qF0qtXvQ-13-1024x678

Kyinsankyawt border sees abolition of driver-substitution system

Driver-substitution system has been put an end at Kyinsankyawt checkpoint of Muse trade zone for Sino-Myanmar trade from 18 February 2023, said Sai Khin Maung of Khwarnyo Fruit Trading Centre.
Consequently, drivers are allowed to directly pass the border point with their own trucks, by holding a valid border pass. “Myanmar’s truck drivers were given the go-ahead to pass Kyinsankyawt road part from 18 February 2023. They must hold blue border pass documents. That being so, there is no longer short-haul driver service on China’s side,” Sai Khin Maung continued.

Earlier, China banned Myanmar trucks and drivers to enter its side owing to the COVID-19 protocols and only Chinese short-haul drivers have been allowed to transport the goods. Thereafter, Myanmar trucks have been given green light for border-crossing through the Kyinsankyawt-Wang Ding trade channel under the driver-substitution system starting from 16 May 2022. There was no responsibility and accountability if goods were damaged under the driver-substitution system. Therefore, Myanmar exporters choose short-haul driver services and bear high freight costs.

China shut down all the checkpoints linking to the Muse border amidst the COVID-19 pandemic. Of the checkpoints, Kyinsankyawt has resumed trading activity from 26 November 2021. Trade activity at the Muse-Mang Wein border, which performed the majority of trade between Myanmar and China, resumed on 14 January 2023. However, only six-wheel trucks driven by Myanmar drivers are allowed to pass the Mang Wein crossing. Other trucks and travellers are still not entitled to enter the border.

Additionally, other goods except for agricultural products (watermelon, muskmelon), minerals and fisheries products are allowed to be sent to China through that border. Meanwhile, China gives the go-ahead to the imports of construction goods, electrical appliances, medical devices, industrial equipment, consumer goods, household goods and food products only through that border. Myanmar has opened five border trade posts with China – Muse, Lweje, Kampaiti, Chinshwehaw and Kengtung. The majority of the trade is carried out through Muse post, Ministry of Commerce’s data indicated. 

Source: The Global New Light of Myanmar

Best-metros-for-electric-cars-2

MIC to prioritize electric vehicles and related business sector

Myanmar Investment Commission (MIC) released a notification dated 15 February that it will give priority to electric vehicles (EVs) and related business sectors. In the exercise of the power conferred by Sections 43 and 100 (B) of the Myanmar Investment Law, the MIC issued this statement with the approval of the Union government. Enterprises executing installation, manufacturing and restoration services of the EVs, renewable electricity generation, EVs charging service businesses, electric vehicle battery production, EV battery and related service business, electric bus operation services, electric taxi and transportation service businesses and scientific research development business are included in those priority sectors.

During the establishment and ideation phase for incorporation and operations, those businesses can seek a permit from the MIC to enjoy tariff relief or zero-customs tariff status and the exemption for other taxes levied in the country under Section (A) of the Myanmar Investment Law and income tax exemption under Section 75 (C) of the Myanmar Investment Law for the importations of machinery, essential equipment and accessories, spare parts and construction raw materials that cannot be found in domestic markets.

Electric vehicles (EVs) are entitled to zero-Customs tariff status, according to the notification released in early November 2022 by the Ministry of Planning and Finance. To encourage the number of EV users and improve the related business, the tariff of battery electric vehicles (BEVs) imported under Completely Built Up (CBU), Completely Knocked Down (CKD) and Semi-Knocked Down (SKD) in the Customs Tariff of Myanmar 2022 were reduced to zero per cent keeping in line with the decision of the Union government.

Types of BEVs include road tractors for semi-trailers, buses or motor vans for the transport of ten or more people including the driver, truck, motor vehicle for personal use, three-wheeled vehicles for the transport of persons, three-wheeled vehicles for the transport of goods, electric motorcycles, electric bicycles, ambulances, prison vans and hearses. According to this directive, the imports of spare parts (for instance, charging station equipment and device) with the recommendation of the Ministry of Electricity and Energy and the spare parts with the recommendation of the Department of Industry can be done between 2 November 2022 and 31 March 2023. 

Source: The Global New Light of Myanmar