Senior General Min Aung Hlaing highlighted that, except for the Muse-Ruili border, other border trade posts have been suspended because of terrorist attacks by ethnic armed groups, which have negatively affected bilateral trade.

The Myanmar-China economic cooperation promotion meeting took place for the second time at the Shangri-La Hotel in Chengdu, Sichuan Province of the People’s Republic of China, at 1 pm Chinese standard time yesterday, with an address by Acting President of the Republic of the Union of Myanmar, Chairman of the State Security and Peace Commission of the Republic of the Union of Myanmar, Senior General Min Aung Hlaing.

On the occasion, the Acting President and SSPC Chairman of the Republic of the Union of Myanmar delivered a speech. He said: China is Myanmar’s second-largest investor among the 53 countries investing in Myanmar. The total trade value between the two countries reached over US$8 billion in the financial year 2023-2024, over $7.7 billion in FY 2024-2025, and over $3 billion up to July of FY 2025-2026, reflecting the strong and stable trade relations between the two countries.

Myanmar primarily exports rice, various types of beans and pulses, and sesame, as well as raw materials like rattan and hardwood, along with wood-based finished products to China. In addition, Myanmar is striving to produce higher-value-added wood-based products for distribution in both domestic and international markets. Both countries have expressed the desire to further expand bilateral trade and investment.

Although there are a total of eight border crossings along the Myanmar-China border, due to current security conditions, only the Muse-Ruili checkpoint is open, while the other border trade posts have been suspended because of terror attacks by ethnic armed groups, which have negatively affected bilateral trade. Since border trade directly contributes to the socioeconomic development of the peoples of both countries, it is necessary to cooperate fully to ensure stability and peace in the border areas and to enable the resumption of trade activities.

At present, instability in the Myanmar-China border areas has also affected the economies of Yunnan Province, Sichuan Province, and the Chongqing Municipality. If land borders between the two countries can be reopened, the flow of goods could increase beyond previous levels. Moreover, trade routes could be expanded from Myanmar’s northeastern region to Yunnan, Sichuan, Chongqing municipality, Guangxi Province, and Nanning City. Once these trade routes are reopened and expanded, both countries will be able to increase the variety of goods and value-added products for export, develop and upgrade transport infrastructure, and continue efforts to attract investment.

With the assistance of China, projects are being implemented in the education and health sectors for the socioeconomic development of Myanmar and electricity, energy, agriculture, industry and transport sectors for infrastructural development. As Chengdu is a primary economic centre in the western part of China, Myanmar has much potential to cooperate in trade, technology, tourism and energy sectors.

Currently, Myanmar and Sichuan Province are cooperating in many sectors. To strengthen collaboration in areas such as economic development, trade, infrastructure construction, agriculture, healthcare, and education between Sichuan Province and Mandalay Region, plans are underway to sign a memorandum of understanding to establish a framework for friendly and cooperative relations. Similarly, a memorandum of understanding is also planned to be signed between Chengdu and Yangon, Myanmar’s commercial hub, to establish a sister-city relationship based on goodwill.

Moreover, efforts are being coordinated to further enhance economic and trade cooperation between Myanmar and Sichuan Province, promote tourism, cultural exchanges, and people-to-people interactions, and to resume the Yangon-Chengdu passenger air routes that were suspended during the COVID-19 pandemic.

Strategically located at the road junction concerning the transport sector, Myanmar is a country that provides China with access to the Indian Ocean.

Moreover, many important projects such as the Kyaukpyu deep sea port project, China-Myanmar railway project and China-Myanmar cross-border national grid project are being implemented under the China-Myanmar economic corridor.

If the proposed railway projects can be successfully implemented and used for trade, it has been observed that, despite the long distance, there is good potential to conduct trade with both countries and even with the Russian Federation, with which both sides maintain good relations.

If Myanmar-China-Russian trilateral cooperation expands the trade sector, it will create good opportunities to much benefit the regional commodity flow.

