You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

June 11, 2025

Myanmar Regulates EV Imports and Reduces Fuel Vehicle Customs Duties

Subscribe to Updates

Myanmar’s Ministry of Commerce has established new regulatory measures for importing electric vehicles (EVs) as part of a pilot project running from January 2025 to March 31, 2026, while the Ministry of Planning and Finance has reduced customs duty rates for fuel-powered vehicles manufactured domestically under semi-knocked down (SKD) and completely knocked down (CKD) systems, effective June 1, 2025, to May 31, 2026.

Importation of EVs

On May 29, 2025, Myanmar’s Ministry of Commerce (MOC) issued an announcement regarding the importation of EVs from abroad as part of its pilot project, detailed in MOC Notification No. 40/2025.

The MOC notification establishes the following regulatory measures to support the development of EVs and related businesses:

  • Approval must be obtained from the National-Level Steering Committee for the Development of Electric Vehicles and Related Enterprises.
  • A registration certificate for an EV sales showroom must be secured.
  • Vehicles must be imported in accordance with the permitted number and standards defined by the National-Level Steering Committee for the Development of Electric Vehicles and Related Enterprises.
  • The importing company must provide necessary arrangements for warranties on imported EVs, spare parts, and after-sales services.

For companies wishing to open a sales showroom, the following requirements apply:

  • The company must be a registered national or joint venture entity with the Directorate of Investment and Company Administration.
  • The company must be officially appointed as a distributorship or dealership by the original company or regional office for each brand.
  • A permit from the respective state or regional government and a business license from the respective Municipal Committee must be obtained.
  • The company must provide evidence of tax clearance issued by the Internal Revenue Department.
  • Standards for the showroom, building, and warehouse, as issued periodically by the MOC, must be adhered to, including:
    • Compound area: 10,000 square feet (the total area for the showroom, service center, and waiting room must be 5,000 square feet).
    • Warehouse: 5,000 square feet (with a roof and shelter already constructed, and its contents cleared).
    • Showroom features: The front and sides must feature glass windows and comply with international standards.
    • Signboard: 50 square feet, displaying the trademark of vehicles for which the distributor or dealer has been appointed, in accordance with international standards.
    • Distance from the road: 12 feet.
    • The showroom must be located in a building that does not serve as residential housing.
    • If the compound area meets the standards, the showroom and warehouse may be joined.
    • A 10% deviation from the area requirements may be allowed depending on the location.
  • The showroom and warehouse must be within the same state or region.
  • A bank guarantee of MMK 500 million deposited with the Central Bank of Myanmar is required from the importing company.

The MOC notification specifies that the EVs covered are battery electric vehicles (BEVs), including both cars and buses. It will be effective from January 2025 to March 31, 2026.

Customs Duty Rates for Fuel-Powered Vehicles

On June 4, 2025, the Ministry of Planning and Finance (MOPF) issued Notification No. 39/2025, which reduces customs duty rates for the import of fuel-powered vehicles to be manufactured domestically under SKD and CKD vehicle systems.

The MOPF notification announced the following new customs duty rates for SKD systems:

  • Passenger vehicles of 2000 cc and below: 5% (reduced from 7.5%)
  • Passenger vehicles of 2001 cc and above: 5% (reduced from 7.5%)
  • Three-wheeled motorcycles (passenger): 3% (reduced from 7.5%)
  • Three-wheeled motorcycles (cargo): 3% (reduced from 7.5%)
  • Buses: 3% (reduced from 7.5%)
  • Trucks and trucks for body building: 3% (reduced from 7.5%)
  • Motorcycles: 1.5% (reduced from 3%)

The customs duty rates for CKD systems have been set as follows:

  • Passenger vehicles of 2000 cc and below: 3% (reduced from 5%)
  • Passenger vehicles of 2001 cc and above: 3% (reduced from 5%)
  • Three-wheeled motorcycles (passenger): 1.5% (reduced from 5%)
  • Three-wheeled motorcycles (cargo): 3% (reduced from 5%)
  • Buses: 3% (reduced from 5%)
  • Trucks and trucks for body building: 3% (reduced from 5%)
  • Motorcycles: 1.5% (reduced from 3%)

The reduced customs duty rates for SKD and CKD vehicle systems are effective from June 1, 2025, to May 31, 2026.

