Myanmar’s Customs Department issued an internal order reducing customs duty on imports of semi-knocked-down (SKD) and completely knocked-down (CKD) vehicle systems effective for the period of June 1, 2023, to May 31, 2024. The order follows Ministry of Planning and Finance (MOPF) Notification 37/2023, which reduced customs duty on SKD and CKD vehicles and repealed the similar MOPF notifications issued in 2020 and 2021.
The order announced the following new customs duty rates for SKD systems:
- Passenger vehicles: 5% (reduced from 7.5%)
- Motorcycles: 1.5% (reduced from 3%)
- Three-wheeled motorcycles: 3% (reduced from 7.5%)
- Buses: 3% (reduced from 7.5%)
- Trucks and trucks for body building: 3% (reduced from 7.5%)
The customs duty rates for CKD systems have been set as follows:
- Passenger vehicles: 3% (reduced from 5%)
- Motorcycles: 1.5% (reduced from 3%)
- Three-wheeled motorcycles for transportation of passengers: 1.5% (reduced from 5%)
- Three-wheeled motorcycles for transportation of goods: 3% (reduced from 5%)
- Buses: 3% (reduced from 5%)
- Trucks and trucks for body building: 3% (reduced from 5%)
The September 2021 suspension of permits for the import of new completely built-up (CBU) vehicles from abroad is unlikely to be impacted by the announcement.
For more details on these customs duty reductions, or on any aspect of Myanmar’s regulations surrounding international trade, please contact Tilleke & Gibbins at myanmar@tilleke.com.
For further information, please contact:
Aye Thuzar Hlaing, Tilleke & Gibbins
AyeThuzarHlaing@tilleke.com
