KIA Seizes Fimaw Region, Gains Control of Rare Earth-Producing Areas

 

Myanmar Spring Chronicle – Scene of November 3

(MoeMaKa) November 4, 2024

KIA Seizes Fimaw Region, Gains Control of Rare Earth-Producing Areas

The names of three villages in Kachin State—Fimaw, Gaolan, and Kanpan—are familiar landmarks in the history of China-Myanmar relations. These names carry symbolic significance and various meanings, representing aspects of diplomatic success or indicators of strategic economic cooperation. However, interpretations differ depending on one’s perspective on their roles in this historical relationship.

Recently, reports emerged of the Kachin Independence Army (KIA) capturing Fimaw, a region in eastern Kachin State near the Chinese border. Before this seizure, the region was controlled by the NDAK, a faction led by former Burmese Communist Party commander Zahkung Ting Ying. Established during a split from the Communist Party of Burma, the National Democratic Army-Kachin (NDAK) signed a ceasefire with the military regime in the early 1990s, leading to the formation of Kachin Special Region 1. The NDAK primarily focused on economic activities, such as mineral extraction and trade, particularly involving rare earth minerals exported to China.

Fimaw, Gaolan, and Kanpan villages were originally agreed upon in a 1960 boundary agreement between China and Myanmar. Under this agreement, Myanmar would cede control of these villages to China in exchange for recognition of Pan Hane and Pan Law areas in Wa State as Myanmar territory. This diplomatic exchange, led by then-Prime Minister U Ne Win, is often cited as a successful negotiation. However, the decision was controversial, with local Kachin leaders and university students in Yangon expressing opposition.

The recent seizure of Fimaw by the KIA has brought renewed attention to this region. It is known for its deposits of rare earth minerals, critical raw materials for producing electric vehicles, and a valuable resource for China’s industry. Reports indicate that these minerals generate over $3 billion annually, further fueling conflict over the control of resource-rich areas.

For local residents, the presence of rare earth industries offers employment opportunities, though it also brings risks. These communities are caught between economic benefits and the dangers of armed conflict, as various armed groups vie for control of these valuable territories.