THE Malaysian Government’s progressive move towards regulating the vape industry has hit a roadblock as the manufacturing and importation of vape products with nicotine are still being banned and not allowed.
Based on the recently gazetted Customs Department’s Prohibition Of Imports Order 2023 as reviewed by the Datametrics Research and Information Centre Sdn Bhd (DARE), the think tank said that the order still restricts local vape industry players from importing vape liquids containing nicotine or the importation of nicotine to manufacture vape liquids unless approved by the Health Ministry (MOH) despite it having been exempted from the Poisons Act.
“Naturally, this is a planned ‘back-door-ban’. The entire supply chain and retail ecosystem in the vape industry will come to a standstill with this restriction,” cautioned DARE’s managing director Pankaj Kumar.
“Without any actions to address this quickly and clearly, industry players will not be able to manufacture and import products legally. This will cause the vape industry to revert to the status quo which is to continue to operate underground.”
Such situation will cause the Malaysian government to miss the opportunity from collecting excise tax revenue to the tune of RM1 bil annually, according to Pankaj.

“Not only that the government would not be able to collect tax revenue under this situation, the products will continue to be sold without any taxes and regulations,” he revealed. “To address this, DARE urges the MOH to reverse the restrictions immediately given that the Government has already exempted vape liquids containing nicotine from the Poisons Act.”
Pankaj further noted that MOH should take steps to immediately amend current laws to introduce regulations to regulate vape products as this will ensure that products that are sold in the market are safe, secure and of decent quality.
“This is to enable the Government to introduce controls, especially on the vape products to ensure consumers have access to regulated products and to prevent the products from falling into the hands of individuals under 18 years of age,” he stressed.
Moreover, DARE also called in MOH to take steps to embrace tobacco harm reduction and see vape products as a means to help reduce smoking prevalence in Malaysia as seen in countries that adopt similar approaches towards realising a smoke-free society.
“Sweden is set to become Europe’s first ‘smoke-free’ country as it is on course to see the smoking prevalence rate drop below 5%,” observed Pankaj. “It was reported that this phenomenal success was achieved by embracing tobacco harm reduction strategies that accept smoke-free products like vape as less harmful alternatives.”
He added: “Malaysia should learn to embrace tobacco harm reduction. Examples from other countries have already shown that vape has the potential to reduce smoking prevalence. It is critical that we take an evidence-based approach that has proven to be a success to reduce smoking prevalence in Malaysia.”
In its study entitled “Clearing the Smoke: Tobacco Harm Reduction’’, DARE reckoned that vaping can reduce the smoking population in Malaysia to four million by 2025 from five million to date through appropriate regulations and promoting smokers to switch to this less harmful alternative.
The study by the policy institute estimated that vaping will help the country reduce its healthcare spending on treating smoking-related diseases by RM1.3 bil in 2025 alone. – April 19, 2023