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India.com
4 hours ago
- Business
- India.com
Why are US and China fighting to control this country near India, they are trying to find special…
Home News Why are US and China fighting to control this country near India, they are trying to find special… Why are US and China fighting to control this country near India, they are trying to find special… In a massive fight, US and China are trying to control the critical metals of Myanmar essential for manufacturing advanced weapons and electronics. China vs US Amid the global aspiration to control the rare earth minerals of the world, a geopolitical tussle is brewing between the US and China in India's neighbourhood. In the recent tussle between China led by President Xi Jinping and the United States of America led by President Donald Trump, both the power-hungry countries are eying the rare earth minerals of Myanmar, the country which witnessed a military coup a few years back. Why US and China are fighting in Myanmar? Both US and China are trying to control the 17 critical metals that are essential for manufacturing advanced weapons and electronics. However, due to Myanmar's political instability and control of mining regions by ethnic rebel groups like the Kachin Independence Army (KIA), the situation is quite complicated and the battle is expected to be tough. How is US trying to capture Myanmar's resources? As per media reports, the US is considering risky options, such as negotiating directly with the KIA or working through Myanmar's military, despite past sanctions and human rights concerns. Proposals also include reducing tariffs, appointing a special envoy, and acting as a mediator to secure access to the mines. Readers should note that the currently ruling military government of Myanmar is backed by China and experts also warn of serious logistical and political obstacles, especially as China is likely to block any attempt to divert Myanmar's minerals to US or India. China's control over global rare earth minerals According to the International Energy Agency (IEA), China controls 90% of global rare earth processing. Moreover, China is the largest producer and processor of these minerals and America wants to reduce its dependence on China. However, for the US, partnering with Myanmar would be a major shift, given past sanctions over military abuses and Rohingya violence. As per media reports, though some sanctions were recently lifted on Myanmar, officials say US policy remains largely unchanged in its policy on the country. For breaking news and live news updates, like us on Facebook or follow us on Twitter and Instagram. Read more on Latest World News on


Arab Times
a day ago
- Business
- Arab Times
Kuwait is France's trusted ally in the region: Ambassador Gauvin
KUWAIT CITY, July 29: The Kuwaiti- French relations are witnessing rapid and remarkable development, driven by political and diplomatic momentum that has brought the partnership between the two countries back into the spotlight; especially after the historic visit of His Highness the Amir Sheikh Meshal Al- Ahmad Al-Jaber Al-Sabah to the French capital, Paris, in response to an invitation from French President Emmanuel Macron to participate in the French National Day celebrations on July 14. In light of this rapid progress in bilateral relations, the newspaper interviewed French Ambassador to Kuwait Olivier Gauvin, who spoke candidly about future prospects for cooperation and priority areas. He affirmed that his country considers Kuwait a reliable ally in the region, and that the next phase will witness stronger coordination at the bilateral and international levels. Following are details of the interview Question: How did the visit of His Highness the Amir Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah to Paris on the occasion of Bastille Day contribute to strengthening the economic partnership between France and Kuwait? Answer: The recent visit of His Highness the Amir to France helped reinforce the strategic dimension of our economic partnership, notably through the signing of the 2025-2035 Franco-Kuwaiti Strategic Investment Partnership. This decade is one of technological, energy and economic transitions, aligned with both Kuwait Vision 2035 and France 2030. The agreement also provides for the establishment of a joint task force on cross-investments between France and Kuwait; aimed at fostering the emergence of concrete projects ahead of the next Choose France summit. On July 13, His Highness also met with leaders of French companies in innovative sectors. These discussions aimed to promote French expertise and support Kuwait's economic transformation in the priority sectors of its Vision 2035 plan. At the conclusion of the visit, both Heads of State reaffirmed their shared commitment to encouraging investments from their respective government authorities and public institutions, such as BPI France and Kuwait