Myanmar: The new automotive hotspot

Myanmar: The new automotive hotspot PR Newswire TOKYO, Sept. 12, 2012 - Frost & Sullivan Sees Growth Opportunities for Automakers TOKYO, Sept. 12, 2012 /PRNewswire/ -- Frost & Sullivan sees potential growth in Myanmar's commercial vehicle segment due to the many infrastructure projects and booming mining industry after the easing of sanctions by Western countries against the country. Mr. Masaki Honda, Principal Consultant, Automotive & Transportation Practice, Asia Pacific at Frost & Sullivan said that total heavy commercial vehicle sales in Myanmar is expected to grow at a CAGR (2011-2016) of 21 per cent to reach 12,700 units in 2016. He added that registrations of trucks – including locally-manufactured and imported – may increase to 10,100 units by 2016 from the 4,000 units currently. "The growth is due to the infrastructure projects and the mining sector which use dump trucks and other heavy-duty machineries," Mr. Honda said. Mr. Honda said that as for buses, approximately 700 buses are newly registered in 2011 and the number of buses will reach 2,600 units by 2016 thanks to the increase of passenger movements within the country and between neighboring countries. "Myanmar is an attractive destination for commercial vehicle manufacturers looking into entering the country," he added. However, he said that the main challenge for foreign vehicle manufacturers is the affordability of their vehicles.