TobaccoReporter logo

Tag: Malaysia

  • Malaysia Cracks Down on Tobacco Smuggling, Freezes $52M

    Malaysia Cracks Down on Tobacco Smuggling, Freezes $52M

    Earlier this week, the Malaysian Anti-Corruption Commission (MACC) launched Operation Sikaro, targeting companies involved in smuggling tobacco, cigarettes, and cigars, that caused estimated government revenue losses of RM250 million ($60 million) from 2020 to 2024.

    The MACC led raids with the Inland Revenue Board, Bank Negara Malaysia, and Customs across 14 sites in Klang Valley and Johor. Authorities froze about RM218 million ($52 million) in personal and company accounts and suspended import licenses of implicated firms.

    Investigations are also focusing on links to enforcement officers and potential money laundering activities.

  • Malaysia Rules Out Generational Endgame, Focuses on Regulation

    Malaysia Rules Out Generational Endgame, Focuses on Regulation

    Malaysia’s Health Ministry confirmed it has no plans to reinstate the Generational Endgame (GEG) policy, which would have banned tobacco and vape sales to those born after 2007. Instead, the ministry said its focus is on enforcing strict regulatory measures under the Smoking Products Control for Public Health Act 2024.

    These measures include mandatory product registration, bans on advertising and sponsorship, tighter sales controls, and expanded smoke-free zones. Officials said the priority is to shield young people from smoking harms through regulation rather than a generational ban. The GEG policy, first proposed in 2022, was dropped before the bill passed Parliament.

  • Malaysia Moving Toward Vape Ban

    Malaysia Moving Toward Vape Ban

    Malaysian Health Minister Datuk Seri Dr Dzulkefly Ahmad said he will present an expert committee’s recommendation to ban electronic cigarettes and vape to the Cabinet once its study is complete. He said the move is “no longer a matter of if” and follows the enforcement of the Control of Smoking Products for Public Health Act 2024, which has cut the number of smoking product variants in the market by nearly 60%.

    “With strict enforcement, I am confident we can effectively regulate cigarette and vape sales,” Dzulkefly said. “Most importantly, we must protect non-adults, students, and our children from exposure to vape. The Act will be enforced firmly to regulate all smoking products, including vape, for public health.”

  • Drug-Laced Vape Ring Busted in Malaysia

    Drug-Laced Vape Ring Busted in Malaysia

    Malaysian authorities, working closely with South Korea’s National Intelligence Service (NIS), dismantled an international drug ring accused of attempting to smuggle 2 million doses of etomidate- and cocaine-laced e-cigarettes into South Korea. Authorities seized nearly 5,000 cartridges and thousands of packaging boxes. Etomidate, a potent anesthetic, can cause severe health risks or death when abused.

    Four suspects, including the 31-year-old Singaporean ringleader, were arrested in June in Malaysia. The group allegedly aimed to distribute 20,000 liquid e-cigarettes monthly via Malaysia and other transit points. The ringleader had set up a fake headhunting business in Seoul’s Gangnam district, targeting South Korean students studying in Singapore to build a distribution network. The NIS began tracking the operation in 2023.

  • Drug Gangs Hijacking Vape for Narcotics

    Drug Gangs Hijacking Vape for Narcotics

    Public safety must focus on syndicates, not legal retailers

    Former Sarawak State Police Chief Datuk Dr Yusoff Nook called for a sharper distinction between drug crimes and the legitimate vape industry, following reports that investigated the widespread online sales of synthetic drug-laced vape products in Malaysia.

    In the investigation, it was found that illicit vape liquids laced with dangerous substances like methamphetamine, syabu, and ketamine were being sold openly on social media and e-commerce platforms outside any regulatory reach and entirely separate from licensed retailers. These products are disguised as flavored vape, often in colorful packaging that appeals to younger consumers, and are traded via anonymous sellers through private messaging and courier services.