Investment Authority (KIA), in projects and funds that contribute to the development of their respective economies. This visit is a testament to the mutual trust and shared ambition of our two countries in the economic field. French companies operating in Kuwait bring recognized expertise in various sectors, including energy, environment, transport and hospitality. It also reflects the attractiveness of the Kuwaiti market and the esteem in which French know-how is held in Kuwait. Kuwaiti investments in France, for their part, are following an upward trend. This growing appeal is largely driven by the France 2030 strategy, a €54 billion investment plan designed to address major ecological, technological and industrial challenges and to support breakthrough innovations. Q: Beyond the visit of His Highness the Amir to France, how have other bilateral exchanges and events organized in 2025 contributed to strengthening the economic partnership between France and Kuwait? A: The year 2025 has been marked by numerous high-level exchanges between economic and innovation stakeholders from both countries. From Feb 6-11, France hosted the Summit for Action on Artificial Intelligence, which was attended by Kuwait's Minister of Telecommunications, Omar Al-Omar, as well as a delegation of Kuwaiti economic actors active in the sector. With more than 40,000 participants, this summit was exceptional, announcing €109 billion in private investments in AI infrastructure in France, and €200 billion in public and private investments across Europe through the European Commission's Invest AI program. The success of this event underscores France's position as one of the world's leaders in innovation and AI. On this occasion, the President of the Republic laid the foundation stone for a new building at the Gustave Roussy Institute, scheduled to open in late 2027. This building will be dedicated to cancer research, integrating AI and data analysis approaches. On May 19, the Choose France Summit held at the Château de Versailles welcomed a Kuwaiti delegation led by the Director General of the Kuwait Investment Authority, Sheikh Saud Abdulaziz Al Sabah. This annual event is a key moment for France, highlighting the country's growing attractiveness. With 53 investment announcements totaling €40.8 billion and the expected creation of over 13,000 jobs, the 2025 edition broke all previous records. Since 2018, Choose France has generated nearly €88 billion in investments, confirming the sustained confidence of investors in the French economic model. In 2024, France remained, for the sixth consecutive year, the leading European destination for foreign investment. Finally, on June 17 and 18, 2025, around twenty high-level Kuwaiti economic stakeholders participated in the Gulf Vision Forum in Paris. Gathering over 1,200 guests, this event fosters dialogue on key areas of economic cooperation between France and the member states of the Gulf Cooperation Council. Nearly 2,000 business meetings were organized, leading to the identification of several concrete projects, particularly in the fields of water management, waste treatment, low-carbon energy, and digital transition. Q: Which sectors do you currently identify as priorities for further developing economic exchanges and cross-investments? A: The priorities defined by the Kuwait Vision 2035 and France 2030 plans now provide a clear framework for expanding our economic partnership. Several major French companies are already present and fully engaged in this dynamic. Their actions reflect a shared commitment to innovation, sustainability, and the exchange of expertise. In Kuwait, as the country works to become a commercial and logistical hub under the Vision 2035 plan, the potential for cross-investment is immense. France is ready and determined to support Kuwait's ambitions, particularly in the areas of infrastructure, sustainable cities, and artificial intelligence. By aligning their ambitious visions, France and Kuwait can unlock truly transformative economic opportunities. At the same time, I welcome the growing interest shown by Kuwaiti investors in our country. Investment opportunities are currently being developed in these strategic sectors, illustrating the reciprocal nature of our economic relationship. The healthcare sector is also a key pillar of our cooperation. Cross-investment initiatives are being explored to support the modernization of healthcare systems and to foster joint efforts in medical research. Q: The energy transition is a shared priority for France and Kuwait. How can France support Kuwait in its economic diversification strategy, particularly in the fields of energy, technology, and sustainable cities? A: The energy transition and economic diversification are goals that France and Kuwait fully share. Our two countries have every interest in joining forces to address the challenges of decarbonization, technological innovation, and sustainable development. A