Malaysia’s Vaping Market Surges 53% — Huge Opportunities for Chinese Manufacturers

Malaysia is a major smoking country, with smokers accounting for one-quarter of its total population. As living standards and health awareness improve, smokers are beginning to seek healthier smoking alternatives. Malaysia is also the world’s third-largest producer of e-liquid, which means vaping products sell extremely well in the Malaysian market.

Recently, the Malaysian Vape Chamber of Commerce released the 2023 Malaysia Vaping Industry Study. According to the report, as more and more cigarette users switch to vaping products, the number of consumers has also increased. Retail value surged by about 53% from RM2.27 billion in 2019 (approximately RMB3.56 billion) and is expected to reach RM3.48 billion this year (approximately RMB5.47 billion)!

The study reveals that Malaysia’s vaping industry is rapidly disrupting traditional cigarettes. About 31% of Malaysian smokers have completely switched to vaping products, while 69% of cigarette users also use vaping products, with as many as half using them to quit smoking completely.

The report also points out that the vaping industry’s contribution to the economy has increased significantly, and employment related to vaping has also risen.

At present, about 7,500 retail stores sell vaping products, and 2,500 retail stores sell vaping products. From 2015 to 2022, the number of industry workers increased from 15,000 to 31,500.

(DKECE Malaysia team store visit)

Malaysia has long enjoyed a large and thriving vaping market and is also one of the world’s largest vaping markets. The vaping industry has enormous potential in Malaysia, which will stimulate the development of small and medium-sized enterprises, create jobs for the government to support, and generate tax revenue. In addition, Malaysia’s vaping industry currently has a mature ecosystem, which places the country in a favorable position to attract high-quality foreign direct investment and further strengthen the vaping business ecosystem.

For domestic vaping companies, expanding into the Malaysian market is an important strategic opportunity. Malaysia has a broad consumer market and relatively strong purchasing power. Vaping products offer stylish design and advanced functionality, matching local young consumers’ demand for personalized and trendy products. Demand for vaping products in the Malaysian market is expected to continue growing. Therefore, vaping manufacturers should seize the opportunity, increase efforts to develop the Malaysian market, and improve product awareness and market share.