The Malaysian Ministry of Health recently clarified that although the foreign company Ispire has obtained a manufacturing license to produce nicotine-containing e-cigarette devices, the license is limited to export and does not include local sales rights. According to the Tobacco Control Products Act 2024, all e-cigarette products must be registered with the Ministry of Health before they can be sold in Malaysia.

According to a report by Malaysian media theedge on June 4, the Malaysian Ministry of Health (MOH) clarified that although Ispire Technology Inc has obtained a manufacturing license to produce electronic cigarette devices containing nicotine gel or e-liquid, it has not been authorized to sell them in the local market. The Ministry of Health reiterated that the license was issued by the Malaysian Ministry of Investment, Trade and Industry (Miti) and is only for export.

According to a report by Malaysian media theedge on June 4, the Malaysian Ministry of Health (MOH) clarified that although Ispire Technology Inc has obtained a manufacturing license to produce electronic cigarette devices containing nicotine gel or e-liquid, it has not been authorized to sell them in the local market. The Ministry of Health reiterated that the license was issued by the Malaysian Ministry of Investment, Trade and Industry (Miti) and is only for export.

The Ministry of Health pointed out that any organization that plans to import, produce or distribute tobacco products locally must apply for product registration from the Ministry of Health. The Ministry of Health regulates products including e-cigarette oils in accordance with the Public Health Tobacco Control Products Act 2024 (Act No. 852).

The Ministry of Health previously confirmed in a statement that a foreign company had been granted an interim manufacturing license to produce nicotine-containing e-cigarette devices. The statement responded to media reports in late May about Nasdaq-listed Ispire obtaining a license, which it described at the time as "Malaysia's first and only nicotine manufacturing license."

The report said Ispire is engaged in the research and development, design, sale, commercialization, marketing and distribution of e-cigarette products and its own brand of e-cigarettes. It has been approved to start product production in Johor, which has banned the sale of e-cigarettes since 2016. The company first disclosed the license information in a filing with the U.S. Securities and Exchange Commission on May 22, although few details were provided at the time.

According to an Ispire investor presentation in March this year, Ispire has been operating at its 31,000 square foot factory in Johor Bahru since February 2024, with up to seven production lines.

The second phase of the factory expansion is scheduled to begin at the end of 2025, when the area will expand to 86,000 square feet, with a manufacturing capacity of 61 million devices or 107 million cartridges per month. Ispire co-CEO Michael Wang said the facility will expand to 80 production lines in the future.

In addition to Johor, the states of Terengganu, Perlis and Kedah have also banned e-cigarette sales or suspended the issuance of relevant licenses. Critics believe that the approval of Ispire Technology Inc will give the impression that the Johor state government supports the e-cigarette industry.

"Malaysia aims to become a smoke-free country by 2040, but this licence is inconsistent with its goal," said health expert Dr Zainal Ariffin Omar.