In addition to the Regional Comprehensive Economic Partnership (RCEP) agreement, it is believed that bilateral investment agreements between China and Myanmar, the ASEAN-China Free Trade Area (ACFTA) agreement, and Myanmar’s investment protection and facilitation measures will enable both countries to strengthen not only bilateral but also regional cooperation robustly and sustainably.

The trade and border currency remittance is being operated to ensure a smooth working process of Chinese business partners in Myanmar and the yuan-kyat direct payment system in the investment process.

In addition to providing significant benefits and tax exemptions for Myanmar’s partner businesspersons, efforts will also be made to ensure that those who come to Myanmar to invest or conduct trade are treated fairly and without any disadvantages.

Furthermore, to promote the growth of investments between Myanmar and China, it is necessary to establish a Myanmar-China business cooperation committee to implement measures that will accelerate business development and progress. The Myanmar government is considering investing directly in Myanmar in yuan to facilitate smoother investment of Chinese businesspersons, and a decision is expected to be reached in the near future.

In the upcoming December, Myanmar will hold a free and fair general election, which is expected to further strengthen political stability. With greater stability, economic opportunities are also likely to expand. If Myanmar’s underground and aboveground resources and human resources are combined with China’s investments, significant positive outcomes are expected for both countries.

As such, the invitation is extended to Chinese businesspersons to operate their businesses in Myanmar with investments.

Chinese companies are implementing construction projects in Myanmar related to the reconstruction of earthquake-affected areas. Businesses will be allowed to operate if they comply with regulations, and private construction projects can also be implemented in collaboration with the UMFCCI. Efforts are underway to further promote bilateral investment, including the possibility of direct investment in yuan.

Resources exported from Myanmar are only allowed to be sent abroad in processed or semi-processed form, and not as raw materials.

Imports of necessary raw materials for manufacturing businesses invested in Myanmar will be permitted. In addition, if existing investments in Myanmar wish to carry out upgrading or expansion projects, permission will also be granted, and relevant companies can come and discuss these matters directly.

Investors are being invited to produce renewable energy to avoid environmental damage, particularly in solar and hydropower generation projects. Measures have also been put in place to ensure security protection during the course of these investments.

Officials from Chinese companies from Yunnan, Sichuan and Hunan provinces and Chongqing Municipality wishing to invest in Myanmar and investors asked about aid of Chinese organizations for Myanmar in the aftermath of the devastating Mandalay earthquake and their feasibility studies, investment for rehabilitation projects and generating solar power, Myanmar’s policies for export and import activities, cooperation in construction and digital technology, permission for direct investment in yuan to rise investment, protection of invested businesses, addressing the issue for waste of time in applying for import licences, export of necessary machinery for agricultural sector to Myanmar, ongoing procedures for Myanmar-China economic corridor project, and participation in development undertakings of Myanmar to enhance China-Myanmar cooperation.

In response, Union ministers briefed those Chinese businesspersons on rules and regulations for investments, issuance of permits for tenders under the relevant work procedures, generating solar power, allowing land plots for invested businesses under the rules, permission for doing businesses in vacant and virgin lands under the law, the policy for hiring experts at set rates, export of Pawsan rice of Myanmar to China, management to allow machinery licence application to upgrade garment industries in Myanmar, putting investment in Myanmar to manufacture agricultural machinery, more investments for improvement of agricultural produce, and further implementation of the Myanmar-China economic corridor project.

The Acting President and SSPC Chairman of the Republic of the Union of Myanmar cordially greeted the Chinese businesspersons and economists.

Also, present at the meeting were members of the Myanmar delegation, the Chinese Ambassador to Myanmar, the Myanmar Ambassador to China, the president of UMFCCI, and businesspersons and economists from Yunnan, Sichuan and Hunan provinces and Chongqing Municipality, totalling more than 120.

MNA/TTA

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