According to the data, there are approximately 280 million smokeless tobacco users in the region, accounting for nearly 77% of the world's smokeless tobacco users. Taxation and regulation policies for e-cigarettes can vary significantly across different countries, depending on local laws, public health policies, and market conditions.

Currently, there is a lack of specific tax policies in Cambodia, Singapore, Thailand, Vietnam, and Myanmar, whereas Malaysia, Indonesia, and the Philippines have established clear tax regulations.

Malaysia

A tax on nicotine-containing e-liquids was implemented starting April 1, 2023, following the country's decision to legalize and tax nicotine vapes. The tax rate set was 0.40 Malaysian ringgits 

(approximately 9 cents USD) per milliliter, which is the same as the tax rate for zero-nicotine e-liquids.

Indonesia

Regulation 192/PMK.010/2022,amending regulation193/PMK.010/2021, set the applicable excise duties forvaping products for 2023 and 2024. As of 1st ]anuary2024,open-system e-cigarettes are taxed at IDR636($0.04) per ml, while closed-system e-cigarettes aretaxed at IDR6,776 ($0.44) per ml.

Vietnam

No specific excise tax currently applies to vape products.

In November 2023, the Ministry of Finance invitedpublic comments on a draft decree that would impose a 50% import tax on e-cigarette e-liquids and devices.

Singapore

No excise tax is applicable to e-cigarettes in Singapore. According to an official newsletter published by the Ministry of Health, the authority denied the fairly common public perception that e-cigarettes are banned because Singapore cannot tax them, saying: “The Singapore Government is able to tax e-cigarettes should we wish to.”

Philippines

Republic Act 11467 was signed by Duterte on 22nd January, combining House Bill 1026 and Senate Bill 1074. It modifies the National Internal Revenue Code of 1997 and taxes vapour products with and without nicotine based on their content.

The law establishes a tax of PHP45 ($0.92) per 10 ml of “freebase” or “classic” “nicotine” (which means any liquid substance, regardless of nicotine content, including nicotine-free liquid or similar products) in 2020, rising by PHP5 ($0.10) each year until 2023:

· Effective on 1st January 2020, PHP45 ($0.92) per 10 ml or a fraction thereof

· Effective on 1st January 2022, PHP55 ($1.12) per 10 ml or a fraction thereof

· Effective on 1st January 2023, PHP60 ($1.22) per 10 ml or a fraction thereof.

Nicotine salt products are taxed at PHP37 ($0.73) per ml of liquid refill, to rise by PHP5 ($0.10) each year until 2024:

· Effective on 1st January 2020, PHP37 ($0.75) per ml on a fraction thereof

· Effective on 1st January 2021, PHP42 ($0.86) per ml or a fraction thereof

· Effective on 1st January 2023, PHP52 ($1.06) per ml or a fraction thereof.

The levy will be raised to 5% every year beginning 2024.

Learn more

Vape taxes in European countries

UK government announces new tax on vaping from 2026

Hangsen International Group 

Hangsen is a world-leading manufacturer of e-liquid, providing premium white-label e-liquid services and customized production solutions for vape devices. Hangsen e-liquid maintains high levels of consistency, stability, safety, and regulatory compliance. Our business operations span across more than 80 countries and regions worldwide. 

Feel free to Contact us at service@hangsen.com or leave a message on our Contact page.