The High Court’s decision striking down the 2023 Minister’s Order exempting liquid and gel nicotine from the Poisons List has placed the government at a crossroads. Regardless of the plaintiffs’ intent, the judgment has resulted in a de facto ban on the sale of nicotine vapes and e-cigarettes, as they would again fall under the Poisons Act 1952 framework.

The government can now either apply for a stay and appeal the decision, or attempt once again to exempt nicotine used in vape and e-cigarette products from Poisons Act schedule. However, it can do something far simpler, faster, legally cleaner, and more beneficial to public health and government revenue: raise the tobacco tax.

The court’s ruling should be treated as an opportunity to correct a policy mistake. The High Court found that the 2023 exemption for liquid and gel nicotine was irrational, procedurally flawed, and driven primarily by economic considerations intended to enable the taxation of vape products. That finding matters. It confirms what public health advocates warned in 2023: addictive substances such as nicotine should not be removed from poison control simply to create a new revenue stream.

What the government should do now is to increase cigarette excise duties to at least RM0.77 per stick.

This is the most practical option available to the government.

Firstly, it requires very little administrative or regulatory effort. Cigarette excise already exists. The collection mechanism is already in place. Customs already administers it. The government does not need to create a new regulatory pathway, reconsult the Poisons Board, re-gazette an exemption, defend another controversial policy process, or risk another legal challenge. It simply needs to amend the excise rate.

Secondly, it is economically superior. In 2025, the Galen Centre for Health and Social Policy estimated that increasing the excise tax rate on cigarettes to at least RM0.77 per stick, equivalent to around 61 per cent excise tax of the retail price at that time. It could generate an additional RM771.8 million in tax revenue. Malaysia currently collects over RM3 billion annually in tobacco excise duties.

By comparison, vape revenue is modest and uncertain. The Health Minister previously stated that nicotine vape excise brought in about RM209.5 million since 2023.

Third, raising cigarette tax is better for health. Tobacco remains one of the most harmful consumer products legally sold in Malaysia. Smoking contributes to cardiovascular disease, stroke, lung cancer, chronic respiratory disease, and premature death. Malaysia spends an estimated RM16 billion annually treating smoking-related illnesses, and for every RM1 collected from tobacco excise, around RM4 is spent treating smoking-related disease.

Increasing cigarette excise could reduce cigarette consumption, reduce tobacco-related deaths, and increase government revenue.

Finally, the current cigarette tax rate is still outdated and inadequate. Before Budget 2026, Malaysia’s cigarette excise duty had remained at RM0.40 per stick for years. Budget 2026 proposed only a two sen increase per stick. Honestly, a two-cent increase is not serious tobacco control. It is a token adjustment following a decade of a tax holiday or moratorium on tobacco taxes.

The government should not spend public resources appealing a court decision that has effectively strengthened public health governance and done what politicians have promised to do but lacked the courage to deliver. It should not repeat the mistake of 2023.

That policy decision led to more than a year and a half of confusion, litigation, public distrust, and widespread concern about children and youth access to nicotine e-cigarette products, especially now that drug-laced vapes containing etomidate are on the illicit market. Though now in operation, the Control of Smoking Products for Public Health Act 2024 (Act 852) does not directly address this exemption of liquid and gel nicotine and provides no remedy.

The tobacco industry will argue that higher taxes will fuel illicit cigarettes. Yes, that risk is real, but it is not a reason for paralysis.

It is a reason for better enforcement, Customs capacity, border control, and action against corrupt practices. We should not allow the existence of illicit trade to become a permanent excuse for keeping tobacco cheap.

The High Court decision gives the government a real chance to reset, a second bite at the cherry. It can stop defending a bad decision and start making a better one. It can avoid a prolonged legal battle. It can recover potential lost revenue. It can protect children and young people from nicotine addiction. It can reduce smoking-related disease.

It can save lives.