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

Qnovia’s Heat-Free Inhalable Nicotine Replacement Therapy Posts Positive First-in-Human Data, Advances FDA and MHRA Filings as Funding Expands
Qnovia’s Heat-Free Inhalable Nicotine Replacement Therapy Posts Positive First-in-Human Data, Advances FDA and MHRA Filings as Funding Expands
U.S.-based medical startup Qnovia Inc. reported positive results from its first-in-human clinical trial of RespiRx, an inhalable nicotine replacement therapy (NRT) device designed to support smoking cessation.
Innovation
Feb.24
Special Report|From Nicotine Pouches to Jelly? A China Tobacco Patent Explores Dual-Release NRT
Special Report|From Nicotine Pouches to Jelly? A China Tobacco Patent Explores Dual-Release NRT
A patent published on February 24, 2026, by China Tobacco Hubei Industrial Co., Ltd. introduces a “nicotine jelly” product designed to combine rapid and sustained nicotine delivery. By integrating both free and microencapsulated nicotine, the product aims to address key limitations of traditional nicotine replacement therapy (NRT), while also raising new regulatory and product classification questions.
Innovation
Mar.18
Exclusive: Glas says FDA-authorized G2 vape includes age-gating technology
Exclusive: Glas says FDA-authorized G2 vape includes age-gating technology
Glas has confirmed to 2Firsts that its G2 device, which received a FDA Marketing Granted Order (MGO), incorporates age-gating technology. Based on currently public information, this means the FDA has granted an MGO to the first ENDS product confirmed to incorporate age-gating technology, validating 2Firsts’ earlier inference.
Mar.17
Imperial Brands Launches Red, Gold and Silver iD Heated Tobacco Sticks in Europe
Imperial Brands Launches Red, Gold and Silver iD Heated Tobacco Sticks in Europe
Imperial Brands PLC said on February 18, 2026 that it has launched its new Red, Gold and Silver iD heated tobacco sticks in Greece and Poland, with a broader rollout across Europe planned for 2026.
Feb.18
Kansas Senate approves tougher vape rules to target unlicensed products and child-directed ads
Kansas Senate approves tougher vape rules to target unlicensed products and child-directed ads
The Kansas Senate approved Senate Bill 355 on Wednesday, aiming to crack down on unlicensed vaping products and eliminate advertisements geared toward children. The bill, backed by major tobacco companies, would impose the same licensing and advertising requirements on e-cigarettes as other nicotine products and require every e-cigarette manufacturer doing business in Kansas to obtain a license, with a $2,500 application fee.
Feb.13 by 2FIRSTS.ai
ELFBAR Resolves Global Dispute Over "ELF" Trademark with VPR Brands LP
ELFBAR Resolves Global Dispute Over "ELF" Trademark with VPR Brands LP
ELFBAR announces global settlement with VPR Brands LP over "ELF" trademark dispute, covering major markets like US, Canada, UK.
Apr.01 by 2FIRSTS.ai