As the world increasingly needs special minerals called heavy rare earth metals—which are important for making high-tech gadgets and systems—Myanmar has become a major source for these minerals. And China is benefiting the most, even while Myanmar is stuck in a civil war.
What’s Happening in Myanmar?
Since Myanmar’s military coup in 2021, the country has been in chaos. Many Western countries cut off trade by putting sanctions on Myanmar. This left Myanmar’s rulers—the military junta—with few options to make money.
China, however, has continued to do business with Myanmar’s generals. Chinese mining companies are digging up rare earth minerals in Myanmar, especially in the northern areas like Kachin and Shan states, which are close to the Chinese border.
Who’s Involved?
- Chinese state-owned companies are in control of much of the mining.
- Local armed groups and ethnic militias (some fighting the army, some supporting it) are also making money from mining.
- Some regions, like those controlled by the Wa ethnic group, operate with unofficial support from China and are now seeing more mining activity.
What Are They Mining?
The key minerals being taken are terbium and dysprosium—both are heavy rare earth elements used in electric vehicles, smartphones, wind turbines, and more.
Environmental Damage
The mining process produces toxic waste, which is polluting rivers like the Mekong and its smaller streams. These harmful chemicals come from China, are used in Myanmar to extract minerals, and then the raw materials are sent back to China for further processing.
China’s Influence
China is not just buying the minerals—it is also using its influence to control the trade. Sometimes, China slows down imports from certain areas in Myanmar to support one group over another in the ongoing civil war.
Myanmar’s rare earth minerals are powering global technology, but the profits are going to Chinese companies. Meanwhile, Myanmar is facing violence, pollution, and a growing environmental crisis—all as a result of this rush for resources.
