Mar 10, 2012

Suzuki eyes resumption of Myanmar auto output

Suzuki Motor is considering resuming auto output in Myanmar, a company spokesman said on Friday, as Japanese firms look to expand in the South-east Asian nation that is showing tentative steps of opening up.

Japan's No. 4 automaker is looking for a capital partner in Myanmar to launch a new venture. Its previous joint venture in the country ended in 2010 following the expiration of its business licence from the government, the company spokesman added.

Suzuki assembled about 10,000 motorbikes and 6,000 autos between 1999 and 2010 under the previous venture, which included Japanese trading house Toyota Tsusho.

Japan's foreign minister agreed in December to begin talks with Myanmar on forming an investment pact. Myanmar's new and nominally civilian government has begun implementing political reforms and re-engaging internationally after decades of military rule.

Most cars on the roads of Myanmar are decades old following the country's years of international isolation. One plan Myanmar is pursuing to replenish its ageing fleet is to overhaul antiquated import rules.

Source:  Strait Times