The prices of locally-produced semi-knocked down (SKD) imported cars and Japanese used cars have risen, and some SKD manufacturers are facing difficulties, according to vehicle importers.

"Car prices are going up these days. Not the price of all cars is increased, but Hyundai Accent, Suzuki Ertiga, and Suzuki Ciaz, which are SKD cars. SKD production is a problem for all brands and has to be stopped. Some are not allowed to buy foreign currency and some are not allowed to import. It is said that car assembly is not an essential part and it is not easy to get the permit to use foreign currency. In such a situation, the demand for SKD cars (the most popular and most used) is increasing daily due to the scarcity of brand new cars for around 40 or 50 million kyats,” wrote Ko Kyi Thar Han of Suzuki KL Seven on social media.

At present, the price of a Suzuki Ertiga has risen to around 47 million kyats.

According to some car buyers, some SKD cars, which are locally manufactured, cannot be delivered on time due to import problems.

In the second-hand car market, Japanese used car prices have increased, according to car dealers.

"It is true that prices have risen. Last month I bought a 2005 model Toyota Fielder taxi for 24.5 million kyats. Now the offer for the care is 27 million kyats,” said a car dealer.

In addition, price of a Honda Fit car reached at least 25 million kyats depending on the model, according to car dealers.

Among second-hand Japanese cars, the price of cars worth over 100 million kyats is stable. The price of vehicles worth around 18 million kyats has risen to around 25 million kyats and price of vehicles worth around 50 million kyats has risen to around 60 million kyats.

An official from the Ministry of Commerce said at a press conference in Nay Pyi Taw that the import of luxury goods, including individual vehicle permits, has been temporarily suspended.

"Currently, the import of luxury goods such as individual permits is restricted," the official said.

SAC spokesperson Maj-Gen Zaw Min Tun said at the press conference that unnecessary foreign currency flows are systematically blocked.