CNI News
2 March 2023
As it costs MMK 100 million to buy an electric vehicle imported into Myanmar, business entrepreneurs are raising a question "For which social classes are EVs imported?"
There will be only a few social classes that can afford EVs as it costs MMK 99.9 million to buy an EV, businesspeople and economic observers said.
Batteries used in EVs lose capacity after being used for a certain period and the cost of replacing the battery is as high as MMK 100 million, which amounts to the same price of a new EV. As there are electricity outages, businesspeople are not willing to buy EVs and only those who are crazy about new things are likely to buy them, U Aung Pyae Sone, a vehicle policy observer, told the CNI.
He told CNI, "It is correct that we do not need fuel because we use EVs. It is also reported that we can use them for long distances. The problem is the battery life. We will have to replace the battery after a certain period, 10 or 15 years. The cost of replacing the battery is as high as that of buying a new EV. The difference between diesel vehicles and EVs is that the longer we use EVs, the lower the prices of them. So, we have used them for about 10 years, we won't get about MMK 1 million when we resell them."
A recharging station is being constructed in front of Nay Pyi Taw Thapyaygone Market.
A total of 26 companies have been permitted to import EVs and ten EVs will be operated as taxis at Yangon International Airport and Nay Pyi Taw Thapyaygone Market respectively, according to the National-level Leading Committee for Development of EVs and Related Businesses.
Although it was reported that the price of each EV was MMK 67.9 million, the price of a recently imported EV is as high as MMK 100 million. As a result, only a few people from the upper class can afford such EVs, businesspeople said.
EVs are likely to be used widely when production costs of them fall and they can be used for a long time, Economic Observer U Thet Zaw told the CNI.
BYD EVs made in China are imported into Myanmar
He said, "When battery life is longer thanks to further inventions and production costs fall due to mass production, market prices of EVs are likely to fall. We will have to wait for a certain period of time. When infrastructures have improved in about 2035 or 2040, a large number of countries will use EVs."
Moreover, roads in cities are flooded during the rainy season, it will not be convenient for users and there are no mechanics and part shops for them, car dealers pointed out.
Although the pilot project for EVs is scheduled from 1st January to 31st December, 2023, it takes more time to use EVs widely due to electricity disruption and other problems.
