KUALA LUMPUR, August 24 — Medical Mythbusters Malaysia (M3) has urged Putrajaya to clarify whether liquid nicotine products are now illegal for sale after the government dropped its appeal against a High Court ruling that nullified the exemption of liquid nicotine from the Poisons List.
The medical group also questioned whether more than RM354 million in vape excise duties collected since 2023 remain valid, and if the government must refund vape businesses if the tax collection is ultimately found to be invalid.
“Many such products have been registered and sold based on the exemption that has now been cancelled,” M3 said in a statement today.
“It remains unclear whether these products are now unlawful to sell, whether existing stocks need to be recalled, and what compliance timeline applies to traders.”
M3 said such clarification was important not only to retailers, but also to enforcement agencies.
The group welcomed the government’s decision not to proceed with its appeal, saying nicotine is a toxic and addictive substance that should be strictly regulated rather than exempted from control to facilitate taxation.
The High Court ruled that the 2023 exemption of liquid and gel nicotine used in e-cigarettes and vape products from the Poisons List was “irrational” and unlawful, and was made without proper or adequate consultation with the Poisons Board.
M3 said cancelling the exemption was a meaningful step towards tobacco and vape control because it restored nicotine to its “proper position under the law”. However, the group said the court ruling was not a complete policy solution.
Before the 2023 exemption, liquid nicotine was classified as a Group C poison under the Poisons Act 1952, restricting its dispensing to licensed pharmacists or registered medical practitioners.
M3 also called for clear instructions on how the reclassification of liquid nicotine as a controlled poison would be enforced at the retail level.
“Reclassifying liquid nicotine as a controlled poison will mean little if it is not accompanied by strict enforcement,” M3 said.
“M3 wants to see clear instructions from the authorities on the method of enforcement at the retail level, as well as the action that will be taken against traders who fail to comply.”
The government withdrew its appeal last week, leaving the High Court ruling standing.
However, Health Minister Dzulkefly Ahmad and the Ministry of Health (MOH) have yet to issue a statement explaining the withdrawal or clarifying the legal and regulatory status of liquid nicotine following the court ruling.
The Ministry of Finance (MOF) has also yet to issue a statement on the implications for vape taxation.
Nicotine Ruling Could Invalidate Vape Tax Collection, 2023 Affidavit Says
M3 questioned the status of excise duties collected from vape products after liquid nicotine was removed from the Poisons List in 2023.
“Given that the legal basis for the taxation of vape excise duties has been cancelled, the status of taxes already collected under that framework has also become unclear,” M3 said.
“The authorities need to explain whether these collections remain valid, and if not, how the matter will be resolved, including whether refunds to players in the vape industry will be carried out.”
The question follows an October 2023 affidavit by Treasury secretary-general Johan Mahmood Merican in the High Court, in which he said cancelling the health minister’s order exempting liquid nicotine from the Poisons List would affect related subsidiary legislation and “subsequently invalidate” the government’s collection of excise duties.
Then-Health Minister Dr Zaliha Mustafa gazetted the exemption on March 31, 2023, after MOF directed MOH to remove liquid nicotine from control under the Poisons Act to facilitate taxation of nicotine-containing e-cigarette and vape liquids.
Excise duties of 40 sen per millilitre on nicotine-containing liquids and gels took effect on May 1, 2023.
Dzulkefly told the Dewan Negara in a written reply last month that the government had collected RM354.51 million in excise duties on e-cigarette and vape products between May 2023 and June 11 this year.
M3 said the government’s withdrawal of its appeal was only the “starting point, not the end of this issue”. The group warned that the cancelled exemption could be reintroduced through another administrative decision or different justification in the future.
“If this risk is not specifically addressed, this victory will only be symbolic,” M3 said.
M3 urged the government to close this avenue through legislative amendments, a clear policy commitment, or both, so that the status of liquid nicotine under the Poisons Act could not be easily overturned again in a future policy cycle.
The group said it recognised the importance of the High Court ruling and the precedent it established, and hoped the decision would be followed by concrete action from the authorities.
