Delay sought in Myanmar's left-hand drive car change

YANGON - Myanmar's attempt to make left-hand-drive cars compulsory should become law only at the end of 2018 to mitigate negative impacts on auto companies and consumers, said consumers and industry players.

Soe Tun, president of Myanmar Automobile Manufacturers and Distributors Association (MAMDA) and CEO of Farmer Auto Showroom, said the association proposed that the change be carried out at the end of 2018. 

Personally, he said he supported the change as it complies with the existing drive-on-the-right traffic system for ensuring road safety in Myanmar. But he stressed it needs to be a smooth transition, given that showrooms in Myanmar have about 40,000-50,000 of right-hand drive vehicles in stock. “It will take one or two years to sell all,” he said, adding that a quick change would severely hurt importers. 

The government is considering ending the registration of right-hand-drive cars next year. Only left-hand-drive vehicles can be registered. An estimated 90 per cent of the vehicles in the country is right-hand drive despite the decades-long rule that citizens must drive on the right.

As the rule will directly hurt importers, MAMDA is seeking consultations with the Road Transportation Administration Department on the timeline, said Soe Tun. He added that the switch in a short period would pose problems. From approximately 30,000-40,000 left-hand-drive cars currently available in showrooms, only 1-2 per cent are brand new, he said.

Meanwhile, the market is dominated by Japanese used cars thanks to affordable prices, low maintenance costs and availability of spare parts. Most of them are right-hand-drive. 

Soe Tun noted that when the rule takes effect, more left-hand-drive cars from South Korea and China would be imported, as they are cheaper than European brands. 

He said the government needs to consider seriously how people will benefit from the policy change. 

Kyaw Ko Naing, a 37-year-old taxi driver, foresees higher costs will come with the change. He favours Japanese cars due to their quality and low maintenance. 

He doubted if products from China and Korea could beat Japanese cars in these areas. 

“If it is hard to find spare parts, the maintenance costs will be higher. The government needs to take all this into consideration. [If the change takes place], it should encourage imports of spare parts,” he said.

The impact on importers aside, Lwin Zaw, a 48-year-old shopkeeper, supported the change. He saw no problem for drivers in general making a shift. “I believe driving a left-hand-drive car is better than a right-hand one especially when overtaking,” he said.