significant step was taken in April 2024, during the official visit to Kuwait by Jean-Noël Barrot, our Minister for Europe and Foreign Affairs. On this occasion, a declaration of intent was signed between France and Kuwait to strengthen cooperation in the energy sector, with a particular focus on the development of renewable energy sources. This agreement reflects our mutual commitment to establishing a long-term collaboration in this field. This cooperation fully aligns with the priorities outlined in the Vision 2035 plan, which places the energy transition at the heart of Kuwait's economic diversification strategy. Q: The healthcare sector appears to be attracting growing and mutual interest between France and Kuwait. What forms might this cooperation take in the coming years? A: Healthcare is a central pillar of our bilateral cooperation. I am pleased that France remains a preferred destination for Kuwaiti patients, particularly in the field of oncology. This reflects the strong trust Kuwait places in our healthcare system and our world-class medical institutions. We have recently taken an important step forward in our medical cooperation with the signing of several memorandums of understanding between the Kuwaiti Ministry of Health and French medical institutions. I am thinking in particular of the agreement signed on Feb 20, 2025, with the Gustave Roussy Institute, a global leader in cancer research and treatment. More recently, following the visit of His Highness the Amir to Paris, the Kuwaiti Ministry of Health signed five cooperation agreements with leading French medical institutions. The goal of these agreements is to enhance local healthcare services through telemedicine, specialized consultations, and ongoing training for healthcare professionals. Both Heads of State reaffirmed their commitment to strengthening this cooperation by promoting the training of doctors and medical staff, the reception of patients in France, the improvement of hospital services, and the development of medical research. This dynamic is also supported by remarkable innovations. In July 2025, a remote surgery was successfully performed from Strasbourg by a Kuwaiti doctor on a patient located in Kuwait. This achievement highlights the ability of our two countries to combine medical excellence with technological innovation. France, a long-standing and trusted partner of Kuwait, is at the forefront of medical innovation. In 2025, we will host the 'Une seule santé' summit and the WHO Academy in Lyon. Q: Regarding cultural collaboration between our two countries, what role does the French Institute in Kuwait play in developing our bilateral relationship? Are there any new cultural or educational projects underway? A: The French Institute in Kuwait is at the heart of our cultural and educational relationship. It embodies France's intellectual, artistic, and linguistic presence in Kuwait and plays a central role in promoting French and Francophone culture. Every year, we organize numerous events there in partnership with our Kuwaiti counterparts. The Month of La Francophonie, which we celebrated last April, is a wonderful example. The high attendance at concerts, film screenings, debates, and literary evenings reflects the strong appeal of France and Francophone cultures in Kuwait. On Oct 2 and 3, 2024, we also organized two exceptional concerts by the Paris International Philharmonic Orchestra at the Jaber Al Ahmad Cultural Centre (JACC), blending French and Kuwaiti repertoires. We are also working to strengthen ties between our civil societies, particularly through initiatives such as the Sorbonne Society, which aims to build networks of alumni, researchers, and professors between our two countries. Other projects are in development, notably in the fields of arts education, heritage, and scientific research. Since 2015, France has also been proud to host in Kuwait City the French Center for Research on the Arabian Peninsula (CEFREPA), our regional research hub. It plays a key role in our scientific cooperation. Notably, it coordinates two annual archaeological missions on Failaka Island, in partnership with the National Council for Culture, Arts, and Letters (NCCAL). The visit of His Highness the Amir to Paris on the occasion of France's National Day, July 14, 2024, gave new momentum to our cultural cooperation. On this occasion, a declaration of intent was signed by our Ministers of Foreign Affairs, in the presence of both Heads of State, to strengthen our partnership in this field. This agreement reflects our shared commitment to support and expand the reach of both the French Institute and CEFREPA. In the cultural field, our two countries will continue to prepare reciprocal visits and develop joint artistic projects, including the creation of a national orchestra based in Kuwait, as well as the implementation of training programs in museum studies, conservation, and cultural mediation. French museum