Yangon - The Ministry of Commerce has announced a further relaxation of customs duties on Semi-Knocked Down (SKD) and Completely Knocked Down (CKD) vehicles and motorcycles assembled within the country, in a move aimed at supporting economic recovery and boosting local micro, small, and medium enterprises (MSMEs).

According to an official statement, the policy—approved by the Myanmar Investment Commission—will be effective from June 1, 2025, to May 31, 2026. The revised tariff structure significantly lowers import duties across a range of vehicle types and engine capacities.

For passenger vehicles, the new rates are: vehicles with engine capacity above 2,000 cc: Duty reduced from 7.5% to 5%, vehicles with engine capacity 2,000 cc or below: Duty reduced from 5% to 3%, three-wheeled passenger motorcycles will see a reduction from: 7.5% to 3% for SKD units, 5% to 1.5% for CKD units, for three-wheeled cargo motorcycles: SKD units: Duty cut from 7.5% to 3%, CKD units: Reduced from 5% to 3%, buses will also benefit from the revised rates: SKD: 7.5% to 5%, CKD: 5% to 3% respectively. Meanwhile, motorcycles assembled using either SKD or CKD systems will see duties halved—from 3% to 1.5%.