Bhutan to Impose 115% Tax on E-cigarettes Starting January 2026

Nov.05

The Ministry of Health (MoH) of Bhutan has announced stronger actions to combat the growing threat of e-cigarette use, especially among youth. While no new vaping-related lung collapse cases have been reported since 2024, the MoH confirmed that fiscal and legal reforms are underway to include e-cigarettes in tax and tobacco control laws starting January 2026.

Key Points

No new health cases: JDWNR Hospital reported no further vaping-related lung collapse cases since 2024.
Youth vaping concerns: MoH expressed growing alarm over rising vape use among young Bhutanese.
Tax reforms: Parliament approved a bill imposing 115% total tax on e-cigarettes, effective January 2026.
Regulatory expansion: Tobacco Control Rules will be revised to explicitly include e-cigarettes, vapes, and heated tobacco.
Goal: Align fiscal and legal systems to curb consumption and protect public health.

2firsts,November 5, 2025——The Ministry of Health (MoH) of Bhutan is taking proactive steps to address the increasing use of e-cigarettes, which officials describe as an emerging threat to youth health nationwide.

According to the Jigme Dorji Wangchuck National Referral Hospital (JDWNRH), no new cases of vaping-related lung collapse have been recorded since two incidents last year at Lungtenphu Hospital.

“Apart from what is already mentioned, we have no record of any further similar cases of lung collapse due to vaping. Should similar cases occur, we will duly record them,” said Health Minister Tandin Wangchuk.

MoH reaffirmed that it is closely monitoring all reported cases and working with relevant agencies to strengthen prevention and control.

Contrary to public belief, the ministry clarified that e-cigarettes are not tax-exempt. The Parliament has approved new fiscal measures imposing a combined 115% tax on vaping products, including 100% excise, 10% customs duty, and 5% GST, effective January 2026.

Devices for e-cigarettes will also face a 20% excise tax, in addition to customs and GST. The government aims to both protect youth and secure stable fiscal revenue.

Revisions to the Tobacco Control Rules and Regulations will explicitly include e-cigarettes, vapes, and heated tobacco products, strengthening oversight of import, sale, and use. The Tobacco Control Act, which predates these products, will also be updated to remain relevant to current challenges.

Health Minister Wangchuk said the government continues to enforce strict bans on advertising, promotion, and sponsorship of tobacco and related products, including e-cigarettes, to reduce their appeal—particularly among young people.

Image source: Bhutanese

References:

[1] MoH introduces new measures to regulate and tax e-cigarettes as youth vaping concerns rise

Also Read:

[1] Bhutan Implements New Tax Framework to Combat Non-Communicable Diseases and Reduce Alcohol and Tobacco Consumption

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn

Notice

1. This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2. The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3. This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4. Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

Copyright

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

AI Assistance Disclaimer

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

ceshi

Nov.04

France plans to impose new taxes on e-liquids, with the vape industry association warning of unemployment risk

French government proposes tax on e-liquid, sparking concerns over job losses and increased smuggling and underage sales risks.

Oct.16 by 2FIRSTS.ai

Juul Wins UK Court Injunction, Ending Five-Year Legal Battle Against Chinese Vape Infringers

The UK High Court has granted U.S. e-cigarette manufacturer Juul Labs a permanent injunction against four Chinese companies, bringing an end to a five-year patent and trademark infringement case. The defendants — Greensun Technology, Ouch, Gaish, and Airsmo Tech — failed to respond to any court communications or legal filings.

Oct.30 by 2FIRSTS.ai

EPO Invalidates Philip Morris Heated Tobacco Patent After Imperial Brands Challenge

The European Patent Office invalidated Philip Morris International’s heated tobacco patent, ruling it lacked inventiveness after a challenge by Imperial Brands’ subsidiary Fontem Ventures BV.

Oct.11 by 2FIRSTS.ai