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What China's Big Deal with Myanmar Means

Elena MarquezPublished 23h ago3 min readBased on 6 sources
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What China's Big Deal with Myanmar Means

In June 2026, China's leader Xi Jinping met with Myanmar's military chief Min Aung Hlaing in Beijing. They signed 18 agreements on trade, transportation, and development projects, according to Reuters and China's Ministry of Foreign Affairs.

This was Min Aung Hlaing's most significant visit to Beijing since Myanmar's military took power in a coup in February 2021. An earlier meeting between China's Foreign Minister and Myanmar's government in April had set up this larger summit.

What Did They Agree To?

The 18 agreements cover two main areas. First, they establish transportation routes — roads and railways — connecting Southeast Asia to China's Yunnan province. Second, they set up plans for free trade between the two countries. Myanmar will also carry out eight development projects in agriculture and energy, funded through China's Lancang-Mekong program, according to an agreement from May.

Why This Matters

China has a major interest in Myanmar — a deep-water port called Kyaukphyu in Myanmar's Rakhine State. This port is part of China's Belt and Road Initiative, a global infrastructure program. The port gives China a shipping route that bypasses the Malacca Strait, a narrow channel through which much of China's oil travels. Having an alternative route reduces China's vulnerability if that strait were ever blocked.

Myanmar's military took power through a coup and now faces international isolation. The US, UK, and EU have imposed sanctions. Myanmar is excluded from important regional meetings. In this situation, China becomes exceptionally important to Myanmar — both as an economic partner and as a country that still does business with the junta.

This creates a power imbalance. Myanmar depends on China far more than China depends on Myanmar. All 18 agreements reflect this reality. For instance, the free-trade deal would mostly benefit Chinese companies doing business in Yunnan province and increase revenue for Myanmar's military government. It may not directly help ordinary people in Myanmar's border regions, where conflicts are ongoing.

China also funds development projects in agriculture and energy in Myanmar. These projects do two things at once: they help the military government claim it is improving people's lives, and they make Myanmar dependent on Chinese technical expertise and workers. This kind of dependency tends to last, even if Myanmar's government changes.

It is worth noting that Myanmar's military has struggled to implement previous agreements with China. The Kyaukphyu port, signed in 2015, has been renegotiated and delayed multiple times. The 18 agreements announced this month are a beginning, not a completion. Whether they actually happen depends partly on Myanmar's military being able to deliver — which has become harder as fighting between the military and armed groups has increased.