Related Professionals

Industries

Automotive

Practices

Customs and International Trade

Location

RELATED INSIGHTS​ 

July 18, 2025
Vietnam’s electric vehicle (EV) industry is experiencing rapid growth, driven by a strong wave of new legislation, strategic plans, and government incentives. The government’s clear commitment to electrification is attracting foreign investment, supporting advanced production, and reducing reliance on internal combustion engine (ICE) imports. Recent national strategies, sector regulations, and technical standards demonstrate a rare level of regulatory momentum in Southeast Asia, positioning Vietnam as a competitive player in the global EV supply chain and an attractive market for foreign investors. An overview of legal developments for the EV sector in Vietnam is presented below. National Action Program for Green Transportation A key driver of Vietnam’s EV growth has been the National Action Program for Green Transportation through 2050 stipulated in Decision No. 876/QD-TTg of the prime minister dated July 22, 2022. The National Action Program sets a detailed roadmap for the green energy transition in road transport. For the period 2022–2030, the focus is on promoting the manufacturing, assembly, import, and conversion of road motor vehicles to electric power, expanding the use of 100% E5 gasoline for road vehicles, developing charging infrastructure to meet the needs of residents and businesses, and encouraging both new and existing bus stations and rest stops to meet green criteria. For the period 2031–2050, the roadmap aims to gradually restrict and ultimately cease by 2040 the manufacturing, assembly, and import of fossil fuel-powered cars, motorcycles, and mopeds for domestic use. By 2050, the goal is for 100% of road motor vehicles and construction vehicles participating in traffic to use electricity or green energy, for all bus stations and rest stops to meet green criteria, and for all machinery and equipment for loading and unloading to transition from fossil fuels to electricity or green energy. The program also calls for the completion of nationwide
Read More
June 12, 2025
Thailand’s Ministry of Finance has issued a royal decree placing the business of hire purchase and leasing of cars and motorcycles under the scope of the Financial Institution Business Act B.E. 2551 (2008), effective December 2, 2025. This is to ensure appropriate regulatory oversight of these business activities, as they function similarly to credit granting and serve as a source of funding for the public with a broad impact on the overall economic system and consumers at large. The business operators that this royal decree applies to include corporate entities engaging regularly in the business of hire purchase or leasing of cars or motorcycles, currently excluding: Financial institutions and specialized financial institutions. Individuals operating such businesses (noncorporate entities). Cooperatives. Key regulatory obligations of this royal decree include the following: Business operators must disclose interest rates, service fees, and other relevant business information to the public and report to the Bank of Thailand (BOT). Business operators must display how the annual percentage rate (APR), including all annual charges covering interest and service fees, is calculated. Business operators must maintain accurate accounting records in accordance with recognized accounting standards. The BOT may issue warnings or suspend operations if business operators fail to comply with this royal decree or act unfairly in a way that may result in serious harm to customers. Directors, managers, and responsible persons of any business operator that violates this royal decree may also be subject to the prescribed penalties. Before the royal decree takes effect, business operators should conduct internal assessments and engage with counsel to prepare for regulatory implementation. The BOT is expected to issue further subordinate regulations and guidance regarding: Interest, service fees, deposits, collateral, benefits, and penalties that may be charged by business operators. Contract content, methods of benefit calculation, and format in conducting
Read More
May 28, 2025
Tilleke & Gibbins attorneys in Vietnam have contributed the 2025 edition of Doing Business in Vietnam, a comprehensive Q&A-style resource from Thomson Reuters Practical Law that provides essential insights for companies navigating business operations in Vietnam. The guide presents a detailed overview of the country’s legal framework and regulatory environment, reflecting recent updates in Vietnamese legislation and practice. This annually updated guide offers key information on the following areas: Legal system: Structure of the Vietnamese judiciary and the role of codified law. Foreign investment: Conditions for market access, licensing requirements, foreign ownership restrictions, and investment incentives. Business vehicles: Formation and operation of legal entities, including limited liability companies, joint-stock companies, and representative offices. Employment: Employment contracts, social insurance, labor rights, and procedures for hiring foreign nationals. Tax: Overview of corporate income tax, personal income tax, value-added tax, and other tax obligations. Intellectual property: Procedures for protecting and enforcing patents, trademarks, copyrights, and other IP rights. Data protection: Compliance requirements under Vietnam’s data privacy laws, including the Personal Data Protection Decree. Competition law: Antitrust rules and regulatory oversight under the Law on Competition. Anti-bribery and corruption: Legal framework and enforcement practices aimed at curbing corrupt activities. E-commerce and digital business: Regulations governing online platforms, digital content, and cross-border services. Marketing and advertising: Laws and guidelines on advertising standards and consumer protection. Product regulation and liability: Safety requirements, product liability issues, and roles of relevant authorities. Doing Business in Vietnam is part of Practical Law’s global series of legal guides designed to support international practitioners and businesses. To access the most recent edition of the Vietnam guide, visit the Practical Law website and sign up for a free trial.
Read More
May 2, 2025
Attorneys from Tilleke & Gibbins have updated the latest edition of Doing Business in Thailand, a Q&A-style guide from Thomson Reuters Practical Law that offers an overview of key legal considerations for companies operating in jurisdictions worldwide. The contribution outlines the country’s legal and regulatory framework for foreign investment and business operations and reflects the latest legislative developments. The chapter addresses the following core topics: Legal system: Structure of the courts and the codified nature of Thai law. Foreign investment: Business restrictions under the Foreign Business Act, sector-specific regulations, exchange control rules, and investment incentives. Business vehicles: Overview of partnerships, private and public limited companies, and other legal entities. Employment: Labor protections, employment contracts, foreign worker requirements, and termination procedures. Tax: Corporate and personal income tax, indirect taxes, and tax obligations for residents and non-residents. Intellectual property: Registration and enforcement of patents, trademarks, designs, and copyrights. Data protection: Key provisions of the Personal Data Protection Act and related compliance obligations. Competition law: Regulatory framework under the Trade Competition Act. Anti-bribery and corruption: Relevant legislation and enforcement mechanisms. E-commerce and digital business: Legal regime for online transactions and digital platforms. Marketing and advertising: Consumer protection laws and regulations affecting advertising and marketing practices. Product regulation and liability: Safety standards, liability regimes, and roles of enforcement authorities. Practical Law, a legal reference resource from Thomson Reuters, publishes a range of guides for hundreds of jurisdictions and practice areas. The insurance and reinsurance guide is a valuable resource for legal practitioners, covering numerous jurisdictions worldwide. To view the latest version of the guide, please visit the Practical Law website and enroll in the free Practical Law trial to gain full access.
Read More