Ban today, black market tomorrow: Re-thinking the vape crackdown

Focus Malaysia

6 days ago

THE government's move to ban open-system vape devices under the Control of Smoking Products for Public Health Act 2024 (Act 852) raises serious concerns.
While public health risks are real – with 80% of seized vape products reportedly containing banned substances – an outright ban may worsen the situation instead of resolving it.
A better approach is to regulate, tax and monitor the industry under a clear legal framework.
Using today's debate to ask tough questions
In Parliament yesterday (July 28), Health Minister Datuk Seri Dr Dzulkelfy Ahmad announced that enforcement would begin immediately against open-system vape devices, citing concerns over how easily they can be modified and refilled.
𝐊𝐊𝐌 𝐓𝐄𝐋𝐈𝐓𝐈 𝐋𝐀𝐍𝐆𝐊𝐀𝐇 𝐊𝐄 𝐀𝐑𝐀𝐇 𝐏𝐄𝐍𝐆𝐇𝐀𝐑𝐀𝐌𝐀𝐍 𝐕𝐀𝐏𝐄
Alhamdulillah, pagi ini di Dewan Rakyat saya telah menjawab soalan YB Dato' Haji Ahmad Bin Saad @ Yahaya, Ahli Parlimen Pokok Sena berkenaan pendirian Kementerian terhadap langkah beberapa Kerajaan… pic.twitter.com/Hryc15QjuY
— KKMalaysia🇲🇾🩺❤️ (@KKMPutrajaya) July 28, 2025
Authorities are right to be alarmed by the presence of substances like methamphetamine and cannabinoids in some of these products, especially among youth.
But pushing the industry underground will not eliminate these threats. It will simply make them harder to trace and control.
Singapore's experience shows the limits of prohibition
Singapore banned vaping in February 2018. Yet illegal products are still widely available, often sold through encrypted apps like Telegram and WhatsApp. Even more worrying is the rise of counterfeit vape liquids laced with synthetic drugs.
If a high-compliance country like Singapore cannot eliminate its black market, Malaysia is unlikely to fare any better using the same approach.
Prohibition risks strengthening the black market. Malaysia already loses over RM5 billion annually to illicit cigarette sales. A vape ban could drive consumers further toward dangerous, unregulated products.
Enforcement may also be misdirected. Authorities will be forced to target small retailers and informal sellers instead of focusing on major public health threats. Meanwhile, adult smokers looking to quit may find themselves pushed back to cigarettes or left to navigate an unregulated vape black market.
Why ignore revenue in a tight fiscal climate?
Malaysia has repeatedly cited limited fiscal space to justify subsidy reforms and tax hikes. Yet the vape sector remains largely untaxed and unregulated. This is a missed opportunity.
By taxing vape products based on nicotine content, the government could generate revenue, discourage high-risk use, and create a level playing field with the tobacco industry. A well-structured excise system would strengthen oversight while funding healthcare and anti-smoking campaigns.
Why go through all the trouble of expanding the Sales and Services Tax (SST) if we continue to ignore other obvious and efficient sources of revenue like vaping? Let's not waste the opportunity to get this right.
Use Act 852 as intended
The Control of Smoking Products for Public Health Act (Act 852) already contains the tools needed for effective regulation. These include product registration, licensing, advertising restrictions, and age limits.
Rather than bypass these mechanisms, the government should use them. Enforce mandatory product testing, introduce tiered excise taxes, license retailers with strict age-gated access, regulate advertising and collaborate with online platforms to curb digital black markets.
Public education must also be stepped up, especially targeting youth and parents.
The presence of banned substances in vape products is alarming, but a blanket ban is not a sustainable solution. It risks losing control of the market while also forfeiting harm reduction and revenue opportunities.
Malaysia already has the legal and policy framework to manage this sector responsibly. What it needs now is the political will to do so. Prohibition may sound tough but effective regulation is what truly protects public health.
Tax it. Regulate it. Control it. Let's not waste this opportunity to get it right. – July 29, 2025