expertise is thus available to help enhance Kuwait's heritage and improve public access to national and international collections, particularly at the Kuwait National Museum. Q: Is the teaching of French expanding in Kuwait? What initiatives are being undertaken to strengthen the presence of the French language and culture in the Kuwaiti educational system? A: The teaching of French is experiencing remarkable vitality in Kuwait. It was introduced into the school system as early as 1966 and is now the third most taught language in the country, after Arabic and English. I am pleased that nearly 1,400 teachers are transmitting it with talent and passion in both public and private school systems, which reflects the strong presence of our language in the Kuwaiti educational landscape. French is much more than a foreign language in Kuwait, it is a vehicle for dialogue, critical thinking, creativity, and the building of bridges between our two societies. The French Institute in Kuwait plays a key role in this dynamic. It promotes French language and culture in educational and academic contexts, working closely with the Kuwaiti Ministry of Education. Each year, numerous events such as 'Francophone Diwaniyas', film screenings, and conferences bring together francophones and francophiles to engage and exchange ideas. France can also count on the valuable commitment of the Council for the Promotion of Francophonie, chaired by His Highness Sheikh Nasser Al-Mohammad Al-Ahmad Al-Jaber Al-Sabah, former Prime Minister of Kuwait and a passionate advocate for Francophonie. The unwavering support of other Francophone embassies and civil society also helps maintain a vibrant Francophone ecosystem, which is strengthened each year during the Month of La Francophonie. Francophonie celebrates cultural diversity and sharing through the French language, spoken by over 320 million people across five continents, including nearly 500,000 in Kuwait. Following the visit of His Highness the Amir to France, our Heads of State expressed their shared desire to strengthen the teaching of French in the Kuwaiti education system. The 2024 opening of a Bfi(French International Baccalaureate) section at the Lycée Français of Kuwait also reflects this ambitious vision. This bilingual French-English program of academic excellence will provide students with rigorous training, preparing them to join top universities worldwide. We are also continuing our efforts to enhance teacher training in French, expand student and academic mobility between our two countries, and update educational content in line with the aspirations of younger generations and the needs of the labor market. Q: Are there currently any scholarship programs or university cooperation initiatives between French and Kuwaiti institutions? A: University cooperation between France and Kuwait is advancing and part of a long-term vision. Many Kuwaiti students choose to pursue their university studies in France, particularly in fields of excellence such as engineering and medicine. In a globalized world where English is omnipresent, studying outside the Anglophone sphere provides a real comparative advantage and greater diversity. It also offers the opportunity to combine the benefits of multiple academic cultures and to develop a uniquely French sense of critical thinking. Today, our priority is to significantly increase the number of Kuwaitis studying in France. International academic experiences create lasting human bonds. When a Kuwaiti student discovers France, or when a French student experiences immersion in Kuwait, these encounters leave a deep and lasting impression. They foster a sincere connection to the host culture and help build bridges between our two countries. These exchanges represent a shared investment in the next generation and in their capacity to shape a common future for our nations. We therefore aim to reinforce this momentum by facilitating access to our top institutions such as Sciences Po, HEC, or CentraleSupélec. The development of English-language programs for non-French-speaking students is also a key strategy, enabling them to gradually learn French while continuing their academic studies. This ambition is supported by a scholarship program, in partnership with Campus France, and by promoting agreements between French and Kuwaiti institutions. During the visit of His Highness the Amir to France, our two countries expressed a joint intention to enhance student mobility, which could involve an increase in the number of Kuwaiti government scholarships directed toward France. Our shared goal is to attract more Kuwaiti students to fields of excellence and the future in France, particularly in innovative sectors such as artificial intelligence, technology, and ecological transition.
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First Post
2 days ago
- Business
- First Post
Is Trump opening up a new front against China — in Myanmar for rare earths?
