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

Product | ELFBAR launches new “4-in-1” e-cigarette kit: 4× (1ml + 5ml) design, 4 flavors per set
Product | ELFBAR launches new “4-in-1” e-cigarette kit: 4× (1ml + 5ml) design, 4 flavors per set
ELFBAR has launched the “4 in 1 Ultra 50 VAPE KIT” through multiple online sales channels in the UK. The kit combines four 1ml prefilled pods with four 5ml refill containers. The company claims it can deliver up to around 50,000 puffs, with a retail price of approximately £13.99.
Dec.31 by 2FIRSTS.ai
Tennessee Cracks Down on Vaping: 10 % Tax Hike, Expanded Enforcement Powers, Mandatory ID Checks at Every Retail Counter
Tennessee Cracks Down on Vaping: 10 % Tax Hike, Expanded Enforcement Powers, Mandatory ID Checks at Every Retail Counter
New Tennessee laws passed this year impose a 10 % tax on vaping products, empower the Tennessee Alcoholic Beverage Commission (TABC) to conduct compliance inspections, and set steep fines for retailers who sell to minors. Yet, with no statewide retail-licensing scheme for e-cigarettes, enforcing the penalties remains problematic. Meanwhile, stores in cities like Jackson have voluntarily stepped up ID scanning and product tracking to help the rules take hold.
Dec.03 by 2FIRSTS.ai
2Firsts’ Nine Global Turning Points: How 2025 Reshaped the Nicotine Industry
2Firsts’ Nine Global Turning Points: How 2025 Reshaped the Nicotine Industry
In 2025, the global nicotine industry reached a critical turning point. Regulatory realignment, category shifts, capital repositioning and technological intervention unfolded in parallel, loosening old structures while new ones took shape. 2Firsts reviews nine pivotal events that reshaped the industry’s trajectory.
Jan.14
Smoking Rate Drops to 17.9%, Vaping Rate Climbs to 9.3% in South Korea
Smoking Rate Drops to 17.9%, Vaping Rate Climbs to 9.3% in South Korea
The Korea Disease Control and Prevention Agency (KDCA) released its 2025 Community Health Survey results covering more than 230,000 adults. Traditional cigarette smoking dropped to 17.9%, down 1 percentage point from last year, while e-cigarette use increased to 9.3%, up 0.6 points. Overall tobacco product use stood at 22.1%, a slight decline from 2024 but still 0.5 points higher than 2019.
Dec.08 by 2FIRSTS.ai
Thai Customs Region 2 seizes 22,800 YOOZ-branded vape pod heads
Thai Customs Region 2 seizes 22,800 YOOZ-branded vape pod heads
Thailand’s Customs Region 2 searched a private logistics company in Mukdahan province and seized 22,800 vape pod heads with no evidence of customs clearance. The seized items weighed 389.50 kg in total and were valued at more than THB 4.5 million (about USD 143,581.90). The photo shows packaging marked “YOOZ”.
Jan.16 by 2FIRSTS.ai
Special Report|With Charlie’s US Line Online, the US-Filled Vape Supply Chain Model Enters a New Phase
Special Report|With Charlie’s US Line Online, the US-Filled Vape Supply Chain Model Enters a New Phase
Charlie’s Holdings has activated its first US-based manufacturing and filling line, enabling the company’s Pachamama 25K vape series to meet Texas’ new domestic manufacturing requirements. As state-level rules tighten, the move signals a broader industry shift toward US-filled supply chains and marks an inflection point for brands historically reliant on China-based prefilled production.
Industry Insight
Dec.02