Import licences for iron, steel to be prioritized if dollar substituted by yuan

The Myanmar Iron and Steel Association (MISA) announced that import licences for iron and steel will be given priority if iron and steel importers use the Chinese yuan in lieu of the US dollar.
In the past, only the US dollar was used for iron and steel exports and imports. In 2023, the Department of Trade informed the MISA to use the Chinese yuan rather than the US dollar.
About 92 per cent of Myanmar’s iron and steel is imported from abroad, and about three million tonnes of related materials, including iron and steel, are imported annually. Starting from 2030, the demand for steel is expected to increase by about 5.4 million tonnes per year, according to the Myanmar Steel Association (MSA).
In the past, only the US dollar was used for issuing iron and steel licences in accordance with the permission of the Ministry of Commerce. At present, the MISA has declared that companies can apply for licences by changing to the Chinese yuan equivalent of the amount of dollars in the licence.
The MSA Public Company Limited was founded by 11 executive members to establish an iron and steel industrial zone, reduce the inflow of US dollars, develop Myanmar’s iron and steel industry, and contribute to the country’s infrastructure construction. By the year 2030, the demand for iron and steel will rise to 5.4 million tonnes, the Myanmar Steel Association (MSA) estimated. — TWA/CT