With outreach to Myanmar's military regime and discussions about a similar outreach to rebels, US President Donald Trump appears to be opening up a new front against China with eyes on Myanmar's rare earth reserves. Here are the proposals on the table to divert Myanmar's rare earths away from China. read more US President Donald Trump appears to be eyeing a reset of ties with Myanmar and opening up a new front against China. Myanmar is among the largest producer of rare earths and a key supplier to China. At a time when China has leveraged its control of the rare earth supplies to push Trump on the backfoot in trade talks, he appears to have set eyes on Myanmar's rare earth reserves. In recent days, the Trump administration has heard proposals to develop ties with the various parties in Myanmar —including the junta and rebels— to acquire access to the country's rare earth reserves, according to Reuters. STORY CONTINUES BELOW THIS AD These proposals have suggested that the United States should partner with like-minded countries like India to extract and refine rare earths mined in Myanmar. Rare earths are a collective of 17 minerals that are used in virtually everything in the modern world, ranging from household electronic items to cars and fighter planes and missiles. China controls around 90 per cent of the world's supply of refined rare earths and rare earth magnets. China has leveraged this near-monopoly to bend the countries, including the United States, to its will in bilateral disputes and trade negotiations. If Trump indeed agrees to proposals, that would mark a shift in the US policy on Myanmar. Following the coup in 2021 in which Myanmar's military overthrew the civilian government of the country, the United States has not maintained any contact with the junta. However, in a sign of change, Trump has addressed Myanmar's military leader, Min Aung Hlaing, as the head of state and has withdrawn sanctions on the regime. What proposals are on the table? The main idea behind the proposal is to divert Myanmar's rare earth reserves away from China into the American fold, according to Reuters. The news agency has reported that one proposal has called for talks with Myanmar's junta to get a peace deal with the rebel group Kachin Independence Army (KIA). Another proposal has called for a direct US-KIA deal to access rare earths in areas under KIA's control. In Myanmar, large swathes of the country are under rebel control that produce large quantities of rare earths. China currently buys most of these rare earths. To sweeten the deal, it has been proposed that Trump should reduce the tariff rate of 40 per cent that he has imposed on Myanmar. It has also been suggested that Trump should appoint a special envoy to take up the matter of rare earths in Myanmar and oversee deals in the country. STORY CONTINUES BELOW THIS AD These suggestions have come from Adam Castillo, a former head of the American Chamber of Commerce in Myanmar who runs a security firm in the country, in a meeting held at the offices of Vice President JD Vance, according to Reuters. Castillo told Reuters that he suggested to US officials that the United States could play the role of a peacemaker in Myanmar and urged the Trump administration to take a page out of China's playbook by first brokering a bilateral self-governance deal between the Myanmar military and the KIA. Castillo described Myanmar's rare earth reserves as China's 'golden goose' and said that he told US officials that rebels, particularly the KIA, were tired of being exploited by China and wanted to work with the United States. Castillo said that he had repeatedly urged US officials to pursue a deal with the KIA that includes cooperation with Quad partners, specifically India, for resource processing and eventual heavy rare earths supply to the United States. STORY CONTINUES BELOW THIS AD


Time of India
2 days ago
- Business
- Time of India
Trump team hears pitches on access to Myanmar's rare earths
The Trump administration has heard competing proposals that would significantly alter longstanding U.S. policy toward Myanmar , with the aim of diverting its vast supplies of rare earth minerals away from strategic rival China, four people with direct knowledge of the discussions said. Nothing has been decided and experts say there are huge logistical obstacles, but if the ideas are ever acted upon, Washington may need to strike a deal with the ethnic rebels controlling most of Myanmar's rich deposits of heavy rare earths. Explore courses from Top Institutes in Please select course: Select a Course Category MBA Degree Artificial Intelligence Operations Management Digital Marketing healthcare Project Management CXO Data Analytics Data Science Design Thinking Others Product Management Data Science Technology others Cybersecurity MCA Leadership Healthcare Public Policy PGDM Management Finance Skills you'll gain: Financial Management Team Leadership & Collaboration Financial Reporting & Analysis Advocacy Strategies for Leadership Duration: 18 Months UMass Global Master of Business Administration (MBA) Starts on May 13, 2024 Get Details Skills you'll gain: Analytical Skills Financial Literacy Leadership and Management Skills Strategic Thinking Duration: 24 Months Vellore Institute of Technology VIT Online MBA Starts on Aug 14, 2024 Get Details Among the proposals are one advocating talks with Myanmar's ruling junta to get a peace deal with the Kachin Independence Army rebels and another calling for the U.S. to instead work directly with the KIA without engaging the junta. Washington has avoided direct talks with the country's military leaders following their overthrow of the country's democratically elected government in 2021. