The illicit vape market in Singapore generated about $10.4 million in revenue between 2024 and 2025, according to reports by the EU-ASEAN Business Council and Euromonitor International [1, 2, 3]. During the same period, illicit tobacco sales, primarily illicit cigarettes and e-vaporisers, caused an estimated $156 million in lost government revenue in Singapore [1, 2, 3].
Across the ASEAN region, which includes Singapore, Malaysia, Indonesia, Thailand, Vietnam, and the Philippines, the illicit tobacco trade led to a combined government revenue loss of approximately US$13.1 billion (ranging between $16.6 billion to $16.8 billion), according to the same sources [1, 2, 3]. Illicit cigarettes and e-vaporisers are largely produced in Indonesia and Cambodia, with additional supplies coming from China [1, 2, 3].
Malaysia, Singapore, and Vietnam act as key distribution hubs for these illicit tobacco products [1, 2, 3]. Malaysia had the largest illicit e-vape market in ASEAN in 2025, generating about $475 million in revenue and recording the highest illicit cigarette incidence rate at 57% [1, 2, 3]. By comparison, Singapore recorded one of the lowest illicit cigarette incidences among the six ASEAN nations, remaining below 6% [3].
The illicit tobacco trade thrives through online sales and exploits trade routes and Free-Trade Zones, making syndicate disruption difficult due to the use of encrypted platforms [1, 2, 3]. Singapore has responded by enhancing tough penalties for illicit vapes and tobacco, which has led to increased seizures of illegal products [1, 2, 3].
Mr. Chris Humphrey, Executive Director of the EU-ASEAN Business Council, said, “Its impacts are wide-ranging, spanning economic, public health and security challenges. If left unchecked, illicit trade could jeopardise ASEAN’s economic future as a global growth engine” [1]. He also warned that “the scale of illicit trade in ASEAN is underestimated and growing at an alarming pace” [2].
The EU-ASEAN Business Council and Euromonitor International published their report on the illicit tobacco trade on May 18, 2024 [1, 2, 3]. Efforts to disrupt the illicit networks will continue amid ongoing enforcement and penalties targeting smugglers and distributors of illegal tobacco products in Singapore and the wider ASEAN region.
