Under pressure from China, MNDAA agrees to withdraw from Lashio before month’s end

The Myanmar National Democratic Alliance Army (MNDAA) has agreed to withdraw from Lashio, northern Shan State’s largest city, later this month under an agreement mediated by Chinese officials, according to multiple sources. The deal, finalised on March 23, was reached following a series of talks between representatives of the ethnic armed group, also know as the Kokang Army, and Myanmar’s junta held in China’s Yunnan Province, the sources said. The agreement marks a significant shift in control over one of the most strategic cities in northern Myanmar. Lashio is not only a key commercial hub but also home to the Myanmar regime’s Northeastern Regional Military Command. Sources familiar with the negotiations said the MNDAA is expected to begin withdrawing from Lashio by April 21, ahead of the original June timeline previously agreed upon. The decision comes after sustained pressure from Beijing, which has demanded that the group cease hostilities against the junta and vacate the city. Under the terms of the deal, the MNDAA will withdraw only from Lashio’s 12 urban wards, while retaining a military presence and control in surrounding rural areas. These outlying areas comprise much of Lashio District and are home to over 150,000 people, according to a 2023 census by the General Administration Department. The MNDAA captured Lashio in late 2024 during the second phase of Operation 1027, a joint military offensive launched with its allies the Arakan Army and the Ta’ang National Liberation Army in late 2023. The seizure of Lashio, previously unthinkable, was seen as one of the Myanmar military’s greatest defeats since the country attained independence in 1948. China, which shares a long border with northern Myanmar, has taken an increasingly active role in mediating the conflict, citing concerns over regional instability and cross-border trade disruptions. To pile pressure on the MNDAA, Chinese authorities closed border gates and restricted the flow of fuel and other supplies to territory under its control, and even detained its commander, Peng Daxun, inside China. His recent return to Myanmar was reportedly made conditional on MNDAA’s agreement to withdraw from Lashio. Myanmar National Democratic Alliance Army (MNDAA) commander Peng Daxun, also known as Peng Deren, was summoned to China’s Yunnan Province in late October and held there until last month Following the MNDAA’s withdrawal, administrative and public services under the junta—including immigration, education, and healthcare—are expected to resume operations in Lashio starting April 22, according to sources close to the negotiations. However, some MNDAA personnel, including police units and liaison officers, are expected to remain in the city, even as military units pull out. Local sources say the withdrawal has stirred disappointment among Kokang fighters and residents, who have grown accustomed to the relative autonomy and security under MNDAA control. “People here have tasted freedom. Many sacrificed their lives in the fighting, so this withdrawal is painful,” said a Lashio resident close to the Kokang forces. “But at the ground level, there’s little anyone can do.” Meanwhile, services provided by the MNDAA in Lashio—such as rural healthcare and local administration—have reportedly begun winding down. Some local offices have started packing up equipment, and hospitals have reduced their intake of new patients. MNDAA troops in Lashio on July 29, 2024 Peng Daxun, the detained MNDAA commander, recently reappeared at a fundraising event for earthquake victims in Mongla, a town near the Chinese border. Despite the ceasefire, analysts warn that tensions remain high, and the situation could shift again depending on future political and military developments.

Under pressure from China, MNDAA agrees to withdraw from Lashio before month’s end

The ethnic Kokang armed group is expected to begin pulling out of northern Shan State’s largest city, which it captured late last year, on April 21

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