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Elegant New Scooters For Seniors In 2024: The Prices May Surprise You Mobility Scooter | Search Ads Learn More Undo The ideas have been proposed to administration officials by a U.S. business lobbyist, a former adviser to Aung San Suu Kyi, in indirect talks with the KIA and some outside experts, the sources said. The conversations have not previously been reported. Live Events Rare earths are a group of 17 metals used to make magnets that turn power into motion. So-called heavy rare earths are used to build fighter jets and other high-performance weaponry. The U.S. produces very small amounts of heavy rare earths and is reliant on imports. Securing supplies of the minerals is a major focus of the Trump administration in its strategic competition with China, which is responsible for nearly 90% of global processing capacity, according to the International Energy Agency. Engaging the junta would be a sharp departure for the United States, given U.S. sanctions on the military leaders and the violence committed against the Rohingya minority that Washington calls genocide and crimes against humanity. Last week, the Trump administration lifted sanctions designations on several junta allies, but U.S. officials said this does not indicate any broader shift in U.S. policy toward Myanmar. The ideas pitched to the U.S. administration also include easing U.S. President Donald Trump's threatened 40% tariffs on the country, pulling back sanctions against the junta and its allies, working with India to process some heavy rare earths exported from Myanmar, and appointing a special envoy to execute these tasks, people familiar with the matter said. Some of these suggestions were discussed in a July 17 meeting in Vice President JD Vance's offices that included Adam Castillo, a former head of the American Chamber of Commerce in Myanmar who runs a security firm in the country, a person close to Vance's office said. Among those present were advisers to Vance on Asian affairs and trade. Vance himself did not attend, the source said. Castillo told Reuters he suggested to U.S. officials that the United States could play a peace-broker role in Myanmar and urged Washington to take a page out of China's playbook by first brokering a bilateral self-governance deal between the Myanmar military and the KIA. Myanmar's ruling junta and the KIA did not respond to a request for comment. While Vance's office declined to comment on Castillo's visit to the White House , one person familiar with the situation said the Trump administration has been reviewing policy on Myanmar, also known as Burma, since Trump's January inauguration and had weighed direct discussions with the junta over trade and tariffs. The White House declined to comment. REVIEWING MYANMAR POLICY The White House discussions were described as exploratory and in early stages by people familiar with them, who added the talks may result in no shift in strategy at all by Trump, given the administration's wariness about intervening in foreign conflicts and in Myanmar's complex crisis. "The officials took this meeting as a courtesy to the American business community and to support President Trump's efforts to balance the U.S. $579 (million) trade deficit with Burma," a senior administration official said when asked about the July 17 meeting. Castillo, who describes Myanmar's rare earth deposits as China's "golden goose," said he told U.S. officials that key ethnic armed groups - particularly the KIA - were tired of being exploited by China and wanted to work with the United States. Mines in Myanmar's Kachin region are major producers of heavy rare earths that are exported to China for processing. He said he had repeatedly urged officials in Washington to pursue a deal with the KIA that includes cooperation with U.S. partners in the Quad grouping - specifically India - for resource processing and eventual heavy rare earths supply to the United States. The so-called Quad grouping brings together the United States with India, as well as Australia and Japan. India's Ministry of Mines did not respond to an email seeking comment. An Indian government official, speaking on condition of anonymity, said he was unaware of whether the Trump administration had communicated any such plan to India but stressed that such a move would take several years to materialize because it would require infrastructure to be built for processing rare earths. Another pitch to the White House was more in line with the Myanmar policy Trump inherited from former President Joe Biden. Sean Turnell, an Australian economist and former adviser to Suu Kyi, whose government the junta