Cambodia’s new Law on Rules of Origin, which was published on July 5, 2023, is an important legal development that will help the country become a more important trading, manufacturing, and processing hub in the ASEAN region. This legal development accords with the government’s aims to increase consumer protection and clarity on product origin, encourage cross-border trade, position Cambodia as a source for quality manufacturing and processing, and push the “Made in Cambodia” quality label. These new, much clearer rules of origin also bring Cambodia’s legal framework in line with trading obligations set by ASEAN and the WTO. Furthermore, the new rules help clarify the implementation of several multilateral and bilateral trade agreements that Cambodia has concluded in recent years, such as free trade agreements with China and South Korea and the Regional Comprehensive Economic Partnership. Rules of Origin and Cambodia’s Role In international trade, products often make multiple trips before they end up with the consumer—the raw materials may be sourced in one country and processed in another, and then the product may be finished in a third country before the finished product is exported to a different country altogether. Rules of origin determine which country in the production chain qualifies as the country of origin. This is important because the country of origin may be subject to a preferential trading scheme, or there may be legal requirements to declare the correct origin in the country of sale, for example, based on labeling and consumer protection rules. Prior to the new Law on Rules of Origin, ad hoc rules of origin applied in Cambodia, often depending on bilateral agreements, multilateral agreements, or international preferential trading schemes. For example, the EU, US, and Japan have individually adopted preferential trading schemes with selected countries through Generalized Scheme of Preferences (GSP)

On July 13, 2023, the Central Bank of Myanmar (CBM) lowered the percentage of export income in foreign currency that must be converted into Myanmar kyat (MMK) within one day of receipt. The changes are contained in CBM Notification No. 15/2023, which took effect immediately. The notification specifies that only 50 percent of export income in foreign currency must be converted into MMK at official CBM rates within one day, in accordance with Myanmar’s requirement to convert foreign currency transfers and balances. The remaining 50 percent of the export earnings must be converted into MMK if the exporter does not use it within 30 days. The 50 percent requirement is a relaxation from the previous rules in CBM Notification No. 36/2022, under which 65 percent of income received from exportation needed to be converted into MMK within one day. Therefore, the new requirement grants a certain amount of flexibility to exporters in Myanmar regarding the currency conversion requirement. For more details on these foreign exchange developments, or on any aspect of financial regulations in Myanmar, please contact Tilleke & Gibbins at [email protected].

Following Laos’ announcement requiring importers and exporters to register with the Ministry of Industry and Commerce (MOIC), the MOIC has released a comprehensive list of products that are subject to the registration requirement. Traders that import or export goods on the list, which was finalized on June 9, 2023, and made public on June 28 in MOIC Notification No. 1224, must register with the MOIC by August 31, 2023, to obtain a certificate authorizing their import or export activities. The notification specifies four main categories of goods for which importers and exporters must register with the Department of Import and Export (DIMEX) of the MOIC: agricultural products, construction materials, and edible and nonedible consumer goods. The exact products in each category are listed below, along with the corresponding Harmonized System codes from the World Customs Organization: Enterprises engaged in the import and export of the goods listed in the table above must complete registration by August 31, 2023. Imports and exports of the listed goods by any enterprise not registered with the DIMEX will be prohibited after the deadline. The MOIC is also expected to add certain goods to the list in the future, but information on the timing and content of these additions is not yet available. Enterprises that have completed registration must also ask the Bank of Lao PDR (BOL) to certify their accounts held at commercial banks, after which they must ask the relevant commercial banks to convert their current bank accounts into import-export accounts. For more details on Laos’ new registration rules for importers and exporters, or on any aspect of international trade involving Laos, please contact Tilleke & Gibbins at [email protected].

Practitioners from Tilleke & Gibbins’ Vietnam offices contributed content for the latest edition of the Practical Law Life Sciences Global Guide. The guide provides a comparative overview, in Q&A format, of laws and regulations on pharmaceuticals, medical devices, and other life sciences products in dozens of jurisdictions around the world. The Life Sciences Global Guide is divided into two sections: Regulation (see more details here) and Commercialization, which covers the following topics: Overview of the life sciences sector Pricing, government funding, and reimbursement: National health care system, price regulation and reimbursement Distribution and sale Cross-border trade and parallel imports Advertising to the public and engagement with patient organizations Advertising to healthcare professionals and organizations: Gifts and incentives and transparency and disclosure Patents: Conditions for patentability, registration, length of protection, infringement, international treaties Trademarks: Requirements, registration Competition law issues: Authorities and legislation, commercial contracts and competition law, licensing approvals and formalities Product liability: Regulators, medicinal product liability law, liable partners, defenses, product liability claims, remedies Practical Law, produced by Thomson Reuters, is the world’s leading legal know-how resource for business lawyers, publishing a huge range of guides covering hundreds of jurisdictions and practice areas. The full “Life Sciences Commercialization in Vietnam” section can be found on the Practical Law website.