BAT Malaysia To Increase Cigarette Prices Starting November 21

Kuala lumpur: 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).

According to BERNAMA News Agency, the new pricing will range between RM12.40 and RM18.40. BAT Malaysia's managing director, Nedal Salem, expressed support for the government's decision to announce a moderate excise increase, noting that the last such announcement occurred a decade ago. Salem highlighted the potential risks of significant price hikes, which historically have fueled the growth of the tobacco black market, currently comprising 54% of Malaysia's total cigarette consumption.

Salem praised the efforts of enforcement agencies throughout 2025, which Prime Minister Datuk Seri Anwar Ibrahim acknowledged as having saved RM15.5 billion over the past two years. Additionally, the recent allocation of RM700 million to bolster enforcement efforts has been positively received as a demonstration of the impactful measures being taken to combat the tobacco black market.

On October 10, during the tabling of Budget 2026, Prime Minister Anwar Ibrahim announced an excise duty increase of two sen per cigarette stick. The duty for cigars, cheroots, and cigarillos will rise by RM40 per kilogram, while "heated tobacco" products will see an increase of RM20 per kilogram. BAT Malaysia has expressed its full support for the government's ongoing initiatives and enforcement actions to tackle this persistent issue.