toppled in 2021, said his rare earths proposal was to encourage the Trump administration to continue supporting Myanmar's democratic forces. In a visit to Washington earlier this year, Turnell said he met with officials from the State Department, the White House National Security Council and Congress, and urged continued support for the country's opposition. "One of the pitches was that the U.S. could access rare earths via KIA etc," he said, adding that the group wants to diversify away from China. There have also been multiple discussions between U.S. officials and the Kachin rebel group on rare earths through interlocutors in recent months, said a person with knowledge of the talks, which have not previously been reported. OBSTACLES In the years since the coup, Myanmar has been ravaged by civil war and the junta and its allies have been pushed out of much of the country's borderlands, including the rare earths mining belt currently under control of the KIA. A rare earths industry source said that U.S. officials had reached out around three months ago, following the Kachin takeover of the Chipwe-Pangwa mining belt, to ask for an overview of the Kachin rare earths mining industry. The person added that any new, major rare earths supply chain, which would require moving the minerals out of remote and mountainous Kachin State into India and onward, may not be feasible. Swedish author Bertil Lintner, a leading expert on Kachin State, said the idea of the United States obtaining rare earths from Myanmar from under the nose of China seemed "totally crazy" given the unforgiving mountainous terrain and primitive logistics. "If they want to transport the rare earths from these mines, which are all on the Chinese border, to India, there's only one road," Lintner said. "And the Chinese would certainly step in and stop it." For its part, the junta appears eager to engage with Washington after years of isolation. When Trump threatened new tariffs on Myanmar's U.S.-bound exports this month as part of his global trade offensive, he did so in a signed letter addressed personally to the junta's chief, Min Aung Hlaing. Min Aung Hlaing responded by lavishing praise on Trump for his "strong leadership" while asking for lower rates and the lifting of sanctions. He said he was ready to send a negotiating team to Washington, if needed. Senior Trump administration officials said the decision to lift some sanctions was unrelated to the general's letter.


The Star
2 days ago
- Business
- The Star
Trump team hears pitches on access to Myanmar's rare earths
WASHINGTON/BANGKOK: The Trump administration has heard competing proposals that would significantly alter longstanding US policy toward Myanmar, with the aim of diverting its vast supplies of rare earth minerals away from strategic rival China, four people with direct knowledge of the discussions said. Nothing has been decided and experts say there are huge logistical obstacles, but if the ideas are ever acted upon, Washington may need to strike a deal with the ethnic rebels controlling most of Myanmar's rich deposits of heavy rare earths. Among the proposals are one advocating talks with Myanmar's ruling junta to get a peace deal with the Kachin Independence Army (KIA) rebels and another calling for the US to instead work directly with the KIA without engaging the junta. Washington has avoided direct talks with the country's military leaders following their overthrow of the country's democratically elected government in 2021. The ideas have been proposed to administration officials by a US business lobbyist, a former adviser to Aung San Suu Kyi, in indirect talks with the KIA and some outside experts, the sources said. The conversations have not previously been reported. Rare earths are a group of 17 metals used to make magnets that turn power into motion. So-called heavy rare earths are used to build fighter jets and other high-performance weaponry. The US produces very small amounts of heavy rare earths and is reliant on imports. Securing supplies of the minerals is a major focus of the Trump administration in its strategic competition with China, which is responsible for nearly 90 per cent of global processing capacity, according to the International Energy Agency. Engaging the junta would be a sharp departure for the United States, given US sanctions on the military leaders and the violence committed against the Rohingya minority that Washington calls genocide and crimes against humanity. Last week, the Trump administration lifted sanctions designations on several junta allies, but US officials said this does not indicate any broader shift in US policy toward Myanmar. The ideas pitched to the US administration also include easing US President Donald Trump's threatened 40 per cent tariffs on the country, pulling back sanctions against the junta and its allies, working with India to process some heavy rare earths exported from Myanmar, and appointing a special envoy to execute these tasks, people familiar with the matter said. Some of these suggestions were discussed in a July 17 meeting in Vice President J. D. Vance's offices that included Adam Castillo, a former head of the American Chamber of Commerce