    “These are not rogue retailers or irresponsible shop owners,” Nook said. “These are organized drug traffickers—sophisticated, transnational, and criminal in nature. They are merely using vape as a new delivery mechanism. But the issue is not with vape, the issue is drugs. At its core, this remains a drug crime, and it must be treated as such.

    “The recent calls for state-level vape bans are misdirected, as they do not address the real source of harm. The investigation makes it clear: these products are not sold by licensed players. They’re sold online by criminals operating in the shadows. A state ban on vape shops won’t stop this. If anything, it punishes the visible and regulated segment of the market while doing nothing to touch the underground networks.”

    Nook said that the legitimate vape industry is now governed under the Control of Smoking Products for Public Health Act 2024 (Act 852), which imposes strict requirements, including product registration, price approvals, and retail licensing.

    “Licensed players are complying,” he said. “They are subject to inspections and oversight. The ones flooding our streets and social media with narcotic vape? They are not part of that system. They are traffickers. Let’s stop conflating legal vaping with narcotics. This is a criminal abuse of a product, not a failure of regulation or industry.”

    Nook urged authorities to act with precision, using tools like the Dangerous Drugs Act 1952, Anti-Money Laundering Act 2001, stronger criminal enforcement, targeted raids, and cross-border intelligence sharing to take down these syndicates.

    “This is a matter of national security,” Nook said. “Drugs are illegal. Drug trafficking is a serious crime in Malaysia. We must continue to treat it as such. We should be using every legal weapon available to take down drug networks, not redirecting blame onto products that criminals happen to exploit.

    “The real danger is losing focus. If we spend time penalizing the legal market, we risk giving the illegal market room to grow. The vape industry is not the threat. Drug syndicates are. Enforcement, not prohibition, is the only real answer to this threat.”

  • Malaysia Losing $1.2B to Illicit Cigarettes

    Malaysia Losing $1.2B to Illicit Cigarettes

    Malaysia continues to suffer major revenue losses from the illicit cigarette trade, with an estimated RM5 billion ($1.2 billion) in tax revenue lost each year, according to the latest NielsenIQ Illicit Cigarettes Study released in March.

    After peaking at 63.8% in 2020, illicit cigarette consumption continued its slow decline down to 54.6%, according to the report, with 10 dominant contraband brands accounting for 75% of cigarettes smuggled. The study also raised alarm over rampant tax stamp fraud, noting that 31% of illegal cigarette packs bore counterfeit stamps.

    “Organized smuggling syndicates are growing increasingly sophisticated, posing a serious challenge to enforcement and public health policy,” the report stated. Hotspot states such as Johor, Selangor, and Sabah were identified as major entry and distribution points for illicit tobacco products.

  • Malaysian Vapers: Ban is Not the Solution

    Malaysian Vapers: Ban is Not the Solution

    With Malaysian states working ahead of the federal government regarding tobacco control, the Malaysian Vapers Alliance (MVA) implored policymakers in state governments not to ban the sale of vape products and instead work together with the federal government to ensure they are properly regulated. Various proposals that would stop the issuance of business licenses to sell such products are being considered.

    “Banning the sale of vape products by stopping the issuance of business licences for local traders will only create negative consequences, especially when the federal government has already enacted laws to regulate vape products,” said Khairil Azizi Khairuddin, president of the MVA. “Consumers want access to regulated products. But this situation will cause negative consequences where consumers will be forced to seek products from alternative sources, including illegal channels. This will then create a situation where illegal vape products and the underground market will flourish.”

    MVA said the proposal to ban the sale of vape products by stopping the issuance of municipal council business licenses does not solve the issue at hand, which is the misuse and abuse of banned substances. MVA further added that access to products laced and infused with drugs are not sold in vape shops but instead are sold via online platforms, including social media channels.

