Is China Exploiting Myanmar’s Natural Wealth Amid Cyber Scam Operations?
Synopsis
Key Takeaways
- China's involvement in Myanmar's cyber scams is part of a larger strategy for resource extraction.
- Public anti-scam campaigns are a facade for systematic resource exploitation.
- Chinese operations are causing significant environmental harm, particularly in water resource management.
- Myanmar is becoming a global hub of cyber fraud with severe implications for international cybersecurity.
- Local communities suffer from water shortages and agricultural decline due to resource extraction practices.
Naypyidaw, Nov 17 (NationPress) China's role in cyber scam operations in Myanmar is merely a part of a larger agenda aimed at leveraging the country's governance failures for resource extraction, as highlighted in a recent report.
It noted that while China publicly engages in anti-scam initiatives, it simultaneously supports the military junta that enables these operations, thereby consistently siphoning off Myanmar's natural resources under the guise of responsible global conduct.
“Myanmar has become a focal point for a troubling combination of criminal exploitation and resource depletion, with Chinese-run cyber scam centers taking advantage of the nation's governance crisis while consuming vast amounts of limited water and electricity supplies. This exploitation is part of a deliberate strategy by Chinese entities, which publicly denounce these activities while quietly profiting from Myanmar's turmoil through resource extraction and infrastructure management,” the report from Mekong News Myanmar elaborated.
“The scale of Chinese involvement in Myanmar's cyber fraud sector has surged to unprecedented heights. Liu Zongyi, Assistant Minister in China's Ministry of Public Security, remarked in February 2025 that 36 Chinese gangs operate scam centers with around 100,000 individuals subjected to forced labor conditions. These operations have turned Myanmar into the global hub of cyber fraud, posing an unparalleled threat to international cybersecurity while heavily relying on human trafficking and forced labor,” it further stated.
The report indicated that China's exploitation of Myanmar transcends cyber scams, extending to systematic control over hydroelectric resources through Chinese-supported hydropower initiatives, such as the TarPein and Ruli hydro plants, which are emblematic of this resource colonization.
Despite assertions that these are collaborative ventures supposedly benefitting Myanmar, the primary beneficiaries are Beijing’s interests.
The report emphasized that Chinese activities in Myanmar have inflicted severe environmental damage, including devastating exploitation of water resources.
“In 2024, Myanmar produced 31,000 metric tons of rare earths, making it the fourth-largest producer globally. Between 2017 and 2024, rare earth exports to China totaled $4.2 billion, with 84 percent of all extracted materials ending exclusively at Chinese processing facilities. Rare earth mining operations, which saw a 70 percent surge in Chinese imports from Myanmar during the first half of 2023, consume immense quantities of water through toxic leaching processes. These operations require significant water withdrawals from local sources, resulting in water shortages and diminished agricultural yields for local communities,” it stated.
The exploitation of Myanmar’s limited water and electricity resources by Chinese-operated operations occurs amidst widespread poverty and energy insecurity impacting millions of citizens.
“This exploitation illustrates how powerful nations can manipulate the internal conflicts of weaker states to gain strategic advantages while deflecting international condemnation through selective enforcement actions,” the report concluded.
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