in Myanmar who runs a security firm in the country, a person close to Vance's office said. Among those present were advisers to Vance on Asian affairs and trade. Vance himself did not attend, the source said. Castillo told Reuters he suggested to US officials that the United States could play a peace-broker role in Myanmar and urged Washington to take a page out of China's playbook by first brokering a bilateral self-governance deal between the Myanmar military and the KIA. Myanmar's ruling junta and the KIA did not respond to a request for comment. While Vance's office declined to comment on Castillo's visit to the White House, one person familiar with the situation said the Trump administration has been reviewing policy on Myanmar since Trump's January inauguration and had weighed direct discussions with the junta over trade and tariffs. The White House declined to comment. The White House discussions were described as exploratory and in early stages by people familiar with them, who added the talks may result in no shift in strategy at all by Trump, given the administration's wariness about intervening in foreign conflicts and in Myanmar's complex crisis. "The officials took this meeting as a courtesy to the American business community and to support President Trump's efforts to balance the US$579 (million) trade deficit with Burma," a senior administration official said when asked about the July 17 meeting. Castillo, who describes Myanmar's rare earth deposits as China's "golden goose," said he told US officials that key ethnic armed groups - particularly the KIA - were tired of being exploited by China and wanted to work with the United States. Mines in Myanmar's Kachin region are major producers of heavy rare earths that are exported to China for processing. He said he had repeatedly urged officials in Washington to pursue a deal with the KIA that includes cooperation with US partners in the Quad grouping - specifically India - for resource processing and eventual heavy rare earths supply to the United States. The so-called Quad grouping brings together the United States with India, as well as Australia and Japan. India's Ministry of Mines did not respond to an email seeking comment. An Indian government official, speaking on condition of anonymity, said he was unaware of whether the Trump administration had communicated any such plan to India but stressed that such a move would take several years to materialise because it would require infrastructure to be built for processing rare earths. Another pitch to the White House was more in line with the Myanmar policy Trump inherited from former President Joe Biden. Sean Turnell, an Australian economist and former adviser to Suu Kyi, whose government the junta toppled in 2021, said his rare earths proposal was to encourage the Trump administration to continue supporting Myanmar's democratic forces. In a visit to Washington earlier this year, Turnell said he met with officials from the State Department, the White House National Security Council and Congress, and urged continued support for the country's opposition. "One of the pitches was that the US could access rare earths via KIA etc," he said, adding that the group wants to diversify away from China. There have also been multiple discussions between US officials and the Kachin rebel group on rare earths through interlocutors in recent months, said a person with knowledge of the talks, which have not previously been reported. In the years since the coup, Myanmar has been ravaged by civil war and the junta and its allies have been pushed out of much of the country's borderlands, including the rare earths mining belt currently under control of the KIA. A rare earths industry source said that US officials had reached out around three months ago, following the Kachin takeover of the Chipwe-Pangwa mining belt, to ask for an overview of the Kachin rare earths mining industry. The person added that any new, major rare earths supply chain, which would require moving the minerals out of remote and mountainous Kachin State into India and onward, may not be feasible. Swedish author Bertil Lintner, a leading expert on Kachin State, said the idea of the United States obtaining rare earths from Myanmar from under the nose of China seemed "totally crazy" given the unforgiving mountainous terrain and primitive logistics. "If they want to transport the rare earths from these mines, which are all on the Chinese border, to India, there's only one road," Lintner said. "And the Chinese would certainly step in and stop it." For its part, the junta appears eager to engage with Washington after years of isolation. When Trump threatened new tariffs on Myanmar's US-bound exports this month as part of his global trade offensive, he did so in a signed letter addressed personally to the junta's chief, Min Aung Hlaing. Min Aung Hlaing responded by lavishing praise on Trump for his "strong leadership" while asking for lower rates and the lifting of sanctions. He said he was ready to send a negotiating team to Washington, if needed. Senior Trump administration officials said the decision to lift some sanctions was unrelated to the general's letter. - Reuters