Trump Lifts Myanmar Sanctions Amid Rare Earth Power Play

[geovalin]

Global witness

 

 

As Myanmar’s military junta prepares for widely condemned elections, the Trump administration’s unexpected move to lift sanctions on junta-linked elites is raising eyebrows—especially as reports emerge of US interest in Myanmar’s rare earth minerals.

 

Just last week, President Trump removed sanctions on military-affiliated figures and companies, prompting swift condemnation from the UN’s human rights envoy. Critics suggest the decision is less about diplomacy and more about geopolitics, particularly the race to secure strategic resources away from China’s grip.

 

Myanmar holds the world’s third-largest rare earth deposits—critical elements used in everything from smartphones to missile systems. Since the 2021 coup, mining has surged in contested areas like Kachin State, much of which is controlled by the anti-junta Kachin Independence Organization (KIO). Last year, the KIO seized key mining towns and struck a deal with China on export taxes, underscoring Beijing’s dominance in the trade.

 

Now, US insiders hint that Trump is exploring rare earth access—either by engaging the junta directly or cutting deals with the KIO. But experts say both options are riddled with risks. The region is a war zone, infrastructure is virtually nonexistent, and any attempt to undercut China would likely provoke retaliation, including economic pressure on the KIO.

 

What’s more, rare earth mining is notoriously toxic. Even if the US could bypass Beijing and the junta, legal and reputational risks could deter American firms from operating in such volatile territory.

 

Meanwhile, Myanmar’s planned December-January elections offer little credibility. The junta recently lifted the nationwide state of emergency—then swiftly reimposed martial law across dozens of opposition strongholds, revealing the regime’s fragile control and undermining any claim of democratic transition. Coup leader Min Aung Hlaing retains power under a rebranded title, and opposition parties have pledged to boycott what they call a sham process.

 

As analysts warn against legitimising the junta’s rule, many see Trump’s softening stance as dangerously short-sighted. Whatever the motivations—geostrategic or commercial—the move risks bolstering a regime widely rejected by its own people.

 

If democracy is to mean anything in Myanmar, Washington must stand firm. This is no time for backdoor deals or appeasement dressed as diplomacy.

 

-2025-08-07

[NickyLouie]

Quote

Myanmar holds the world’s third-largest rare earth deposits—critical elements used in everything from smartphones to missile systems.