Dili, June 17, 2026
Coordinating Minister for Economic Affairs (MCAE), through General Coordinator, Mr. Jorge Martins, received a visit from the Tsuneishi Shipbuilding Company to discuss an investment proposal for ship construction in Manatuto, with a total value of US$ 300 million.
The proposal covers a total of 330 hectares of land and 150 hectares of maritime area, under a Special Investment Agreement (SIA). The meeting was held at the MCAE Office, located within the Government Palace.
The core of the negotiations was Tsuneishi’s request for a 50-year fiscal exemption. This request poses a significant regulatory challenge, as current Timor-Leste legislation strictly limits income tax exemptions to five years, and service tax exemptions to eight years.
Therefore, this would be the first instance of the Government negotiating such specific terms for a single investor in order to accommodate it, Tsuneishi would require an unprecedented amendment to the National Law on Private Investment.
To carry out this amendment, TradeInvest and MCAE will have to navigate a rigorous legislative and administrative process. The proposal must be facilitated by the Vice Prime Minister and technically coordinated with the Ministry of Finance, before being submitted to the National Parliament.
According to TradeInvest, immediate submission is not yet possible, as public and private consultations with stakeholders must first be conducted.
Despite the upcoming three-month parliamentary recess, MCAE aims to facilitate the submission of the proposal to the Council of Ministers in September, prior to the commencement of the budget debates, with an absolute deadline in October. Meanwhile, the SUEI Coordinator stated that the draft law will be submitted to the Council of Ministers (WTO), to enable Tsuneishi to closely monitor the legislative progress.
The meeting participates the Coordinator Strategic Unit for Economic Integration (SUEI) Mr.Leonito Soares,Economic Advisor, Mr. Michael Laurensiu , and the Director of Invesment Trade Invest Mr. Ezaquiel Babo.