Vietnam Passes Amended Investment Law Banning E-Cigarette and Heated Tobacco Businesses

Key Points 

•  Key provision: Prohibits investment and business activities involving e-cigarettes and heated tobacco
• Exception: Export-only projects approved before Jan. 1, 2025, handled separately by the government
•  Government representative: Finance Minister Nguyễn Văn Thắng
•  Additional updates: Removal of 38 conditional investment sectors; strengthened pre- and post-investment control mechanisms
   

2Firsts, December 11, 2025 – According to Quochoi.vn, Vietnam’s National Assembly has officially passed the amended Investment Law, which includes a provision banning investment and business activities related to e-cigarettes (thuốc lá điện tử) and heated tobacco products (thuốc lá nung nóng).

The new law adds these categories to a list of prohibited investment fields, alongside activities such as narcotics, natural wildlife trade, human organ and embryo sales, sex work, human cloning, fireworks, debt collection, and trade in national cultural relics.

The Assembly authorized the government to issue detailed regulations for handling investment projects that manufacture e-cigarette or heated tobacco equipment for export, provided they were approved or registered before January 1, 2025.

Presenting the report on behalf of the Prime Minister, Finance Minister Nguyễn Văn Thắng stated that the revised law reflects recommendations from the Standing Committee of the National Assembly and inter-ministerial coordination to identify industries requiring pre-investment review while shifting others to post-investment supervision based on technical standards.

The revised law eliminates or modifies 38 conditional investment sectors and requires the government to:

• Publish a full list of conditional business sectors requiring licenses or certification;
• Identify sectors transitioning to post-investment management;
• Ensure all conditional sectors and requirements are published on the National Enterprise Registration Portal.

The National Assembly emphasized that the amendment aligns investment regulations with public health objectives, aiming to prevent the domestic establishment of e-cigarette production and trade networks.

Caption: The Vietnamese National Assembly

Image source: Quochoi.vn