Myanmar shifts jade auction to China

The Irrawaddy

Myanmar’s military regime has staged its first official jade auction on Chinese soil, a striking move to shore up finances battered by sanctions and battlefield losses.

The inaugural Myanmar Gems Emporium (Ruili) opened this week in Jiegao, a border town opposite Muse in northern Shan State. It is the first time the country’s jade auction has been relocated outside Myanmar, reflecting the junta’s growing reliance on China for economic survival.

The event stems from a February memorandum of understanding between Myanmar’s Ministry of Natural Resources and Environmental Conservation and Yunnan provincial authorities. The deal covers anti‑smuggling measures and environmental cooperation, but its centrepiece is the auction of 500 tonnes of rough jadeite, supplied almost entirely by the state‑owned Myanma Gems Enterprise. Proceeds will flow directly into regime coffers to fund its war against resistance forces.

The shift comes after the military lost control of key mineral hubs. The Kachin Independence Army seized Chipwi and Pangwa in 2024, cutting off a lucrative rare earth trade worth billions. The Ta’ang National Liberation Army and allies captured Mogoke, Myanmar’s famed ruby centre, further choking revenue streams. Though the junta later regained Mogoke, the industry remains devastated.

Myanmar produces the bulk of the world’s jade, with demand overwhelmingly driven by China. Yet years of civil war have ravaged the sector. The UN has long identified military‑owned conglomerates as dominant players, funnelling off‑book revenues through subsidiaries. Global Witness previously estimated that up to 90% of jade mined in Hpakant was smuggled into China, dwarfing official sales.

By hosting the auction in Ruili and conducting transactions in Chinese renminbi, the regime sidesteps Western sanctions and dollar restrictions. It also underscores Beijing’s pivotal role in sustaining Myanmar’s embattled economy.

For the junta, jade remains one of the few lifelines left. For Myanmar’s people, the industry’s fortunes are another reminder of how deeply the conflict has reshaped the nation’s resources and future.

-2026-07-26