    “Clearly, the ban on vape shops is not the right solution,” said Khairil. “Instead, the authorities need to work towards ensuring only regulated vape products are available for sale in vape shops, increase enforcement efforts against the sale of products laced and infused with drugs on those channels, and impose heavy penalties including mandatory jail terms for those involved.

  • Ispire Announces Huge Malaysian Expansion

    Ispire Announces Huge Malaysian Expansion

    Ispire Technology Inc. announced that it has received the interim license from the Malaysian Government for the manufacturing of nicotine products. The company said, “This is the first and only nicotine manufacturing license issued in Malaysia approved by both the Federal and State authorities and cements Ispire’s position as the only company with full authorization for export, import, and production.” The approval of the interim license also allows the company to begin manufacturing nicotine products in Malaysia immediately, as well as officially begin marketing its nicotine manufacturing capabilities externally.

    “Receiving the interim license for our Malaysian manufacturing operations is a significant milestone for Ispire as we progress towards positioning the company as a leading international provider of vaping hardware,” said Michael Wang, co-Chief Executive Officer of Ispire. “We can now officially begin manufacturing and marketing our nicotine products in Malaysia, with our Malaysian facility soon featuring 80 production lines, growing its capacity from the current six lines. Once the final license is approved in the coming months as we anticipate, our regulatory requirements in Malaysia will be complete and Ispire will have the first federal nicotine manufacturing license in the country. By diversifying our production base, we are strategically de-risking our production strategy and mitigating the concern of geopolitical factors increasing our pricing.”

  • Malaysian State Gets Aggressive with Ads as it Eyes Vape Regs

    Malaysian State Gets Aggressive with Ads as it Eyes Vape Regs

    All local authorities in Selangor, Malaysia, have been instructed to immediately seize and confiscate advertisements related to e-cigarette products in the state, The Star reported. State public health and environment committee chairman Jamaliah Jamaluddin said the decision was made during a coordination meeting on May 16 to discuss the proposal of banning the sale of e-cigarettes.

    “This action is in line with the provisions of the Control of Tobacco Product for Public Health Act 2023 (Act 852), which explicitly prohibits any form of advertising, promotion, and sponsorship related to electronic smoking products,” she said in a statement today (May 20).

    Jamaliah said the meeting also examined various issues related to the use and sale of e-cigarettes, including enforcement challenges, licensing, legal aspects, and monitoring.

    “The issue of online sales was also discussed, as it is difficult to control and is often the main channel for teenagers to obtain these products,” she said. “According to the National Health and Morbidity Survey 2022 report, it is estimated that nearly 14.9% of male teenagers aged 13 to 17 in Malaysia use electronic cigarettes. This statistic is very worrying and calls for urgent proactive action at the state level.”

    Following this, she said the state government, through the Public Health Standing Committee, will hold a follow-up meeting soon to discuss policy options that should be considered before the final proposal is presented at the state executive council meeting for a decision.

  • Malaysia Wants Vape Ban at State Level, Not Federal 

    Malaysia Wants Vape Ban at State Level, Not Federal 

    The Health Minister for Malaysia said even though the government is not working toward banning vape products on the federal level, it hopes the trend to ban them will continue at the state level as local officials stop issuing licenses to retailers selling vapes and e-cigarettes. 

    “We hope more will take the position of not issuing licenses to vape premises,” Health Minister Datuk Seri Dr Dzulkefly Ahmad said. “Otherwise, any licenses issued must strictly comply with the Control of Smoking Products for Public Health Act 2024.”

    On April 24, Terengganu announced it would ban vape products beginning August 1, and then three days later Kedah said it was considering doing the same. Previously, both Johor and Kelantan banned vapor products in 2016.

    When asked if a national ban was being considered, Dzulkefly said the federal government adopted a regulatory enforcement model following the passage of the Act.

    “We took a firm position to regulate tobacco-related products. That is the stance and position of the federal government,” he said. “At the same time, we support state governments that have the authority not to issue vape sales licenses. So let us work together.”