MNDAA reopens two Myanmar-China border trading points

The Myanmar National Democratic Alliance Army (MNDAA), a member of the Brotherhood Alliance, reopened two trading points on the Myanmar-China border on Monday, two months after reaching a ceasefire deal with Myanmar’s military. Li Kyar Win, the group’s spokesperson, confirmed earlier this week that the border crossings at Chin Shwe Haw and Kyu Koke (Pang Hseng)—captured late last year during the alliance’s Operation 1027 anti-regime offensive—are once again open for business. The move comes exactly two months after Chinese-brokered talks brought fighting in northern Shan State to a halt on January 11 after months of devastating losses for Myanmar’s military. Earlier this month, regime spokesperson Maj-Gen Zaw Min Tun acknowledged that the two sides have held further talks on the status of territory captured by the MNDAA and its allies, but denied that the junta was no longer in control of the border. Speaking to state-run media, Zaw Min Tun remained silent on a key part of the regime’s agreement with the Brotherhood Alliance—the right of its members to collect taxes on border trade. This is one of the issues that is likely to prevent a return to full-scale cross-border commerce, at least in the near term, according to traders. “How will the two sides collect taxes? There needs to be an official announcement about how this will be handled and what the tax rates will be,” said one border trader who asked not to be named. “Since Chin Shwe Haw is the second-largest border trading point after Muse, I’m sure people will use it once they know what’s going on,” he added. Another concern, he said, is that the fighting caused significant damage to roads and bridges, meaning that it will be difficult for large vehicles to resume transporting goods in the near future. It is also unclear what China’s requirements will be under the new deal, according to a Mandalay-based merchant who also requested anonymity. “If it’s just a small amount of goods, it will be fine, as China allows up to 8,000 yuan [US$1,110] in duty-free trade,” he said, adding that full documentation is needed for larger shipments. Myanmar Now was unable to contact Li Kyar Win for clarification on how border trade customs and licensing will be managed between the MNDAA and the junta. Members of the MNDAA fly the group’s flag over a camp that it captured as part of Operation 1027 (The Kokang) Meanwhile the Ta’ang National Liberation Army (TNLA), another member of the Brotherhood Alliance, along with the MNDAA and the Arakan Army, says it is also planning to reopen the 105-Mile trade zone in Muse, through which more than 90 percent of all Myanmar-China border trade flowed until it was closed by fighting. Lt Yay Oo, the group’s spokesperson, said that negotiations with the Chinese government are currently underway to facilitate the resumption of trade through the key border crossing. “The trade zone remains closed, but there have been negotiations between the two sides to facilitate its reopening,” he said. “There’s no set time frame, but we aim to reopen it as soon as possible.” During Operation 1027, the MNDAA captured the border trading towns of Chin Shwe Haw and Pang Hseng, as well as Hsenwi, Mong Ko, Konkyan, and Laukkai, the administrative centre of the Kokang Self-Administered Zone. The TNLA seized control of the towns of Namkham, Mantong, Namhsan, Mongngawt, Monglong, Namtu, and Kutkai, as well as the Muse 105-mile trade zone. Additionally, the TNLA handed over two towns in the Wa region—Hopang and Panlong—to the powerful United Wa State Army. Since the start of Operation 1027 on October 27 of last year, most border trade with China has been conducted through Mongla, a relatively inaccessible town in eastern Shan State, about 10 days’ drive from Mandalay. The town is controlled by the National Democratic Alliance Army (NDAA), an armed group that is not part of the Brotherhood Alliance but closely allied to the MNDAA. Trade through the town is taxed by both the junta and the NDAA—an arrangement that is likely to be replicated at other border crossings, according to traders.

MNDAA reopens two Myanmar-China border trading points

Questions remain about how trade will be handled under an agreement between the junta and the Brotherhood Alliance

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