KUALA LUMPUR, Nov 18 (Bernama) — British American Tobacco (Malaysia) Berhad (BAT Malaysia) today announced that the prices of its cigarette brands will be adjusted following the increase in excise duty announced under Budget 2026.
BAT, in a statement, said the revised cigarette prices, approved by the Health Ministry, would take effect from Friday (Nov 21).
It said the new pricing would range between RM12.40 and RM18.40.
BAT Malaysia managing director Nedal Salem believes that the government is taking a step in the right direction by announcing a moderate excise increase, given that the last excise announcement was made 10 years ago, amidst the current economic environment.
“We note that significant increases in cigarette prices have historically contributed to the expansion of the tobacco black market, which currently accounts for 54 per cent of total cigarette consumption in Malaysia,” he said in the statement.
He said that throughout 2025, the enforcement agencies have done a tremendous job in tackling the tobacco black market, with Prime Minister Datuk Seri Anwar Ibrahim announcing that these efforts have saved RM15.5 billion over the past two years.
In addition, Nedal said the recent allocation of RM700 million to enhance enforcement is highly encouraging and demonstrates the positive impact of their efforts.
“We fully support the government’s ongoing initiatives and enforcement actions to address this long-standing issue,” he added.
On Oct 10, Anwar, when tabling Budget 2026, said the excise duty on cigarettes would increase by two sen per stick; cigars, cheroots and cigarillos by RM40 per kilogramme (kg); and “heated tobacco” products by RM20 per kg.
— BERNAMA