 by 2FIRSTS.ai
Azerbaijan Considers Comprehensive Ban on E-cigarettes
Azerbaijan Considers Comprehensive Ban on E-cigarettes
Azerbaijan is advancing legislative amendments to prohibit the circulation of electronic cigarettes and their components. The proposed changes, discussed at a joint meeting of several parliamentary committees, aim to ban the import, export, production, storage, wholesale and retail sale, and use of e-cigarettes.
Dec.17 by 2FIRSTS.ai
Product | Airis, Kangvape and HAYATI Launch Christmas-Themed E-cigarettes in UK and US Online Markets
Product | Airis, Kangvape and HAYATI Launch Christmas-Themed E-cigarettes in UK and US Online Markets
As the Christmas holiday season approaches in Europe and North America, e-cigarette brands such as Airis, Kangvape and HAYATI have successively launched Christmas special editions featuring festive-themed designs and selected limited-time flavors, which are now available through online channels in both the United States and the United Kingdom.
Dec.15 by 2FIRSTS.ai
Vietnam Decree 371: vaping and heated tobacco use fined up to $190
Vietnam Decree 371: vaping and heated tobacco use fined up to $190
Vietnam’s Government Decree 371, effective December 31, 2025, stipulates that users of e-cigarettes and heated tobacco products will be fined VND 3–5 million (about $114–$190) and required to destroy the products. The decree also provides that individuals who allow use at premises they own or manage will be fined VND 5–10 million (about $190–$380), with fines doubled for organizations.
Jan.04 by 2FIRSTS.ai